Philanthropy

Embarking on a major campaign can be intimidating. It is a huge, often multi-year endeavor, and you have just one chance to execute it properly. But there are tried and true methods to perfecting campaigns, and if your organization has not started a capital or endowment campaign recently, now is the time to seriously consider it. The campaign marketplace is ripe due to today’s philanthropic trends.

Preparing for and completing a major campaign requires great planning and execution. With our partners, we emphasize the five campaign essentials to ensure success: leadership, the case for support, adequate internal resources, a great plan and access to contributable dollars.

In my 25-year career as a nonprofit professional and consultant working with hundreds of organizations across the world, these are the top 15 “campaign calamities” I’ve seen compromise a campaign’s results within each of the five campaign essentials, and ways you can avoid them and ensure your campaign’s success. 

 

One: Leadership
The success of your campaign will hinge on leadership! In most cases, the available dollars for success are present within your constituency. The key to your success will be enlisting the best and strongest possible leaders to be actively involved in your fundraising efforts. While we may not always be able to get the perfect leader enlisted in the perfect role, we must get all of the perfect leaders involved to position ourselves for success.

Leadership Calamities

1. The invisible board. The board has the ultimate authority over the campaign and must take complete ownership of it.
2. Enlisting campaign leaders too early. Do not begin enlisting campaign chairs or leaders until they have already made an investment that illustrates that your campaign is one of their top two philanthropic priorities at this time. Instead, get them involved in the early planning process first. Involvement invites investment.
3. Soliciting the board too early. Optimizing your board gifts will set the pace for the rest of your campaign. Be sure to develop a process for rating each board member’s capacity. It is then important to develop the appropriate sequence and strategy for all board solicitations.

 

Two: The Case for Support
The needs that are articulated in your case for support must be extremely compelling, urgent and emotional. The case must also clearly demonstrate that a campaign is absolutely necessary to ensure that the needs of your organization are met. Constituents will take your campaign seriously when they are convinced that there is an immediate, life-changing need.

The Case for Support Calamities

4. Thinking small and focusing on your organization’s needs rather than your community’s needs. It is important to develop a BIG, BOLD VISION for the future. After all, BIG VISION leads to BIG GIFTS! If money were no object, how much money would you need to fulfill your ultimate vision for the future? Be sure to illustrate the impact that your campaign will have on your wider community rather than simply…your organization. Share how your community will be transformed by your campaign. Test your BIG VISION for your community during a planning study. This will help you yield a more positive response by raising sights among your key leaders and donor prospects.
5. No connection to a strategic plan. People will invest at higher levels if they see that your campaign plans have been informed by a thoughtful and diligent strategic planning process.
6. All facts, no emotion. Philanthropy is 86% emotional. Eighty-six percent of all philanthropic dollars come from individuals who make their investments based on emotion. Emotion leads to action. Be sure to share emotional stories and testimonials that highlight the impact you are having on specific people.
7. Waiting for the perfect brochure. Brochures don’t raise money. People do. During the early stages of a campaign, the campaign materials should be “living documents” that can easily be customized and enhanced. When testing your case early on with key stakeholders, including a “draft” watermark on your documents isn’t necessarily a bad idea. It lets them know that they are part of your team and “under the tent.” Thus, giving them greater ownership in your campaign.

 

Three: Adequate Internal Resources
You must have adequate internal resources to conduct a successful campaign. Resources include people, systems, processes, volunteer support and a campaign budget.

Adequate Internal Resources Calamities

8. Not investing in your campaign. A major campaign will result in the best return on your investment in the fundraising profession. Be sure you are prepared to invest $.05 to $.12 to raise a dollar.
9. No campaign budget. Your campaign budget will typically consist of: staff time, campaign materials, donor recognition, awareness event costs, travel for staff and volunteers, analytics, possible outside counsel, etc.
10. No existing donor systems. Be sure you have strong gift acceptance and stewardship policies and procedures for your campaign. It is also important to develop gift counting policies for deferred gifts and naming policies for named gifts. Lastly, let technology help you! Investing in wealth screening is highly recommended if you do not currently have a screening solution, and a CRM is vital for keeping track of donor engagement.
11. Lack of access to experienced fundraisers. Before you embark on a campaign, ensure you and your team have access to knowledgeable and experienced professional fundraisers. Whether these professionals are on your staff, serving on your board, hired through outside counsel, or even if you are a longtime fundraiser yourself, two heads are better than one, and nothing beats experience.

 

Four: A Great Plan
Every campaign has just one opportunity to be executed properly. Far too many organizations rush into a campaign without first creating the proper volunteer leadership structure and internal capacity to sustain long-term fundraising. Therefore, it is imperative that you create the best possible campaign plan to ensure success.

A Great Plan Calamities

12. Announcing the goal before you have won the campaign on paper. You should always continue to share the financial “need” but avoid using the word “goal” until you are prepared to go public with a stated goal that you know you will reach based on the remainder of your donor pipeline. Using historic yield rates versus ask amounts can be a good way to forecast whether or not you have won the campaign on paper. It is not unusual to raise 80% of your campaign objective before going “public” with a goal.
13. Lack of campaign planning. If you fail to plan…plan to fail. Campaigns must be effective first and efficient second. Slow and steady will win the “raise.” You must ensure that you have earned the right to approach a donor with a gift opportunity that will inspire them to give at the high end of their capacity.

 

Five: Access to Contributable Dollars
Obviously, access to sufficient contributable dollars must be available to achieve success. Therefore, we must be certain that the number of prospects needed to ensure success exists and that the proper proportion of prospects relative to capacity is available.

Access to Contributable Dollars Calamities

14. Money chasing. If you view your donors as ATMs rather than partners, you will be in for some challenges. Focusing on mission rather than money will allow you to effectively cultivate your donors in a way that will inspire them to invest significantly at the appropriate time. Take your time by listening to your donors and ultimately marrying a future appeal with their own values and interests.
15. Launching a campaign without a well-informed base of donors. Having access to contributable dollars includes having access to donors who are knowledgeable about your organization’s goals. Campaigns should not be part of your donor acquisition strategy. Campaigns are grounded in existing donors who share the organization’s vision and can be motivated to impact it in bigger ways. Launching a campaign without a well-informed base of donors who have linkage, ability and interest will cause the biggest calamity of all.

 

Campaigns can be a fun and enriching experience. They have a way of galvanizing people to work together to achieve a common goal that can completely transform lives in so many positive ways. Embrace your BIG, BOLD VISION for the future and always approach your campaign from a place of abundance, not scarcity. Enhancing your mission and fulfilling your vision requires your best efforts. Plan, execute and enjoy!    

As we grow older, those of us lucky enough to have thoughtful, kind and loving mothers, grandmothers and mother figures in our lives come to the realization that “mother knows best” isn’t just a silly saying (or a sassy retort from a teenager). A mother’s sage wisdom can help us through overwhelming challenges and shape us as people.

In my career as a development professional and consultant, and as a mother myself, I have found so often that a mother’s best advice is development’s best advice. As moms, we have a little saying for everything to help our children remember the important life lessons we teach them, and many of these sayings work perfectly for adult development professionals looking for counsel or answers.

Patience is bitter, but its fruit is sweet.

Did you know it can often take a mega-donor over 10 years of involvement with an organization before they contribute a mega gift? I have always told people new to the business that it might take three years for a donor to trust you. Take your time and be thoughtful and resourceful with your position and career.

In your daily routine, spend more time planning your next conversation with a donor. Don’t just fire off emails and calls. Take the time to write down what you need to accomplish with each donor. Even if I’m planning a casual conversation, I like to write down a few bullet points of items I want to address or accomplish to keep me on track.

You were given two ears and one mouth for a reason.

Listen. (I bet you knew this one was coming!) We often feel we have to do all the talking, all the teaching, to help a donor or prospect understand the organization, mission or campaign. Yes, make a compelling and succinct case for why you need this gift, but leave plenty of time to listen. Work to understand your donors and prospects. Learn what’s important to them and what motivates them. This information is not only going to be useful, but you will also find you are building a more genuine relationship between you, the donor and your organization.

Know your worth.

Sometimes we are given lofty goals or deadlines, and it’s our job to help manage those expectations. When meeting with your organization’s managers and leaders, demonstrate progress and concrete accomplishments. For your entire list of donors and prospects, you should know exactly where you stand with each one. Keep detailed notes so you can convey your efforts or ask for help to re-think your strategy when needed.

Communication is a two-way street.

Truly understand what it means to take a cultivation step. If you’re just sending out annual report emails, that’s not communication; that’s spam. In development, you need a response from your donor in order to be communicating with them. If most of your communication is personal and authentic, you will move out of the spam category and into a real conversation.

KISS: Keep it simple, silly!

I have found this to be especially helpful in the healthcare sector, where it’s easy to dive too deep into science and details. Focus on the most important parts of the information. How is this project moving in the direction of easing suffering? How will their gift help?

Treat others the way you want to be treated.

Donors aren’t “giving units,” and once they make a gift, they have let you know they care about your mission. Continue to foster that relationship. Down the road, it will almost always turn into more support. But if it doesn’t, it’s the right thing to do to make sure that your donor understands their gift was and continues to be appreciated and important.

Remember: Mother will only hold your hand for a little while.

More than likely, you won’t spend your whole career in one place. You will only be holding the hand of and working with your organization for “a little while.” As a steward of your organization, make sure your contacts have a relationship with the organization and its mission, not just specifically with you. Be ready to pass that relationship baton to another “you” who is ready to be the best representative of your organization possible.

There’s no shortcut to success.

If you arrive at your organization with a full contact list, don’t assume they will all support your organization. I have seen many people hired because of who they know in the community. Having contacts can help. But again, development professionals need to connect donors with the mission of the organization. And building a strong development program requires A LOT more than small talk at a cocktail party. It requires effort, determination, intention, and good, old-fashioned hard work. 

I’ll reiterate, on average, it can take a mega-donor over 10 years of being part of an organization before they give a mega gift. Be patient, put in the work, be authentic, focus on the mission, and when in doubt, call a mother. Or better yet, call Carter!

After four years of dating and precisely 350 days into our marriage, I made the mistake of asking my new bride, “Do we really need to do anything special for Valentine’s Day… now that we’re married?” 

Her response was clear.

“Only if you’d like to stay married…”

Far too often, it can be a comic and tragic reality that we mistake relationships for something we work to cultivate and not something we work to develop and nurture. Nonprofits do not have the luxury of being able to make this mistake.

Initial success can reflect the effectiveness and relatability of an organization’s mission. But long-term success depends on the ability to not just cultivate new relationships but also develop and nurture existing relationships within and throughout the organization.

Like a couple celebrating their first Valentine’s Day, it is no secret that relationships carry the power to spark exponential momentum for new supporters. Word-of-mouth marketing isn’t just the oldest form of advertising in the book; it remains by far the most effective. Generous donations, enthusiastic volunteers and well-groomed staff all often come into our organizations either at the recommendation of a currently engaged supporter or by way of an inspiring impact story from a trusted source. However, employment trends and fundraising data suggest that trust has become as crucial in retention as it has been in acquisition.

A Matter of Trust and Survival 

Donors and volunteers have never had a richer market competing for their attention and resources, and potential supporters are quick to support the organizations they deem most trustworthy. A decline in donor trust has been well-documented, but it would be a mistake to conclude that donor trust is less important. Instead, this demonstrates nonprofit organizations’ opportunities to build stronger and more sustainable relationships. The pandemic and cultural realities have made it more difficult to trust the future and virtually anything else. 

Just like the couple maturing past their first Valentine’s Day (notice a theme here?), the solution is to become more intentional about relationship development. Potential donors have expressed a desire “to ease into relationships with organizations before fully committing to a cause.”

Too many organizations mistake this sentiment for a cultural trend. The reality is the decline in donor retention indicates opportunities that are too often neglected — money left on the table, almost literally — when relationship development is not properly acknowledged. There are three levels of relationship development within your organization that could significantly increase its vitality immediately and in the years to come: donor development, staff development and end-user development.

Donor Development

Amid the ceaseless communications streams that saturate our devices, it is easy to assume that our donors wish not to be bothered. Bob Carter, Chairman of Carter, was quick to remind nonprofit leaders, “hearing about your organization’s work is not a nuisance; it is often an indication of the signs for hope and progress that we are all yearning for.” Not only does your organization’s work become a source of pride, but it also serves as a beacon of “good news” in a time when bad news seems to be getting most of the press.

In addition to sharing good news, your organization can meet a need that has been expressed across the world in the last two years especially, the need to be connected. Although there is no shortage of social mediums to explore and “news” reports to read, most of us feel the consequences of missed gatherings and connections, and we long to re-engage. This presents an opportunity for organizations to reintroduce or ramp up their engagements — gatherings, “fun-raisers,” and the like. In doing so, organizations are likely to find the events that seemed superfluous a few years ago are both meaningful and needed now.

Staff Development

If there is one thing we know by now, it is how difficult it can be to live well while doing good. Those working in the nonprofit sector have in some ways been living through the last couple of years with two major impacts on their lives: they are navigating their own personal distress and absorbing the impact of Covid-19 on the cause they are serving. During the realities of “The Great Resignation,” one thing is certain: attention to corporate culture is imperative to staff retention.

The greatest investment that organizations can make in their staff is taking the time to evaluate past objectives, clarify current needs/expectations, and strategize for future opportunities. Prioritizing staff retreats that make space for these discussions is not a luxury; it is a necessity. Similarly, board members, though less impacted by employment trends, also need the opportunity to connect with their organizations through the formative work of these guided conversations. Although the overwhelming workload most organizations face can make them feel as if there is no time to spare, forgoing these needs often leads to miscommunication, burnout and even conflict in the not-so-distant future.

End-User Development

As time seems to be the resource that is most precious, it becomes essential for organizations to optimize operations while maximizing their potential. The most effective and efficient way to do this is through end-user development. Listen to and involve those who are impacted by your mission and give them a podium to share their success story. Staff and volunteer efforts can only go so far, and an organization’s reach must stretch further than those limits. An organization that can utilize their end-user’s voice most effectively can exponentially compound upon their past successes, which optimizes their organization’s work efficiency and generates increased enthusiasm with their donor base.

When organizations commit to asset-based messaging, they create paths where end-users can become advocates for the mission. Organizations would otherwise have to wait and hope to develop intangibles that are already developed within their end-users, such as passion and institutional history. Thus, exploring and creating opportunities for development amongst your organization’s end-users celebrates your organization’s past and can contribute to future successes. 

Investing Today; Thriving Tomorrow

Taking the time to further develop the relationships already established within an organization can seem too long-term to be urgent.

So can changing the oil in a car engine.

So can maintaining the appliances in a home.

We know these things about relationships:

• Relationships are not static. At all times, they are either evolving or digressing.
• Relationships are foundational to philanthropic success.
• Relationships require time and intentionality.

Taking the time to intentionally nurture your organization’s relationships is a transformative and self-sustaining investment that never stops paying dividends. The fact that it’s also fun and rewarding is a bonus…like a good piece of Valentine’s Day chocolate!

In this post, Bob Carter, Chairman of Carter, shares his predictions for the year ahead based on his life experience, decades-long and prominent career in the fundraising consulting business, and extensive service on the boards of highly successful nonprofits.

It can be the best of years; it can be the worst of years, but 2022 is our year. What happens in the next 12 months is up to us to deal with and overcome, and hopefully, we will celebrate the hand we are dealt. Without further ado, please enjoy my (foggy) crystal ball view of 2022.

Predictions for the world in 2022:

• We will see fewer streaming options and media platforms due to consolidation. In my conversations with people in the media industry, I have heard some discussion on how consolidation may come about for all the streaming options we have. The myriad of options has become overwhelming and confusing. Where can I find X show or movie? What’s part of what? There should be consolidation and clarity coming out in the next year.

• C-SPAN will emerge as a media platform for truth in news reporting. When you watch a live feed of Congress in action on C-SPAN, there is no commentary (though you may be shouting your own commentary). You hear and see for yourself, and you make your own decision. Today’s climate has created a thirst in the world for an unbiased and unfiltered news platform like C-SPAN can offer.

• China will not invade Taiwan. I am just putting that on the record!

• Vaccine saturation will continue to lag in fragile countries. There will always be parts of the world that fall behind in dealing with these kinds of health crises. Because of this, there will likely be travel restrictions on these parts of the world for the next 12 to 18 months, perhaps longer.

• The pandemic will be defeated and reclassified as a daily life threat. With the help of boosters, Covid should fade this year. It will be seen as just another virus floating around the world.

• As a result of the pandemic, there will be a new understanding of the impact of global health on U.S. health. Americans have seen firsthand that our country’s health is directly affected by global health. This understanding will foster stronger support and interest in helping more fragile countries improve their health systems and access to healthcare.

• The equities market will adjust and restart in 2023 with inflation as the root cause. There will be a 1,000-to-2,000-point bump in the market this year. Frankly, this is nothing to panic over. We have enough brakes on the system. It will shut off, shut down, and even out in 2023.

What happens in the world has always had a direct impact on the nonprofit sector. Taking it all into account, in 2022, I predict the following for the philanthropic sector:

• At least one of the federal houses will shift in power, possibly impacting philanthropy. We will see a political shift that we, especially those of us in the field of philanthropy, must watch. Our country is just one vote away from eliminating the federal tax deduction, which, as many of you know, was closely defeated in 2010 when a Senate ad hoc committee proposed using it as a strategy to reduce the deficit. That committee ultimately voted 18 to 11 against bringing the motion to the Senate floor. Although I have not heard talk of reviving the idea, as the country looks for ways to redistribute wealth and correct the economy, the idea will likely resurface. Anyone who cares about philanthropy should pay close attention to the Association of Fundraising Professionals’ public policy update newsletter – the best resource for staying informed. If the United States ditches the charitable tax deduction, the action will snowball across the globe with other countries following suit and the impact will erode philanthropic activity worldwide. All it will take is a simple shift in political power.

• The current threat via public policies to philanthropies will balance with aging millennials’ political power. As millennials age, they will likely tend to be a little more financially conservative and preserve federal tax deductions.

• Higher education will scramble to reposition itself. Higher education has come under attack for many reasons, not the least of which are related to issues surrounding diversity, equity, and inclusion (DEI) intensity and preferences of donors and students. Tuition has been inflated beyond the increases of wages, etc. There is pressure from donors and students for their higher education institution to be a leader in DEI. All of this will converge in 2022 and create a need for higher education to forge a link between being an educational and humanitarian institution.

• Office-first company models will continue to erode. Remote-first structures will evolve and become accepted as the expansion of global talent available becomes a focus. The radius of a building no longer drives the employee pool. Big corporations and nonprofits are finding that as they invite their employees back into the office, many employees are refusing to return or have moved away from headquarters. When you have talented staff, you find a way to make this work.

• New and shifting work models will require intentional, adaptive leadership. “Work” is being redefined in the post-pandemic world, as evidenced in nearly all industries, from service companies to manufacturing. Good leaders will be ready to navigate these changes while remaining focused on organizational goals.

• Social investments may grow alongside of philanthropy. We may see a shift away from purely philanthropic giving and an increase in social investments. Those interested in social investments will be putting money up, but they will expect a return even though they know it will be less than a commercial return. This is what all philanthropy looks like in many parts of the world.

• A mix of in-person and online volunteering will increase. When will it be that people are comfortable volunteering in person again? We’ve discovered that we can create volunteer roles for people online. I believe this will continue to be used and be part of the creative strategy in the upcoming year.

• Human behavior will continue to drive sound strategies. The main driving forces behind human behavior are fear, hope, having a mission or values, the need to help, and the need to act or stay in motion. Attention to these natural impulses will gain the best results. I recommend reading “The Psychology of Philanthropy: The Science Behind Giving” by Adrian Sargeant and Jen Shang if you haven’t already. The book answers the question of “what compels people to give?”

• Strategies developed out of fear will fail and bold strategies will prevail. Fewer people made bold decisions during Covid than any other period I have ever seen, including the 2008-2009 recession. Fear-based decision making is not only a difficult habit to break, but it is also the least likely strategy for garnering widespread support (people rarely follow a fearful leader). With so many organizations operating from a position of scarcity over the past few years, in 2022, leaders who can articulate an aspirational, yet reasonable, vision and strategy will stand out as unique. Those who stick with the safest approach should start preparing to fold their tent – because that day will likely come soon. Meaningful change will always require the ability to tolerate a certain level of risk. In 2022, successful leaders will think big, act boldly, and will have confidence that will help others feel safe to join the journey.

As we look forward to 2022, we should remember the skills we learned in the past two years and continue to implement them in the year ahead. The pandemic has taught us that it is more important than ever to plan, be persistent, have patience, know when to push, embrace innovation as a critical strategy, and be adaptive. Many people, companies, and organizations that made these goals a habit during the pandemic will find success in our new year.

Recently I have been reflecting and refreshing my perspective on Penelope Burk’s ongoing research dedicated to evidence-based approaches to donor retention and raising more money to support missions of nonprofit organizations throughout the world.

This has been on my mind partially because I am a long-time champion of Burk’s pragmatic, qualitative and quantitative data and many nonprofits with a mid-year fiscal year-end are developing impact reports for donors and key stakeholders. Impact reports are valuable engagement tools appreciated by many donors and funders. Plus, these stories of change and accountability can lead donors to actively consider giving again and, many times, more!

Burk conducted follow-up conversations with donors several years ago leading to a second edition of her seminal book, Donor-Centered Fundraising, in 2018. Here are a few of the responses cited around impact reports:

I would definitely make larger gifts if … those solutions were backed up by better impact information.

I’ve narrowed my giving down to organizations that issue informative and concise reports about what they are achieving with donors’ contributions …

An update on what they are accomplishing with the gifts that I and other donors have already made is actually more effective than another appeal. The updates themselves make you want to give again.

Campaign Monitor and Qgiv looked at nonprofit marketing strategies that are both effective and efficient use of resources from the perspective of more than 1,000 donors. They found there is power in hearing from real people, about real people, and the results a donation is creating. In fact, 61.1% of donors want to hear stories about organizations’ impact and how their services are helping. 

Consider when you make a gift to your local food bank, health clinic, early education center as well as your church and alma mater. Are you interested in receiving the free lapel pin, plaque, or month-at-a-glance calendar? Or would you prefer a brief, personalized communication highlighting the difference your investment made in the lives of people … many of whom you probably will never meet? Personally, I do not need another swag bag. I value understanding and seeing the results of my giving and welcome the opportunity to learn more through the eyes of those whose lives have been changed, transformed, strengthened, or enhanced.

I invited several colleagues, peers and fellow philanthropy professionals representing diverse sectors and experience to join me for a conversation on the topic of impact reports. I asked them to define an impact report, share how they measure the impact of this communication tool and a key learning for the next generation of impact report creators. What a robust, insightful and super fun conversation! Here are a few of my key takeaways you might also find helpful:

1. Impact reports are a time to share the why and how of the organization. It’s not just the facts; it’s an opportunity to tie the donor’s gift to the mission.
2. It answers the question “so what?”. A science-based education institution describes intellectual stimulation, excitiing youth and turning on “light bulbs”.
3. Changing the behavior of a client through resources, education and opportunities to connect with others is hard to document because its qualitative. We tell stories, show faces, use different technology including video.
4. These tools also are an opportunity to provide a sneak peek of what’s ahead and sparks curiosity for follow-up conversations.
5. Donors experience impact; show them personally rather than telling them. Inspire them to feel the importance of the work by inviting them to “wear the shoes” of those the organization serves through a virtual field trip for instance. Be creative!
6. Impact reports come in all shapes and sizes. Maybe they are regionally specific or as simple as a phone call to share a recent breakthrough. And keep telling the stories in compelling ways that speak to the heart and soul of the organization and its work.

As a nonprofit professional who may or may not have a background in writing but has been charged with creating your organization’s 2020 impact report, where might you start? It can seem like a daunting task but you are well-positioned to ensure the relationships your organization has with its donors and stakeholders are built on a strong values-based foundation of accountability and integrity.

It’s as simple as telling a story!

Historically, nothing drives charitable giving like disasters, whether natural or economic. During disasters, both the need for help and the desire to help are amplified. That holds true with the current COVID-19 crisis. However, a global pandemic presents a unique dilemma: the need is global, the timeline is uncertain, the economy is volatile, and the variables are changing daily.

Our profession and work have prepared us for this crisis perhaps more than most. Philanthropy is responding throughout the United States and around the globe faster than we have ever reacted before. As fundraisers, we are uniquely positioned to identify the problems, articulate the immediate and urgent needs, craft emotionally compelling stories, and provides hard data to support the case.

The good news: funders are being more flexible than ever and there are 5 opportunities fundraising professionals can utilize RIGHT NOW to make an impact.

1. CARES Act Tax Benefits

Changes in the tax code for this year make end-of-year giving especially advantageous in 2020. Among these changes – thanks to the CARES Act – is a new opportunity for non-itemizers to claim a tax deduction for their charitable giving this year. Taxpayers who take the standard deduction can claim a charitable deduction of up to $300 for cash donations in 2020. For itemizers, the limit on the charitable contribution deduction has been lifted and individuals can deduct cash gifts in 2020 right up to 100% of their Adjusted Gross Income, rather than the usual cap at 60%.

As for corporations, the CARES Act has increased their deduction limits to 25% for cash contributions this year. Considering the sizeable growth in value experienced by many corporations in recent years, particularly in 2019, this new opportunity should not go unnoticed.

2. Depreciated Securities

Typically, a volatile economic market creates some concern about making donations using stock holdings, and typically securities that have lost value are not thought of as ideal assets for charitable giving. However, 2020 is not a typical year.

In a volatile economic market, there is an opportunity to optimize the value of depreciated securities in funding a charitable contribution. The steps are a bit different when using depreciated securities to make a charitable gift compared with the steps when using appreciated securities – and this difference is how the tax-wise advantage kicks in. The donor would sell the depreciated securities and donate the cash proceeds from the sale. This allows the donor to take a charitable contribution deduction for the cash gift AND a capital loss on the sale of the securities. The loss can be used by the donor to offset any gains that may occur this year on other stock holdings, effectively reducing the donor’s tax liability even more. The bonus? The charitable organization may ultimately receive a much larger gift than if the donor had simply used cash to make the gift.

If navigating the tax codes and changes this year seems complicated and stressful for a donor, their wealth managers and philanthropic consultants can help.

Although we know tax benefits are not the only reason donors consider charitable giving, it certainly helps when there are opportunities available. Make sure to highlight and communicate these opportunities to your donors!

3. Donor Advised Funds

Unlike in previous times of volatility and economic insecurity more individuals and families than ever are using Donor Advised Funds to manage their charitable giving. Like donors with family foundations, donors who have created Donor Advised Funds may be more readily interested and willing than others to make major gifts this year, since the funds have already been put aside for this very purpose.

Giving USA’s Report on Charitable Giving shows that contributions to Donor Advised Funds are experiencing an annualized growth rate of nearly 20 percent in recent years. At this point, there are an estimated $120 billion held in donor advised funds. This year is the ideal time for these donors to leverage their Donor Advised Funds to support the causes they care about.

4. Renewed Vision: New Markets – New Methods of Delivery – New Partnerships

Indeed, our industry is defined by our vision, and the current crisis does not change that fact; our vision is not merely changed by the current crisis— by seeking new solutions, it can be renewed. Normally, we ask, “Who needs us? What can we do?” and “Who can assist us in that mission?” Whereas now we are asking, “Who needs us now? What can do now?” “Who can we partner with to realize that vision now?”

Your strategic plan for the upcoming year needs to be reviewed monthly, perhaps even weekly, as the situation continues to evolve. In doing so, we can continue to explore new approaches to how we work, whether in new markets, new methods of delivery, or with new partnerships. In times of crisis, it merits a reminder that nonprofit charitable organizations are in the RELATIONSHIP business – in relationships with those they serve – in relationships with those that invest to achieve the organization’s mission – and in relationships with other organizations that have alignment in providing solutions. More than ever before, it is time to actively engage donors, constituents, and potential partners to find new and innovative solutions to realize and renew the vision.

5. Vulnerability is an incredibly valuable tool in your tool belt – USE IT!

For those us in the philanthropy profession, our altruistic nature and inclination for empathy is emotionally exhausting in hard times, yet simultaneously, these feelings drive and inspires us! Compassion fatigue is a reality. And that is okay. In fact, it is great. We are in the compassion business – and vulnerability is a skill set that service-driven, mission-focused development professionals excel in harnessing.

Now more than ever, you get to be vulnerable with your donors and allow them to be vulnerable with you. You can and should be bold. Have those hard conversations with top donors about the state of the organization: Its immediate needs and its renewed vision. Donors are likely feeling the same emotions as you and very likely will embrace opportunities amidst these uncertain times to have a way to experience the great joy of building solutions to very real problems. Again, as fundraisers, we are first and foremost in the relationship business. Now is the time to Be Direct, Be Candid, Be Transparent, and Be Vulnerable – and look for the opportunities!

BE PREPARED – COMMUNICATE – STAY TRUE TO YOUR MISSION

As we face the most active hurricane season in recent history, I’ve come to learn that as leaders, being proactive is our best way to contribute. Make no mistake, I am not a disaster management specialist. I am, unfortunately, a disaster fundraising expert. I have been on the fundraising frontlines of several of our nation’s largest disasters, from hurricanes, to campus shootings, to the 1,000-year flood. While I pray you never experience such crises, I share these tips with you in hopes that if you are faced with such an event, you will be armed with the information needed to effectively mobilize your fund development team, lessen the anxiety in your community, and best leverage your talents to help those in need.

The only nation is humanity.  ~ author unknown

BE PREPARED

As organizational leaders, we must have an executable emergency plan in place for our development team. While the disasters we encounter are seldom the ones we plan for, we can still be prepared.

• Assemble a team of your top decision makers for communications, fundraising, data management, security, and implementation. Devise a crisis management plan and agree to meet monthly to review it and make adjustments as needed.
• Identify your essential personnel and create a contact list with names, phone numbers, addresses, etc. Think creatively about your contact methods; during a disaster you could very well lose access to typical communication channels (e.g., cell towers go down or are overloaded). One way to address this is to establish a physical reporting protocol. Identify a meeting location where everyone can convene in the event communication lines are compromised.
• Establish a chain of command with contingencies. Everyone should know who initiates the crisis plan; essential personnel must know how to identify when their services are needed; and all employees should know who to contact in regards to their safety, location, and personal status. There’s always a possibility that someone on your team may be directly affected by the crisis, so ensure you establish contingencies within your chain of command.  
• Create detailed lists of property and critical sites that need to be secured. For example, does your faculty have research that needs to stay frozen or does your hospital have blood centers that need stable temperatures? Identify who is responsible for these tasks and be sure you are keeping supplies on hand for such occurrences (e.g., dry ice, generators).
• Establish a communication plan executable when you are without electricity.  Sometimes you may not have electricity but your constituents do, so consider contingencies such as generators; pop-up call centers; pre-established partnerships with your local media outlets; and contracts with off-site IT consultants who can remotely support your website, social media, email, phone messaging, and text messaging systems. It is vital to have an emergency communication protocol that enables your team to get messages out, but don’t underestimate the power of social media as it can become the tool in which your constituents communicate and interact with you.
• Outline a strategy for volunteer coordination and designate a leadership team for this effort. In a crisis, people want to help, so planning for how you will manage that help is important. Identify who will organize volunteers, a check in time and place for volunteers to assemble, how you will communicate, a protocol for how decisions will be made, etc.
• Verify your donor database contacts annually or biannually. Some disasters may lead to a large number of your donors being displaced or relocated. Create a system that enables your donors to easily update their contact information with you year-round, but especially during the crisis.  
• Prepare a microsite that can be launched remotely at any time. Include things such as preparation checklists; instructions for securing things outdoors, securing windows, etc.; contact information for police, fire, electricity, water, sewage companies; evacuation, closure, and shelter information; and volunteer coordination details. Remember that this may be the first time your clients are experiencing this type of disaster. For example, if you are in a university setting, it may be an out-of-state student’s first hurricane, so don’t assume they are familiar with what your local students might consider common knowledge in terms of preparedness.
• Encourage everyone to always keep their communication devices charged. In the event you lose power, but still have cell connectivity, you want everyone to have a fully charged devices. Consider investing in car chargers with proper adapters for all your devices, especially for essential personnel.  
• Make hard copies of your plans and require essential personnel to keep them accessible at all times. When we need this information most, we will likely not have computer access or may be away from the office.

COMMUNICATE

• Finding your people should always be your first priority. Use your pre-established calling trees to locate your employees, staff, students, clients, etc. As a leader, you must first manage your organizational family before you can support your surrounding community.
• Communicate early, clearly, and continuously during and after a crisis. Send updates often; your people want to hear from you and frequent communication can help keep misinformation at bay. Distribute information from the CEO or President so people know your top leadership is directly involved in managing the crisis.
• Be consistent in your messaging. Having a singular media spokesperson is ideal but not always feasible in the event of large-scale crises. Preplanning to ensure you know who the single point of contact is for messaging and establishing a team of spokespeople can help your team communicate accurately and consistently, internally and externally. Consider all the areas in which you might need communication leads and pre-plan accordingly (e.g., academics, athletics, medical, facilities).
• Leverage your own mass messaging systems to deliver voice, texting, and email messages to your constituents. Having these automated systems in place prior to a crisis will enable you to quickly and easily distribute consistent messages.
• Keep your microsite updated so those not on your mass mailing list can access information from your microsite. This becomes the central repository for all your communications.
• Proactively manage media personnel who ascend on your organization. When the media is on your doorstep or is demanding information, provide them with a specific site to do business, credential them, and give them a timeline of when to expect updates from you. Appoint a designee for requests and clearly communicate this protocol. Provide access to information and affected areas in a controlled manner. You have the ability and responsibility to manage all public messages and photographs, and to protect the privacy of your constituents.  
• Communicate even if there is no new information. People want to know that you are always on top of things. This is particularly important for those who are concerned about loved ones connected to your organization but watching from afar, such as parents of your students or families of your employees. Remember to always time and date stamp updates.
• Open your call center to the public to effectively manage information. Before disaster strikes, your IT team should have a plan in place for executing a public call center on behalf of your organization. Be sure your communications team is involved in the planning so they can spearhead the organizing of personnel to manage the center. During a crisis, actively publicize the number for your call center and establish yourself as a public resource. At the end of each day, have your call center team compile a list of frequently asked questions and post these to your website.
• Establish a web portal for sharing to support your community. When you have a pre-established crisis microsite, these become easy to implement. Think of this as a CraigsList-type of resource for your community. It could invite postings and shares for things such as residential or commercial real estate rentals, housing/room-sharing, carpooling, resource sharing, etc.
• Designate a documentation team in advance of a crisis. This should be team members who are not needed on the frontlines and can focus solely on capturing photos and videos of your organization’s response to the disaster. Chronicling your efforts will be helpful as you begin telling your story post-crisis, and as you begin debriefs and pre-plan for future events.  
• Plan for post-disaster responsibilities. As things settle down, you will want to host informational meetings, town halls, debriefs, and other gatherings. Organizations that assume leadership roles often remain in crisis mode long after the disaster has passed.

STAY TRUE TO YOUR MISSION

• Be ready to offer a disaster relief fund for donors. Having your microsite prepared in advance will enable you to quickly and easily activate online giving. Be prepared to take online credit card payments and text messaging giving. Donations are greatest during and immediately after the event, while it is still headline news. Use this time to share your message.
• Keep your disaster fund purpose broad so that you have the flexibility to meet the unexpected needs that will arise. For example, you might need to use the funds for support students and their families, address damages to facilities, or provide supplies to crisis support staff.
• Do not cease normal fundraising efforts unless safety is a concern. If you have events scheduled related to your core mission, make them happen. Stay focused, stick to what you do, and avoid mission creep. Do what you do best and fundraise for it through the height of the crisis.
• Keep talking about the great work your organization does despite the disaster. You will exist long after the crisis ceases so be sure people think about the everyday things you do, not just the current event. The unfortunate nature of disasters leave you with a unique platform to share your story; seize the opportunity.
• Keep disaster donations separate from your normal operations when at all possible. Code them differently and separate them from any campaign counting, operational expenses, etc. You should document and justify disaster donations and expenses, so tracking these dollars separately is important. Also, do not be afraid to seek out state, federal, and private disaster relief grants on behalf of your organization.
• Stay in touch with your supporters throughout the disaster. There is a natural connection between donors and the organizations they have previously supported. You will find past, current, and new donors who want to give, so ensure you are ready to receive their contributions.
• Establish a system for managing supply donations. During a disaster, people and businesses often want to send supplies and other goods. Identify a coordinator to interface with these donors and coordinate shipping/receiving efforts. Be very specific regarding what you will and will not accept. These items could be as large as truckloads of generators and mattresses, and as small as cases of bottled water and clothing. When you begin to receive supply donations in volume, storage space can be a challenge. Having a donation team in place to manage these activities is invaluable. Your donation team can also be your frontline team that works in collaboration with other community relief agencies such as the Red Cross.
• Take care to understand the need before distributing funds. There is a delicate balance between getting resources to those in need quickly, and taking the time needed to assess the need. Having a team responsible for assessing the need will help expedite your response time, particularly when it comes to large cash funds.

A FEW FINAL THOUGHTS…

• Some people will disappoint you while others will amaze you. Understand that everyone reacts to disaster differently. Meet people where they are when they want to help, and if they aren’t interested in helping, move on.
• No disaster is ever just like another. Be prepared to break rules and create new ones, and be sure to document justifications throughout the process.
• Keep your head clear and remain certain. You might not always make the right decisions in the height of a crisis, but make the best decisions you can with the information and training that you have available. Change direction if you need to without apology, only explanation.
• Remain open to coordinating with many large agencies such as Red Cross, Salvation Army, Pan American Health Organization, FEMA, FBI, and so on. Respect their protocols and jurisdiction, but do not be afraid to ask questions, demand answers, or stand your ground when necessary.
• Document everything. Hold daily morning and evening briefing meetings with key constituents. Designate a recorder to document briefing conversations, questions, decisions made, and events that transpire. Keep all incoming and outgoing communications, including emails. All of this will be critical in dissecting your response post-disaster and helping you plan for the next crisis.
• Prepare yourself to address donor fatigue (everyone is approaching them for help) and compassion fatigue (we’re overwhelmed with so many sad stories). Have a list of care professionals including social workers, counselors, etc. for your team members.
• You might be back to work, but not back to normal. Provide stress relief opportunities and post-traumatic stress counseling within your organization. Make space for grieving and recovery.
• Volunteers will begin to disappear despite the fact that you still need them well after the disaster. They are tired too and are trying to get back to their normal schedule, so think about how you might continue to engage volunteers while also offering them relief.

I don’t wish disaster on anyone, but I do encourage everyone to plan for it. Thoughtful preparedness can keep you at your best when you are faced with the worst. We understand fundraising is challenging, and know firsthand that it can be even more so during times of crisis. I hope our experiences help you in your planning processes, and please know that regardless of what comes your way, you are never alone.

BE PREPARED – COMMUNICATE – STAY TRUE TO YOUR MISSION