Building - motto about knowledge and stability

Top Planned Giving Myths and Truths Revealed

Building - motto about knowledge and stabilityWhat the heck are “planned gifts?”

For some reason, this term remains largely mysterious for many nonprofits. There’s a feeling planned giving is complicated. Not for the faint of heart or the small of budget.

This couldn’t be more wrong.

People wonder:

  • Are they deferred (i.e., you won’t receive them until after the donor dies)?
  • Are they outright (i.e., you’ll receive money now)?
  • Are they only for building an organizational endowment?
  • Are they just another term for major gifts?
  • Are they gifts where donors receive benefits like life income and tax avoidance?
  • Are they legacy gifts?

The Truth about “Planned Gifts”

They’re all of the above!

If there’s any overarching guideline, the truth is that planned gifts generally represent the largest gift a donor will make to you.

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Proven Strategies to Climb the Year-End Fundraising Mountain

Mountain climberHave you started working on your annual appeal and year-end fundraising plan?

It’s time!

I worked for 30 years in the trenches, so I know exactly what this time of year feels like.

It feels like you’re at the base of a mountain you’re about to scale.

  • Exciting, but also scary.
  • Exhilarating, yet also daunting.
  • There will be good days, and bad days.

And this particular year, you may feel you’re taking two steps forward and three steps back.

That’s to be expected during times of great uncertainty.

Expected or not, I know you’re still anxious and thinking “What if we don’t reach the top?”

Don’t worry, I’m here to help.

This year you may need the equivalent of a few extra granola bars for energy. And maybe an extra tool or two to help you get a grip.

Right now I want to give you a few specific, timely tips you might not be thinking about.

Here are some strategies I hope will give you a leg up, so to speak.

Ready to Put Your Best Foot Forwards?

Here are 11 tips I’ve learned over the years.

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Fish in a pond

What Fishing Can Teach Us About Fundraising

Fish in a pondAre you in the right pond?

Alas, nonprofits spend too much time thinking about the right way to ask people for donations, yet not enough time thinking about who the right people are to ask. 

It’s like buying a perfect fishing rod and reel, learning how to cast, and then casting off into empty waters.

Folks, success — in fishing and fundraising — takes more than toiling, tackle, and time.

If you are fishing in the wrong place, nothing else matters.

If I had a nickel for every time I’ve heard a volunteer or staff member in an organization say “Why don’t we get So-and-So Famous Person to give?” I’d be a wealthy woman.  Because usually, within a given community, everyone is targeting the same So-and-So.  And here are four reasons why that won’t work.

When You Need to BAIL on a Donor ‘Prospect’

Determining who to include in your major donor prospect portfolio takes work. It’s not something to be done on a whim (or on the whim of a board member who throws out the name of a celebrity who resides locally or a nearby venture capitalist or tech CEO.)  That’s why I put “Prospect” in quotes, because So-and-So is not a viable prospect for you in any of the following circumstances.

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So You Want More Major Gifts This Year? Here’s the Secret!

Dream anything, then think.All you’ve got to do is ask!

Seriously. The number one reason people don’t make a major gift – or any gift for that matter – is no one asks them.

But I’m getting a bit ahead of myself.

Before you can ask, you have to know a few basics:

  • Who will you ask?
  • What will you ask for?
  • When will you know they’re ready to be asked?
  • Where should you ask?
  • How should you ask?
  • Why are you asking?

Let’s take these fundamentals one at a time.

Who will you ask?

Not everyone in your donor base is a major gift prospect. Even if they were, you probably don’t have the bandwidth to cultivate and solicit all of them right now. It’s just common sense to prioritize those donors with whom you’re most likely to succeed. There’s no hard and fast rule as to how to pick this priority group.

I generally advise starting with

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Frame in front of ocean view

Reframe Fundraising: Responsibility, Privilege and Opportunity

Frame in front of ocean view Fundraising is too often seen, at best, as a ‘necessary evil.’

When viewed this way, folks – staff and volunteers alike – understandably prefer not to touch it with a 10-foot pole. Who wants to place themselves on the side of ‘evil?’

Yipes stripes!

But that’s not what fundraising is at all.

The tagline for my business, Clairification, is “philanthropy, not fundraising.” I often talk to folks about how the word philanthropy comes from the Greek and translates into “love of humankind.”  Nothing evil about that!

In fact, if you ask folks to throw out the first word that comes to mind when you say ‘fundraising,’ and then ask them to do the same when you say ‘philanthropy,’ you’ll see it breaks down pretty neatly between good and evil.

Why it’s Important to Reframe Fundraising

If you’re coming at fundraising from the perspective of ‘necessary evil’ or ‘no pain, no gain,’ you’re never going to be effective. Especially when it comes to asking individuals, one-to-one, for passionate gifts.

As long as you hate it, donors will be able to tell you hate it. I call this wallowing in the pain. Never a good approach. Distaste for asking begets distaste for giving.  It’s done grudgingly, not passionately.

When donors can sense you’d rather be doing anything else than asking them for a gift, guess what happens?  They follow your lead!  In other words, they feel they’d rather be doing anything else than making a gift.

But there’s more to reframing fundraising so it’s seen as a really, truly good thing.

I like to reframe it thusly:

  • It’s a responsibility.
  • It’s a privilege.
  • It’s an opportunity.

Fundraising is a Responsibility

If you’re fortunate enough to be a successful nonprofit, this means you’re helping solve some of the world’s most pressing problems.

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boy doing head stand

How to Get Donors to Ask You, Not Vice-Versa

There’s a simple six-step process to assure you secure a philanthropic gift.

The heart of this process — your key to success — is to flip the philanthropic asking equation on its head and get your donor to ask you, not vice-versa. 

That’s right.

Just get your donors to pop this one little question, and you’re home free.

Of course, you have to set them up to pop this question. But it’s easy, once you know the formula.

And I’m going to share that formula with you today.

Guess what else is really great about this?

It’s not scary!

If fear has been holding you back, today is your hallelujah moment.  Because I’m here to tell you exactly how to get your donors to ask you for a gift, rather than the other way around.

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10 Common Nonprofit Major Gift Asking Mistakes to Avoid

When you’re not aware you’re making a mistake, it’s hard to avoid it.

So let’s get curious. I’m going to ask you to close your eyes for a minute to imagine a donor you’ve been wanting to ask for a major gift. I’m going to ask you to visualize a space where you’re meeting. Put them in your office, their home, a café or even a Zoom screen. Choose what’s comfortable, and where you think you’d be most likely to meet with this donor within the next month or so.

Okay… do you have your donor and your meeting space in mind? Excellent!

Now, before closing your eyes, commit to visualizing these four things:

  1. You’re in the room together.
  2. You smile. They smile back.
  3. Someone else is in the room with both of you. . Imagine you brought them with you. Who are they, and how does it feel having them there to support you?
  4. Bolstered by the smiles and good company, what do you say to open the conversation?

SELF-EXERCISE: Okay, are you ready to close your eyes? Even if this feels a little weird, why not give it a try? (1) Pick your donor… (2) your meeting space… (3) your additional person supporting you in the room… and (4) open the conversation. What are you saying to them? What are they saying back? Play this scenario out just a bit, until you get to a place of comfort or discomfort. Then open your eyes.

What did that feel like?

What felt comfortable to you? Uncomfortable? Did it feel more comfortable and pleasant than you may have imagined?  Smiling people, committed to the same cause, hanging out in a comfortable space together…. from such a space can come many good things.  What did you say to open the conversation? How did that feel?

If it felt good, why?  If it didn’t feel good, why?

Take a few minutes to journal some answers to those questions. I guarantee this will help you shift the energy for the next time you move into this space – in real time – with a donor.

A Mistake is Just a Misjudgment

It’s not fatal; you can correct it. But first you have to recognize it happened!

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Man jumping over mountain

How to Transform Reluctant Fundraisers into Ready Philanthropy Facilitators

How do you help people afraid of fundraising become comfortable in what should be a mission-aligned role for everyone associated with your nonprofit organization?

After all, everyone benefits from increased philanthropy.  Not just development staff.

Increasingly, successful nonprofits are adopting cultures of philanthropy where everyone involved – administrative staff, program staff, board members, committee members, direct service volunteers and even beneficiaries – comes together as ambassadors, advocates and askers on behalf of furthering the organization’s mission, enacting its values and fulfilling its vision.

Facilitating philanthropy is not rocket science, yet folks unaccustomed to the relationship cultivation and solicitation required to land major donations are fearful because they don’t know how to do it. Actually, they do. They just need some guidance, hand holding and support along the way. Reluctant fundraisers tend to think fundraising is just about money. It’s a lot more than that.

It’s the job of a nonprofit’s leadership to work with insiders (staff and volunteers) to help everyone feel both passionate about the cause and confident in the fundraising process.

There are barriers to be overcome; first and foremost is fundraising fear.  This fear takes many forms, and is perhaps best expressed in some of the questions I frequently receive.  So I’m endeavoring to answer a few of these questions below.  Hopefully this will help you address these challenges within your own organization so you, too, can transform folks from fearful and reluctant “fundraisers” to joyful and ready “philanthropy facilitators.”

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text messaging women

How to Rock Nonprofit Text Messaging Appeals

text messaging womenText messaging is becoming an increasingly important fundraising tool. Why? One of the reasons is U.S. adults now spend 10.5 hours/day consuming media.  With all the competition for your donors’ attention, there’s a need to cut through the clutter.

Texting can do that! In fact, it offers a wonderful way to strengthen and build authentic relationships with your donors because it’s so intimate and immediate. Done well, it can create a potent way for people to connect with your cause.

The key is to choose the texting tools that will work best for you, given your resources and constituency, and to wield those tools with wisdom and responsibility. While I’m not recommending any particular products, much of what I’m reporting in this article I’ve learned from experts at Rally Corp and Qgiv. You can find additional platforms here; there are others as well.

Why text messaging is so powerful for fundraising

  • Over 90% of Americans own a smartphone. And they look at it at least 80 times/day, on average.
  • 98% of texts are read within the first five minutes – which is way better than the 20 – 30% open rates for emails.
  • 39% of people have more than 100 unread emails in their inbox, with 20% saying they have over 1,000
  • 10 – 15 minutes is the average adult attention span; short term it can be as short as 8 seconds.
  • 90% of texts get opened and read.
  • 45% of people reply to branded text message blasts; 5%x the average reply rate of emails. The most immediate information – where folks go if they really want to reach us – is found on smart phones.
  • Almost 40% of Americans use cell phones to pay at least one bill. So your constituents are already accustomed to processing financial transactions via mobile.
  • Studies suggest text messages generate average gifts of $112 per Rally Corp. Even major gifts are given this way today.
  • Adding a text to donate as a giving option resulted in a 32% increase in giving over a 12-month period per a study by PushPay.
  • A study by Qgiv learned 10% of donors, overall, prefer to give by phone. And it’s a higher percentage for certain demographics. While not as attractive to Boomers (who still represent the majority of giving), it’s true for more than 30% of GenX and Millennials.

Different styles of text fundraising

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Philanthropy is a Team Sport

Team huddleNo one can do it alone, sitting in their own little corner.

Not the E.D. Not the development director. Not the development committee of the board. Not the fundraising consultant.

One-person shows don’t work in fundraising.

This isn’t tennis, figure skating or golf. You’re not one person trying to be the best you can be, with all the glory accruing to you. You’re part of a team, all pulling together in the same direction, with the glory accruing not just to your team but also to your fans and your community.

Siloes don’t work in fundraising.

You aren’t saving up grain for the winter. Besides, simply hoarding won’t help enough. Development operations must figure out how to grow and harvest as much grain as possible so you can feed more and more people in need. Hoarding in siloes is a scarcity, not an abundance, mindset. A status quo, not a growth mindset.

If you have vision and big goals you need a team to see you through.

How Do You Build Your Development Team?

Begin with recruitment of stakeholders.

Look around you. Who do you see? You see internal and external stakeholders. People who care about your organization winning.

Generally, you’ll see:

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