Colored pencils

What to Say When Your Donor Asks: How Much do you Spend on Overhead?

Colored pencils

I’ve been asked this question many times.

And not just by donors, but also by board members.

One of the ways I’ve answered is with my own questions:

  • If you could invest 20 cents to get a dollar, would you?
  • If you could invest 50 cents to get a dollar, would you?
  • If the dollar you got was old, wrinkly and ripped, would that matter to you?
  • If the dollar you got was mint, would it be worth it to you to pay a bit more?

Maybe the return on your invesment doesn’t matter to you. But maybe it does.  In the case of the wrinkly vs. mint dollar bill, it would matter a lot only if you’re a collector.  Change that to 50 cents to buy a bag of fresh, nutritious produce that will last a full week vs. 20 cents to buy a bag of old, rotten vegetables, and you begin to understand.

All things are not created equal.

That’s true, BIG TIME, for what folks consider ‘appropriate’ overhead.

There’s a time and a place for the red pencil, but most of the time another color will do a more effective job of generating the revenues you need to survive and thrive.

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Whiteboard planning session

Nonprofit Strategy: Three Things to Cleverly Finagle

Whiteboard planning sessionOnce upon a time I let folks know I’d “finagled” a discount for them. After one reader told me the word “finagle” means “to obtain something by devious or dishonest means,” I sent an apologetic “Ruh Roh” email. I received a lot of forgiving (thank you!) feedback. Many kindly supported my initial use of the word “finagle.”

Apparently, there is more than one definition of finagle.

Susan sent me this:

finagle (third-person singular simple present finagles, present participle finagling, simple past and past participle finagled)

    1. (transitive) To obtain, arrange, or achieve by indirect, complicated and/or intensive efforts.

finagle a day off work

    1. (transitive) To obtain, arrange, or achieve by deceitful methods, by trickery.

finagled his way out of a ticket by pretending to be on the way to a funeral, distraught

I think the word has come to mean “using super-human negotiating skill to obtain a superior result“

Terry sent me this:

I thought you meant “obtain (something) by indirect or involved means.” I always felt it was sort of clever or creative negotiations to get something done when it seemed like it couldn’t be done. 

Sam sent me this:

I always thought it was someone who could manipulate circumstances to achieve a goal. No adverse implications. No criminal intent. Just clever in being able to make something work that really shouldn’t have worked.

And there were more. I thank you all.

You made me think.

And not just about negotiation (which is a subject unto itself), but about being clever.

And thoughtful.

And about what it takes to obtain superior results.

All good outcomes require a little positive finagling to get there.

Lots of things can be good and bad at the same time.

For example,

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Muir Woods California pathway fork

The Meaning of Philanthropy, Not Fundraising – Part 2

 

Muir Woods California pathway fork

Get on the Pathway to Passionate Philanthropy, Not Forgettable Fundraising

In Part 1 I laid out why philanthropy inspires, and fundraising tires.

Fundraising must be done, of course, but there’s something about how it’s too often practiced that turns too many people off.

It’s the “fund” part of the word. This makes people think it’s all about money, when really it’s all about valued outcomes.

These valued outcomes are shared by many who care about the cause.

  • Donors and non-donors.
  • Employees and volunteers.
  • Users and providers of services.
  • Development departments and program departments.

All these folks have a collective stake in the love and mission-focused organization’s survival.

Because all of them are dedicated to making the world, or some small corner of it, a better place.

How Philanthropic Stakeholders Get Disenfranchised

When fundraising is delegated to the development committee, or the development director, it disenfranchises a huge segment of folks who care about sustaining the cause — both internally and externally.

Similarly, when donors are competed over, donors are disenfranchised. This may take the form of non-cooperation or even outright war between those who should be facilitating philanthropy.

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cat in tree

Don’t Worry, Be Happy: Useful Life Advice for Nonprofit Fundraisers

Some years ago I happened on an article in the New York Times where the author, David Pogue, asked readers for their very best ‘life advice.’  There was so much great stuff in there!  If you happen to have a NYT subscription, I’m sure you’ll enjoy reading the full article. For those who don’t (and really for everyone), I decided to share some of my favorite pieces of wisdom with you.  Particularly those that apply to your nonprofit work. And, especially, those that apply to your work/life balance.

Let’s begin!

1. Worrying about a cat stuck in a tree?

cat in treeNot every problem needs to be addressed immediately. Some will work themselves out.

“You’ve never seen a cat skeleton in a tree, have you?” When Alexandra Aulisi’s cat couldn’t get down from a tree, her grandmother reassured her with those words, predicting (correctly) that the cat would come down on his own. “This advice made me realize that, sometimes, you need to shift your perception of a problem to see a solution,” Ms. Aulisi noted.

— David Pogue, NYT

While it’s tempting to drop everything (e.g., whenever a new email appears in your inbox, especially if it’s someone asking for help), it’s important to assess if this situation actually requires a rapid response. If not, you have options.

ADVICE/OPTIONS:

1. Lil’ Bo Peep: “Leave it alone and it will come home.”

Ever been on vacation and noticed a flurry of emails, back and forth, forth and back, from members on your team?  Often, by the time you’ve returned, the ‘problem’ – as urgent as it may have seemed at the time based on all the email hyperbole – seems to have evaporated. I’m not suggesting you ignore legitimate, pressing problems; just use common sense and exercise judicious restraint.

2. Could someone else handle this?

I’ll never forget some excellent advice I received (actually from one of the donors I worked with during the years I was a young parent).  While I was stressing about potty training, she told me: “Have you ever seen anyone at college who still wears diapers?  If you don’t potty train your son now, never fear.  His college girlfriend will!”  It was silly, yet made a whole lot of sense. I didn’t need to oversee and micro-manage every little thing. Sometimes things happen on their own time frame. This was a reminder that patience can be a virtue.

2. Having trouble getting started?

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Strategic Nonprofit Board Recruitment

Passion led us here photoWhen organizations aren’t raising as much money as they need, they’ll often tell me: “We need to recruit new board members.” This is very often true, but it’s only a piece of the puzzle as to why they’re not being more successful with fundraising.

So, if you’re about to embark on some board recruitment, I strongly encourage you to do a little soul searching first so you can embark on your quest strategically.

Not all organizations are the same. In my humble opinion, the best boards are fundraising boards. You may have a self-described “community board” you’d like to evolve to a fundraising board. Or you may be part of a bifurcated organization where there is more than one board with different purposes (e.g., governance; foundation; advocacy), so your part can perhaps afford to be less engaged with fundraising.

Most nonprofits need a board that is a fundraising engine.

For the purposes of this article, I’m going to assume you’re like most nonprofits. This may mean you believe you need to recruit ‘rich people.’ Or already experienced fundraisers. And since you don’t know any of the above, you make these common mistakes:

  1. You keep putting board recruitment and development on the back burner.
  2. You keep recruiting more folks exactly like the ones you already have.

Are you, inadvertently, holding yourself back?

You are if either of the two mistakes above sound like you.  Alas, this won’t help you resolve your fundraising conundrum.

So, let’s begin someplace else. Before beginning recruitment of the WHO for your board, begin by reminding yourself of the WHY.

Why Do You Need Board Members?

Certain skill sets may come to mind first. Such as “we need a lawyer.” But this is only a piece of what you’re looking for, and it’s not the most important piece. You could recruit the most famous lawyer in your community, but if they refuse to use those skills on your behalf – or if the area where you need help is not their area of expertise — this is meaningless.

Begin by answering this question:

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How to Craft a Nonprofit Board Orientation Strategy

Board orientationPlease don’t leave your new (or old for that matter) board members dangling!

Being a board member is not something we’re generally taught. In fact, it can be a complete mystery. Folks feel proud to have been recruited to join your board, and excited to begin their service, but… what happens next can mean the difference between a fulfilling experience and a disappointing one.

Do you have a board orientation strategy?

I don’t just mean in a dusty handbook somewhere on a shelf or in a file no one can find. I mean a vibrant orientation approach that kicks in the moment your board candidate says “yes” and, subsequently, as soon as they’re voted in by the full board.

Recruitment is just the tip of the iceberg of building an effective board.

It’s an important “tip,” don’t get me wrong. And all too often it’s handled poorly, leading to nothing but problems down the line. One of the most common complaints I hear from nonprofit staff is their board won’t help with fundraising. And the most common reason is the board members tell me: “I wasn’t told I’d have to help with fundraising,” or even worse “I was told I didn’t have to fundraise.”

Don’t put yourself in the bait and switch mode.

From the get-go, explain to prospective board members what’s expected of them. All should be involved in some way in giving and getting. Once they sign on, solidify this agreement and their critical role as ambassadors, advocates and askers during the orientation process.

What to Include in a Board Member Orientation

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Wanted sign

Fundraiser Job Tips: How to Hire/Get Hired + Top Interview Questions

Wanted signIn my last article I talked about how to pitch yourself for a new job. My focus was on fundraising jobs, but it’s a paradigm you can use for any time you’re trying to make a persuasive case for yourself.

Today I’d like to get to the part where you’ve transitioned from “selling” to the interviewer, and have arrived at the part where they sell to you.  In other words, it’s your turn!

It’s important to prepare for this part of the interview. And, if you happen to be wearing the interviewer hat, you can use these tips to listen for important questions that will tell you a lot about your potential hire.

The Purpose of Question Time

Definitely come prepared with what you want (and need) to know to make a wise, informed decision.  You’ll want to ask about this organization’s history, its programs, its culture (don’t overlook this one!), this position, and the person(s) for whom – and with whom — you’ll be working. Think about what success would look like for you, and probe to assure the pre-conditions to achieve that success are in place.

The interview is as much an opportunity for the candidate to get to know the hirer as it is a chance for them to get to know you. There’s little point in selling yourself for a job you ultimately don’t want and won’t enjoy. Where you’ll just be spinning your wheels. Where you won’t have a chance to grow professionally. Life is too short.

POINT OF PERSPECTIVE: I’ve interviewed a lot of candidates in my day. And, truth be told, if they don’t avail themselves of this opportunity to ask questions I really wonder about them. How can they be so lacking in curiosity? Did they not prepare for this conversation? How are they going to learn things on the job so they don’t just do things the right way, but do the right things? If it’s a front-facing fundraiser position, how are they going to be when faced with the opportunity to build a relationship with a donor?

When I’m in hiring mode, I don’t need a broadcaster as much as a relationship builder. I don’t need someone who boasts ad nauseum about themselves as much as need someone who probes for my interests, needs and challenges. So, if you’re the hirer, listen to see how many of these questions your candidates ask; be prepared to answer these questions.

Top 20 Interview Questions

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Time for Change sign

Borrow From Old MacDonald’s Farm to Interview for a Fundraising Job

Time for Change signDid you have a New Year’s resolution to look for a new development position? Or maybe to transition to work in the social benefit sector?

Have you put your job search off, wondering how your skills translate to what you’d really like to do?

We all have an inner critic telling us super unhelpful things like:

  • You’re not ready yet.
  • You need another course or degree.
  • You need more years of experience doing x, y, and/or z.
  • You need time to prepare.
  • You aren’t good at this (math/negotiating/technical/financial/digital/sales) stuff.
  • You aren’t as confident as other people.
  • You can’t take this leap; it’s too risky.

These are all variations on the theme of “you don’t have what it takes.”

Nonsense!

This is a totally irrational fear. Your inner critic is perhaps trying to protect and defend you, but actually this critic is holding you back by ruminating on the risks and worst-case scenarios. If you always play it “safe,” you’ll never grow.

Today, I’d like to tell you what it actually takes to be an effective fundraiser.

I hope you’ll see these innate qualities and strengths are things you have already. All you need to do is formulate them into a pitch format you can use when you interview for a job.

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