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Aug 15

Greetings from United Way of Central Indiana’s new CEO

By Sponsor Insight

An interview with Fred Payne

Three weeks on the job as leader of United Way of Central Indiana, I admit, I’m already astounded.

Astounded by the importance of United Way of Central Indiana’s role in our seven-county community; the support from the passionate United Way staff and board, who are eager to bring me up to date on our impact initiatives, fundraising strategies and advocacy efforts; and the kindness of hundreds of friends, colleagues, donors, civic and nonprofit leaders, and folks I haven’t had the pleasure of meeting yet who emailed me their personal congratulations upon my appointment as president and CEO.

As of this writing, I’ve been asked on several occasions: Who is Fred Payne? Why did I choose this leadership role? What is my vision for United Way? And, my favorite question, Is a hot dog a sandwich? Below, I’m happy to oblige!

Who is Fred Payne?
I am the youngest of eight children. I’m from Louisiana and spent most of my younger days in the South. Indiana became my home upon graduation from IU Law School, where I met my bride, Kelly. Four children and many professional affiliations later, my family and I are proud Hoosiers by choice.

Why lead United Way?
After nearly five years as commissioner of the Indiana Department of Workforce Development, I felt better equipped to understand the needs facing our communities. Every day, I saw individuals who wanted to live the best lives they were capable of but were held back by a lack of basic needs, education, training and opportunity. Building on the great work of my predecessors, I’m looking forward to opening the doors to new opportunities for United Way to help people in a deliberate and focused manner and strengthening new partnerships along the way.

What is my vision for United Way?
With only a few weeks under my belt, I can safely say that my big vision is to create greater partnership between government and nonprofit organizations in a strategic, intentional way. We are called United Way for a reason — we cannot fight poverty as a single entity. Central Indiana is a place filled with diversity of thought, brain power to move ideas to action, and compassionate people willing to support others.

This month, I’m traveling across United Way’s entire service area of Boone, Hamilton, Hancock, Hendricks, Marion, Morgan and Putnam counties for a series of free Community Meet-and-Greet events. I hope to introduce myself to as many passionate individuals as possible and better understand the needs we face and the opportunities we have as a community. If you live or work near any of these Community Meet-and-Greet locations, please reserve your spot and join us!

Is a hot dog a sandwich?
Speaking of astounded, I never realized my “rapid fire” questions could raise such great debate!

Thanks for all you do to support our communities. It’s a pleasure to join you, work with you, and serve in Central Indiana’s nonprofit sector.

Aug 08

Nonprofit leaders must take a hard look at employee engagement in today’s job market

By Sponsor Insight

by Christine Shepherd, managing partner, PlanningPlus

When I was entering the workforce in my late teens, a solid, well-written resume and interview skills were everything. As a job seeker, long tenure and job stability were key factors in the job hunting and interviewing process. If you were looking for positions in management and leadership, a stable and consistent work history was considered a major plus.

Now, more than 25 years later, the job market is in a different place. Various job experiences paired with shorter tenure have slowly become the new normal. Career paths are not always linear. And the massive number of job vacancies and an unprecedented employee turnover rate have led to a significant paradigm shift in employment power.

According to the article Rewriting Employee Engagement, published by the Society for Human Resource Management (SHRM) on Feb. 3, 2022, “19 million (people) resigned between March 2021 and July 2021.” Talking heads and critics tried explaining this labor movement as a blip in time — a response to an influx of COVID relief funding. As time went on and more jobs continued to sit open, it has become evident that employers no longer hold the power.

In the article, the author Eva Andres goes on to say, “It’s a desire for change fed by pandemic-era introspection … What we’re seeing now is shift of power from employer to employee, a humanistic labor evolution in which people are revisiting their values and what they want to do with their lives. That is forcing employers to adapt to employees’ needs instead of the other way around.”

Yes, that’s right. The hiring organization is now in the hot seat.

So how do we assess how we are doing with employee engagement and what can we do better? As defined by SHRM, employee engagement “is the extent to which people enjoy and believe in what they do for work and have the perception that their employer values what they bring to the table.”

The Great Resignation, as it has been called, requires employers to pause and evaluate if and how they are engaging with current and prospective staff. Research has shown that there are six main drivers for employee engagement that an employer should consider: work, people, total rewards, opportunities, company practices, and quality of life.

Of these six drivers, employers often consider two or three out of the six, most often total reward (compensation and benefits) and opportunities (career pathing and job advancement).

It is critical for employers to understand that employees are motivated and driven by different values, goals, and outcomes. For nonprofit organizations that often have limited resources and flat organization charts, it is imperative that leaders seek to understand what is meaningful to employees, what they value, and why they chose to work for their organization. It’s also important to understand how to add value in the lives of employees and how to make a difference to them — and for them.

Making organizational changes, even good ones, takes time, and it must start at the beginning for it to be lasting change. Start with current policies and procedures, job descriptions, performance plans and employee handbooks. Evaluate and assess the message, tone, and clarity of communications with staff members. Beginning with current recruitment and retention strategies will help identify the areas in which the nonprofit is currently doing well with employee engagement as well as opportunities to do better.

It’s important to involve employees in the process and ensure you are working with honest and candid feedback about current retention and recruitment practices.

PlanningPlus has helped dozens of for-profit and nonprofit organizations assess and enhance their employee engagement strategies. We understand that with a candid assessment, a critical eye, and a true desire for change, you can truly be a value-add in the lives of all your employees.

Jul 25

Part 2: Is it time to take a break?

By Feature

Lilly Endowment’s nonprofit renewal program highlights benefits of rest

(As nonprofits seek ways to encourage employee retention, enhance recruitment and minimize burn out, Not-for-profit News explores the benefits of Lilly Endowment’s renewal grant programs in this second part of a two-part series. Read Part 1)

[Headline] Part 2: Is it time to take a break?

[Subhead} Lilly Endowment’s nonprofit renewal program highlights benefits of rest

[Byline] by Shari Finnell, editor/writer, Not-for-profit News

(As nonprofits seek ways to encourage employee retention, enhance recruitment and minimize burn out, Not-for-profit News explores the benefits of Lilly Endowment’s renewal grant programs in this second part of a two-part series. Read Part 1 https://charitableadvisors.com/is-it-time-to-take-a-break/)

What would you do with $10,000? How would you rekindle your passion?

Those are the types of questions posed by the Indy Arts Council to applicants of its Creative Renewal Arts Fellowship Program, an initiative funded by Lilly Endowment, Inc., to ensure that artists and art administrators have an opportunity to replenish and reignite their creativity.

For one applicant, the answer to that question resulted in her traveling to Nigeria, recalled Nikki Kirk, director of community investment for the Indy Arts Council.

“As a dance teacher, she had been teaching various African dances but had never been to Africa,” said Kirk, who oversees the arts fellowship program. “While in Africa, she took three classes a day, learning from the folks who are from the region where it started. It re-energized her teaching by allowing her to really get to the heart of what the dance form is all about.”

Jean Luc Howell, director of historic preservation at Newfields, used part of his renewal grant funds to travel with his girlfriend during an extended road trip. Along the way, they visited historic destinations, including the Biltmore Estate in Asheville, N.C., the Winterthur Museum in Winterthur, Del., and Stan Hywet Hall and Gardens in Akron, Ohio. In addition to exploring the historical sites, Howell made wax rubbings of historical manhole covers he came across.

The award came at a time when nonprofit organizations are under intense pressure to come up with new ways to attract visitors, Howell said.

“Having a break was phenomenal, especially now,” said Howell, noting that many organizations operate on a year-round schedule to remain competitive. “We don’t have quiet times like we may have had in previous years, where you can take a breath, clean your office and catch up on other things.”

“With our current seasonal programming, the schedule can feel unrelenting. You must put something out that’s the best or the newest to get people’s attention,” he said.  “You’re competing against people going to the movies or even staying home to stream movies. And there’s pressure to raise money as a nonprofit through income-generating programs. You can lose the passion for why you wanted to work in a museum or a nonprofit in the first place.”

Giving nonprofit employees an opportunity to step back, whether through the renewal grant programs, paid time off or other benefits, has become increasingly important in today’s climate, Howell added.

“There’s so much more pressure,” he said. “Things like this are going to be more important as we move through issues of DEI and other heavy things we’re dealing with at work. You need an extra break from trying to navigate all of that as well.”

Exploring goals through the process

With up to 200 applicants vying for 40 grants through the renewal program, only a fraction of them will be able to take advantage of a renewal, Kirk pointed out. However, she said, the grant application process itself can be therapeutic.

“Some of the individuals that I’ve spoken to have said that even writing the grant application has been renewing for them because it’s about answering questions like, ‘What do you want to do?’ ‘Why do you want to do it?’ ‘How is this going to impact you?’ ‘What’s inspiring to you?’,” Kirk said.

“For the folks who do receive the grant, it’s really impactful and powerful, eEpecially during these times of COVID and excessive burnout,” Kirk added. “But beyond that, for the folks who aren’t selected in this round they get some form of renewal by writing down what they want to do. That type of creative writing style has an impact.”

Lilly Endowment has numerous renewal programs that are designed to help rejuvenate professionals in various sectors, including teachers, pastors, youth workers and human service workers. The program for artists and art administrators was implemented in the late 1990s.

“People experiencing burnout don’t necessarily turn out the most creative work because their minds are in so many different places,” Kirk said. “Being able to take that time for yourself helps you invest further and more heavily in the work as you come back into the space.”

Jul 18

Is it time to take a break?

By Feature

Lilly Endowment renewal programs highlight benefits of rest

by Shari Finnell, editor/writer, Not-for-profit News

(As nonprofits seek ways to encourage employee retention, enhance recruitment and minimize burn out, Not-for-profit News explores the benefits of Lilly Endowment’s renewal grant programs in this first part of a two-part series.)

As a long-time dedicated nonprofit employee, Angie Hoskins understands first-hand the symptoms of employee burnout. In 2019, her stress levels hit a peak as she took on additional responsibilities at Easter Seals Crossroads during a critical transition in roles.

“I was juggling two different positions with no end in sight,” said Hoskins, who is a benefits specialist technical assistant for the nonprofit organization. “I was being pulled in several different directions and working a lot of extra hours during a transition.”

Her concerned supervisors urged her to apply for a grant through United Way of Central Indiana’s (UWCI) Human Services Professional Renewal Program, Hoskins recalled. Under the program, which is now in its 20th year of being fully funded by Lilly Endowment, offers up to $10,000 each to up to 25 human service professionals each year to pause from their day-to-day responsibilities to explore their passions and new ideas. Lilly Endowment funds similar programs for teachers, clergy, artists and art administrators.

Hoskins’ grant request to explore her genealogy by touring Ireland was approved. However, COVID-19 travel restrictions related to international travel in 2020 forced her to make a change in plans. This year, she traveled to Alaska with her husband, Shane Hoskins, for a cruise and land tour. 

After returning to Indianapolis, Hoskins said, she experienced a renewed sense of purpose. “This trip was much needed. I came back not expecting how revived I would feel. I was excited to do my job again,” she said. “It also gave me the opportunity to step back and recognize how many people I’ve been able to help.”

Going beyond recognition

Julie Koegel, program coordinator for UWCI’s Human Services Professional Renewal Program, said that the benefits of the program extend beyond acknowledging an employee’s dedication to their nonprofit work. They can prove to be a motivating factor for retention and innovation among employees in the field, she said.

Nonprofit work can be demanding for many employees, Koegel pointed out. “They’re often working long hours. Some of them are on call 24/7. Some are missing their own kids’ activities because they’re going to the activities of the children they serve,” she said. “People get burned out. During COVID, in particular, it’s been really hard because these individuals have been first responders; among the first ones being called for assistance.”

“We wanted to make sure people who have been working in this field for 20, 30 or 40 years are able to experience renewal,” Koegel added. “We also want to recognize those who are younger, who haven’t been working in the field as long. We want to keep them in the field.”

Recognizing nonprofit employees at all levels

According to Sara VanSlambrook, chief impact officer for UWCI, the grant renewal program is an important way to recognize nonprofit employees who often don’t qualify for other recognitions. 

“Too often, frontline managers and staff are overlooked,” VanSlambrook said. “Awards and recognition are often targeted to executive directors. This program is for anyone at any level within an organization. About 45 percent of the grantees over the years have been frontline staff.”

Renewal grant recipients have included employees ranging from executive directors, vice presidents and managers to receptionists, cafeteria workers and correctional officers, she said. 

VanSlambrook also said that these types of benefits in the workplace can be critical for retention.

“It communicates to human service professionals that they are essential workers, and that we value them,” she said. “It reduces stress levels for those who receive it. It brings new energy and creativity to the work upon returning from an investment like this. They usually come back with new ideas and new knowledge that will enhance their work.”

Applicants of the UWCI Human Services Professional Renewal Grant program must meet the following criteria:

  • Must be an employee of a UWCI agency, UWCI, or an invited human services organization that is actively engaged in a UWCI collaborative activity
  • Must have been employed eight or more consecutive years by a human services nonprofit agency as of the application deadline
  • Must have been employed by their current organization five or more consecutive years as of the application deadline
  • Must serve clients in the UWCI areas of service: Boone, Hamilton, Hancock, Hendricks, Marion and Morgan counties
  • Must intend to remain in human services work for at least two years after the renewal experience

Over the years of administering the program, Koegel said, she has seen it accomplish its mission among the participants. “They come back to their jobs renewed, with new perspectives,” she said. 

She also said an evaluation revealed that numerous participants said they probably would have left their jobs if they had not experienced the period of renewal offered under the grant.

“They had reached that point where they were so burned out that they were looking at other opportunities,” Koegel said. “This gave them a chance to take a step back, to have permission not to answer their voicemails, not to look at their emails, and to really disconnect for a period of time and really focus on themselves.”

Jul 05

Effective fundraising demands new strategies, timeless principles, and an open mind

By Feature

New edition of Achieving Excellence in Fundraising puts philanthropy in context

by Shari Finnell, editor/writer, Not-for-profit News

As editors prepared to assemble the fifth edition of Achieving Excellence in Fundraising, they shared a sense of unease, recalls Genevieve G. Shaker, lead editor and associate professor of philanthropic studies at the Indiana University Lilly Family School of Philanthropy at IUPUI.

Shaker, who had been involved with the textbook previously in its 30-year history, led a team of more than 50 authors — all with ties to the Lilly Family School of Philanthropy — during one of the most transformative periods in the history of philanthropy. The work on the edition started in 2019 but the team paused as the global COVID-19 outbreak upended the nonprofit sector, philanthropy. The publication was released this spring and was co-edited by Eugene R. Tempel, Sarah K. Nathan, and Bill Stanczykiewicz.

“There was so much happening with fundraising as a result of that period of time,” Shaker said, recalling the uncertainty around the deadly pandemic, heightened awareness about DEI (diversity, equity and inclusion) following social justice protests, economic upheaval, and the rush to virtual engagement.

Several questions emerged during that time, she said, including: “How might this be changing things?” “What are the tried-and-true principles we believe still hold?”

“New editions come out about every five years,” Shaker said. “We wanted to make sure those principles were sustained. How can we make a book, attending to the changes this moment, that also will speak to people several years from now?”

In the end, the team decided to move forward, with the understanding that it may take some time to unearth how the events of 2020-2021 will continue to change fundraising and giving. “We couldn’t wait another two to three years to see what happens longer-term. It’s so important that people have a new book, so we went ahead — even with some uncertainties about the ultimate impact of this period.”


Preparing for what’s next in fundraising

One of the editor’s key takeaways is that principles and strategies of effective fundraising will continue to evolve but many of the foundational principles outlined by the late fundraising expert and The Fund Raising School founder Henry A. Rosso remain relevant, according to Shaker.

The revised book introduces new material and research related to fundraising ethics, virtual engagement and online giving, engaging diverse donors, crisis fundraising, planned giving, and crafting appeals. “The digital revolution has been enormous and it’s continuing through innovations like crowdfunding and artificial intelligence,” Shaker said. “Platforms are still emerging and broadening the ways we can communicate with people. That’s a huge change that we’ve seen over these past 20 years.”

Another development is heightened awareness about engaging diverse donors, Shaker said. “We are always seeking to learn more about different communities of donors, to provide more recognition for their philanthropic approaches, and to be intentionally welcoming and supportive of them as donors,” she said. “This change has been happening prior to the last few years, but it’s more at the forefront of all of our minds as we work to create a more diverse, equitable, and inclusive nonprofit sector.”

Adapting to change

According to Shaker, recent events served as a reminder of the importance of constantly evaluating the effectiveness of current fundraising strategies. 

“We cannot do the same things year after year and expect the same result,” she said. “We must be evaluating outcomes. If, for example, a mailing is getting half the response than previous years, you must be open to changing your approach.”

Shaker noted that Tempel, lead editor of three previous editions and founding dean emeritus of the Lilly Family School of Philanthropy, often stressed that nonprofit organizations can’t afford to operate as closed systems. “Leaders need to approach their nonprofits as open systems — gathering information, listening, and paying attention to what’s happening in the world, in their community, and in fundraising — and adapting all the time,” she said. “COVID, in a way, was a reset for some organizations. It required them to change and they’re not going back.”

Without the pandemic, some nonprofits still would be entrenched in practices that may not necessarily have been working for them, Shaker added.

Guiding principles of fundraising

While the pandemic accelerated the adoption of online giving and virtual engagement, research also revealed that some of the original principles advised by Rosso more than 30 years ago remain unshakeable, Shaker said.

“It has proven some of the things that we believe about fundraising, including the importance of having strong relationships with donors and finding different ways to engage with donors at all capacities,” she said. “Those principles were reinforced during COVID. The pandemic stressed the importance of knowing your donors as people and considering their circumstances, while continuing to communicate with them about your nonprofit’s work, needs, and the circumstances of those you serve.”

The textbook also addresses perceptions about fundraising, many that stem from some cultural and societal beliefs about openly talking about money, Shaker said.

“Fundraising can be misunderstood, even within our own organizations. There are some misunderstandings about what fundraising is and how it takes place,” she said. “We are often battling those misconceptions and educating others about philanthropy and fundraising. At a personal level, many of us are raised in households where talking about money can be taboo. This is an additional challenge, which can take reflection and practice to overcome so it doesn’t impact the way we interact with donors.”

Shaker said that the pandemic also reinforced people’s enormous capacity for generosity through donations and volunteerism.

“It was a reminder that philanthropy is for everyone,” she said. “It reinvigorated and reminded us of the power of human generosity. And that a more inclusive definition of philanthropy includes thinking about all the things that people are doing in addition to giving financially.”

More information about the fifth edition of Achieving Excellence in Fundraising is available at achievingexcellenceinfundraising.com/.

Jun 20

The Milk Bank expands its footprint through an innovative partnership

By Feature

by Shari Finnell, editor/writer, Not-for-profit News

It’s been 17 years since The Milk Bank opened as a nonprofit that provides families in Indiana and throughout the nation with donated human milk. And for years it has faced an uphill battle in helping the community understand the sometimes life-saving benefits it offers to infants, much in the way blood donations are accepted.

An innovative partnership with Versiti Blood Center of Indiana, another nonprofit focused on tissue donation, and the recent formula crisis could significantly change all that.

Jenna Streit, advancement director for The Milk Bank, is all too familiar with the misconceptions that many people have about an organization that supplies parents of newborns and infants with human donor milk.

“I was not aware of The Milk Bank until I was delivering my daughter,” she recalled. “I was having an unexpected C-section and a nurse turned to me and said, ‘Do you want her to have donor milk of formula when she goes to the NICU (neonatal intensive care unit)?’”

A series of questions and doubts immediately emerged in Streit’s mind, she said. “I didn’t know what she was talking about, who the donors were, or about the safety of the milk. It was just so unfamiliar to me, but I trusted my care team,” she said.

That typically is the journey taken by many of the people who have become aware of The Milk Bank, Streit said. “We have been trying to get upstream in our conversations and really try to educate folks early in pregnancy that it could be an option for them. We’ve made good traction this year.”

Partnership built on innovation

The Milk Bank attributes increased awareness about the organization to a partnership with Versiti, formerly the Indiana Blood Center. Although the two nonprofit organizations have similar missions in that they focus on the donation of human tissue, a collaboration didn’t come to mind until The Milk Bank faced an increased need for drop-off locations for its donor mothers.

Through research, the nonprofits found that 31 percent of stakeholders for The Milk Bank wanted more drop-off locations, and 15 percent of blood donors had difficulty accomplishing required blood work.

In 2018, the two nonprofits came together to allow donor mothers to drop off milk at depot locations at Versiti in Indiana and at Kentucky Blood Centers. In 2021, the Meridian Foundation awarded the team a $10,000 Aragos Honors grant in honor of the innovative partnership.

Meridian Foundation founder Donna Oklak, who interviewed members of the nonprofits during the grant-making process, was particularly impressed with the partnership led by Dr. Dan Waxman, senior medical director for Versiti, and a member of the The Milk Bank’s medical advisory committee.

“There was amazing teamwork at The Milk Bank to bring this idea to fruition,” Oklak said. “One ‘aha’ moment, that seems simple in hindsight, was the realization that the blood drive concept could be applied to milk donation. The Milk Bank was able to benchmark and operationalize this idea.  This was when it became apparent that the partnership was more than just a convenient co-location, but also a powerful opportunity to benchmark and share successful approaches in tissue banking.”

Through the collaboration, both organizations were able to increase visibility for each other, create more opportunities to reach potential donors, and provide Versiti blood screening for potential blood donors to become approved human milk donors — a necessary step in the human milk donation process.

According to the organizations, the new strategic collaborative plan also accomplished the following goals:

  • Diversified revenue for both organizations
  • Expanded each organization’s lab and processing staff
  • Enhanced equitable access for all mothers by removing geography and finances as barriers and, over time, will help them reach more diverse families.

Enhancing visibility during a crisis

The five-year-old partnership with Versiti also helped prepare The Milk Bank to handle an increased demand for donor milk during the pandemic and the current formula shortage, according to Streit. The organization now has 70 locations where donors can drop off their milk. (Donors also have the option of direct shipping the milk to the organization).

The milk donations must come from women who have been prescreened through blood tests. From there, the milk undergoes a nutritional analysis, pasteurization and then a sterile bottling process. Then it tested for safety as a final step, Streit explained.

In addition to its partnership with Versiti, The Milk Bank has implemented numerous strategies to enhance its visibility, including promoting testimonials for families who have been recipients of donor milk, implementing peer-to-peer fundraising campaign that highlights the stories of recipients and milk donors, and launching a program, with the assistance of Meridian United Methodist Church, that includes educational materials for expectant mothers.

“We have been helping quite a few families during this time who are who are unable to find formula,” Streit said. “The families that are coming to us typically are searching for one of the specialty formulas that they can’t find on shelves. While this is not exclusively the case, they most often have a baby with a medical condition.

“We definitely have been an avenue for supporting babies during the formula shortage. We have seen a significant increase — almost 90% — in the number of outpatients that we’ve served,” Streit added. “Our donors have been incredible and have stepped up. We typically hear from about 200 Interested milk donors every month. Last month, we heard from 491 potential donors who are excited about helping out.”

Advocating for continuing awareness

The Milk Bank envisions a future in which the need for human milk donation is as accepted and understood as blood donations, Streit said.

“We want milk donations to be seen as legitimate and as equal to blood donations. We are a tissue bank at our core,” she said. “I’m sure it was strange for many people when they first heard about blood transfusions; taking blood out of one body and put it in another. That’s what milk donation is.”

The organization also has taken on an advocacy role throughout its history, highlighting the benefits of breast milk. That cause must continue, Streit said.

“As a nation we are faced with a reckoning on how we are supporting families in feeding their infants. If we cannot safely offer formula reliably, then we need to return to the basics,” she said. “That means how do we ensure that families have every support possible to be successful at breastfeeding? I think more women would choose to breastfeed if they had paid leave after giving birth, safe comfortable places to pump at work and high-quality pumps made available to them.

“Many Americans have a baby and must go back to work within two to four weeks,” Streit added. “Breastfeeding is not even a reasonable option for them. I’m grateful that we can stand in this gap, but I hope that once we get through the crisis at hand, that we look on all that areas that we need to improve and implement changes to support families better.”

Jun 20

Special event season is here! What’s next?

By Sponsor Insight

by John Mainella and Michael Pettry, principals, Cape Fletcher Associates and consulting partners of CICF

The season of special events is squarely upon us in Central Indiana. Whether springtime galas, summer golfing events or the increasingly popular breakfast fundraiser, most organizations are in the midst of special event season.

But special events are a lot of work. Then again, you already know that no doubt.

Here’s where many not-for-profits leave tremendous opportunities on the table. After all the work that brings a special event to life, they forget that the actual value of the event likely lies in what happens following the event. Which existing donors made a second-mile gift or increased their giving level? (A move up the giving tiers!) Who made a first-time donation to the organization? (A candidate for renewal and increased giving!)

We recently had a conversation with an executive director lamenting about all of the time and energy that went into planning and executing an event but forgot to invest intentionality and strategy into what happens in the days and weeks after the event.

Whether you are a seasoned staffer, just starting your journey in development, or a stalwart board member, here are three suggestions to increase the longer-term benefits of your special events.

Record event attendees into your database and segment this group. Organizations use databases for many reasons, but one is especially important: to grow the base of support. Even though a donor may have given at a special event, they should be added to your database and segmented into their own category.

For the next year or so, use this segmentation strategy when you want to communicate with or solicit the constituency. A good rule of thumb to remember is that the likelihood of retaining a first-time donor increases if you make seven touchpoints with them in the first year.

Impact, impact, impact. The donor likely made a contribution at the event as a result of an extraordinary and emotional appeal to support your mission. In the days and weeks following their gift, make sure that you show the donor the impact of their giving. Consider your first touchpoint be a thank you note sent 24 to 48 hours after they donated their gift.

Next, a month after receiving their gift, text or email them a quick 60-second impact video highlighting the work that their gift made possible. Check out this recent study from the Lilly Family School of Philanthropy about the power of video in donor engagement. That subsequent follow-up is a chance to remind them why they gave at your event and show them that you are already putting their gift to work.

Engage them differently. Don’t assume that you will see the donor at next year’s event. Organizations often see a relatively high turnover rate from year to year for attendance at events. But this doesn’t mean special event donors aren’t interested. When we think of the rule of seven touchpoints to retain a donor, build a strategy using your segmentation to keep your event donors engaged throughout the year.
Add them to your quarterly newsletter mailing list. Consider a personal phone call recognizing the six-month or one-year anniversary of their special event gift. Send an email several weeks before the next event with a “Hope to see you there!” theme. Even though the message isn’t overtly asking for a gift, make sure to include a link for donation for people who aren’t able to attend the event.

At the heart of building your culture of philanthropy is a commitment to establishing meaningful relationships with donors and prospects. Of course, special events play a unique role in building relationships with both constituencies, but it is the wise and artful institution that embraces the fact that special events are only the first chapter of a long and meaningful donor relationship.

Founded by principals John Mainella and Michael Pettry, Cape Fletcher Associates employs sound philanthropy practices and effective communication strategies to grow your base of support.

Jun 13

How to comply to new leasing standards for nonprofits

By Sponsor Insight

by Michael A. Staton, CPA, managing director, Alerding CPA Group

As far back as 2016, the Financial Accounting Standards Board (FASB) began discussions on the implementation of new leasing standards. The new leasing recognition guidelines, which outlined requirements for recording almost all leases on entities’ financial statements, met significant pushback from accounting professionals and businesses alike.

Well, the delays are now over. We must all comply with the new FASB standard ASU 842 in 2022. The new standard, which applies to both non-profit and for-profit organizations, became effective for all fiscal years beginning after Dec. 15, 2021. This means that, if you have leases, you must record under the new guidelines effective Jan. 1, 2022. Financial statements for calendar years ending on Dec. 31, 2022 and fiscal years ending in 2023 must be presented with the new standard.

Under the old standards, nonprofits did not record operating leases on their statements of financial position. They simply recorded “lease expense” on statement of activities while making monthly payments. The new requirements were put in place to provide more clarity about organization’s leasing arrangements and cash flow requirements. Donors will now have more information on the future financial commitments that the organization has undertaken.

Leases will be classified as either a financing lease, an operating lease, or a short-term lease.

A financing lease is the same as what we previously called a “capital lease” under the old standards. The classification criteria are basically the same, as it requires the lease term to cover substantially all of the life of the asset being leased, title to pass at the end of the lease or a below market buy-out.

Consistent with current requirements, the lease will be required to be presented on the statement of financial position as “lease assets” and “lease liabilities,” and depreciation and interest will be reflected on the statement of activities.

Operating leases recognition will be significantly changed under the new standards. Instead of simply recording the expenditure on the statement of activities when a lease payment is made, the value of the asset will be recorded just like that of the financing leases. The statement of financial position will reflect the entities “right to use” the asset and the lease liability for remainder of the term. There is no requirement to restate prior years financials for the recognition of operating leases. FASB allows for the assets to be recorded prospectively.

Short term leases of less than 12 months in duration do not need to be recorded on the financial statements. However, if the lease is expected to be renewed annually then the lease should be recorded as an operating lease or financing lease.

There are additional concerns for your non-profit beyond just recording the lease itself. The new leases that you are recording will change the face of your statement of financial position. You will now have more assets, but you will also have more debt. This could cause your ratios to change and potentially make you out of compliance with your bank or financial institution. Your debt-to-net-assets ratio could not be out of compliance, and you could also have issues with your debt service coverage ratio. Please review these ratios with your lender in advance of issuing your year-end financial statements.

For more guidance, contact an Alerding CPA Group account representative to discuss these and any other issues you might have.

Jun 06

To apply — or not to apply — for a grant

By Sponsor Insight

by Kate Tewanger, senior consultant, Hedges

Leaders in the nonprofit sector often feel like they are on an endless search to find new grant opportunities to support their work and diversify the funders in their portfolios. When new opportunities become available or the opportunity to approach a new funder presents itself, it can be tempting to make program modifications to align with a funder’s priorities — particularly for ones that offer a significant financial investment in your work.

Nonprofits may consider expanding their geographic focus, changing who they serve, or adjusting how programs are delivered to align with a new funding opportunity. Modifying program delivery in pursuit of a potential revenue stream may seem reasonable. However, if your organization doesn’t have the capacity to make the changes and they aren’t part of your strategic plan or vision, this approach can lead to negative consequences, including the following:

  • Grant rejection: Rejected grants are always disappointing. Submitting a grant proposal can be extremely time-consuming when you factor in the time it takes to create partnerships, develop strategies and tools to measure impact, and collect input from the community and stakeholders when making program modifications. Stretching the organization’s capacity to align with a grant opportunity can take time away from cultivating and pursuing opportunities that are better aligned with your mission
  • Mission drift and poor outcomes: Redesigning or modifying a program to align with a funding opportunity can slowly drive the organization away from its mission. Potential modifications also can impact program outcomes. For example, a program designed to engage middle school students may not easily be adapted to meet the unique needs of high school students and will likely result in undesirable outcomes.
  • Damaged relationships: Adapting your program to fit into a new funder’s priorities may damage your relationship with long-term funders who have supported the program based on the current design and outcomes. Furthermore, funder priorities often change and shift. Chasing an opportunity that puts your program and outcomes in jeopardy may damage a future relationship with the funder.

Every grant opportunity comes with a cost of time and resources to cultivate relationships and write the proposal. Organizations can write the best proposal, but if the proposed program or project does not align with the funder’s mission and goals, it is unlikely to be successful.

Investing time to carefully assess your organization’s mission and alignment with a potential funding opportunity before you even begin writing a grant can save you time in the long run and ensure that funding opportunities do not drive your work but instead support your strategic vision and priorities. Avoid common pitfalls when assessing a new funding opportunity or approaching a new funder by following these steps.

Step 1: Assess alignment with the funder’s mission and priorities. The first step is to assess your organization’s mission and your proposed program’s alignment with the funder’s mission and priorities. The best place to start your research is on the organization’s website if they have one. Most foundations have websites that clearly state their mission and priorities. Some even have detailed guides for potential applicants that outline specific eligibility to apply, fields of interest (for example, education or human services), a description of the population they intend to impact, and/or geographic restrictions. Through this information, you can begin to evaluate whether your organization’s mission and proposed program have shared goals and objectives.

Other funders may issue a formal Request for Proposal (RFP). This is particularly common for government funding or government funding that is passed through to another entity to administer. In this case, the RFP will likely include specific goals, objectives, and eligibility requirements, and will likely outline eligible and non-eligible activities. Carefully reading the RFP will likely provide the information you need to know whether your organization or proposed program is a good fit for the funding opportunity.

Step 2: Grantmaking history. The next step is to research the funder’s grantmaking history. This information is likely published on the funder’s website or in an annual report. If it isn’t, the information can also be found on the organization’s 990 Form filed with the Internal Revenue Service. Learning about the organizations that have received grants in the past will provide another layer of information as you assess your organization’s alignment. You may observe patterns that are helpful in learning more about the funder’s interests or priorities. For example, you may observe that the funder has only made grants to youth-serving organizations or organizations located in a specific neighborhood. In some cases, the foundation or funder may not have information that easily accessible. If that is the case, reviewing the funder’s historical grantmaking data can be particularly helpful if the funder does not have a website or its priorities are not published.

Step 3: Establish a relationship. The single greatest source of information is often the program officer or other key staff within the foundation. Staff at the foundation or organization providing funding can unlock information about the organization’s key funding priorities and strategies. Scheduling a meeting with key staff at the foundation can provide an opportunity for you to seek direct guidance and advice on their priorities and whether your organization or program align with their interests. Although this step can seem intimidating, it is an important step because: 1) the organization’s priorities are likely to evolve alongside the changing needs in the community; and 2) staff often have valuable insight and information that is not available on the website. Building a relationship with the funder can help you avoid spinning your wheels on a proposal that doesn’t align with the funder’s goals. Conversely, it can strengthen your approach and increase the likelihood that you are successful if you are encouraged to submit a proposal.

To develop a relationship with staff at the foundation, identify a primary contact. This information may be found on the website, listed in an RFP, or by contacting the foundation directly to request the name and contact information of the person best qualified to answer your questions. Another approach is to leverage your board, staff, or program partners who may have a relationship with the foundation’s key staff members and can make an introduction. Before meeting with staff, make sure you have done your homework in steps one and two and have specific questions to learn more about the organization’s grantmaking goals and priorities. This also is an opportunity for you to share information about your organization and programs. Through this conversation, you will learn whether your proposed program aligns with the funder’s priorities. And, just because your program doesn’t align now, it doesn’t mean it won’t in the future.

A thoughtful approach to assessing each funding opportunity or potential funder can save your organization time and ensure that you are pursuing an opportunity that will contribute to achieving its mission and goals.

Kate Tewanger is a senior consultant at Hedges, where she partners with nonprofit organizations to identify and pursue mission-aligned grant funding that expands their capacity and increases their impact.

May 31

Dress for Success rapidly adapts to meet changing needs of women in the workforce

By Feature

by Shari Finnell, editor/writer, Not-for-profit News

When Dress for Success Indianapolis started serving its first clients in 2000, a polished professional women’s suit became closely tied to the nonprofit’s mission of equipping jobless women for the workforce. It became integral to the brand.

During the past two years, in the wake of the pandemic, Dress for Success is now working to shake up that image and address a mix of challenges that prevent women from finding job satisfaction and pay equity. A recent Facebook post stated, “So, there’s a myth that we only have business suits. That’s FALSE. We do have suits, but we also have scrubs, uniform wear and even jeans …”

Dress for Success quickly realized that it needed to change its focus — particularly after actively listening to the women attending their online programs during periods of pandemic shutdowns and social distancing, said Shayla Pinner, director of marketing and development. 

The organization’s clients were confronted with myriad challenges and opportunities, including navigating childcare while working from home, adapting to flexible and hybrid work schedules, and researching ways to further their careers.

Also, Dress for Success increasingly realized that their typical client was no longer typical.

“We’ve always been the place for women who are looking to either enter or re-enter the workforce,” Pinner said. “But over the last two years, we’ve seen more than 50 percent of the women coming in are actually employed. They already have a job but they’re either looking for a better job or a career job. We are trying to continue to meet the needs of women in that space. And a lot of women are just having a hard time with the obligations of life plus work.”

Pandemic paving the way to more opportunities

Although women were struggling to find work-life balance as a result of school and daycare closures following the pandemic, it also proved to be a catalyst for women to assess what they truly want for their careers, Pinner said.

“The pandemic has changed the workplace. There are a ton of opportunities for growth, especially for women who want to do something different,” she said. “Women are starting to re-evaluate things and asking questions like, ‘What do I want to do?’ ‘Where do I want to be?’ and ‘What are my needs?’ As women, we’re starting to advocate for ourselves more. We’re starting to say, ‘OK, this does not work for me.’”

As the workforce evolves, Dress for Success will continue to find ways to meet the needs of women who continue to face inequities, according to Julie Petr, CEO of the organization.

“We strive to give women the tools that they need to thrive in business and in life,” she said. “In five years, it would be our hope that access to professional opportunities is more equitable for all women and that the gender wage gap is reduced.”

Supporting all women in an evolving workforce

Throughout its history, Dress for Success has evolved to address the complex challenges women face in obtaining gainful employment, including offering programs focused on interviewing skills, identifying their clients’ strengths through a Strengths Finder certification course, career assessments, and goal setting.

Over the years, the approach has become increasingly comprehensive, Pinner said. “We recently hired a success coach who is a licensed social worker to work with women in overcoming barriers to employment, such as transportation, housing, food, stable childcare and other barriers to stable employment. We’ve really evolved in trying to meet women through holistic wrap-around services so that we are the one-stop shop for women who are looking to either enter the workforce or level up in the workforce.”

Dress for Success, which will be celebrating the 20th anniversary of its signature fundraiser, Stepping Out in Style, on Sept. 16 at JW Marriott, also has had to consistently dismantle misconceptions about its mission, according to Pinner. 

With an increasing number of women seeking career advice from the organization, it appears that the team is making inroads with that goal. 

“One of the major misconceptions is that we only serve a particular group of women — low income, disadvantaged or lack of education,” Pinner said. “That’s not true. A lot of our women are high school graduates and college graduates. We also have some with master’s degrees. They want help to succeed and move up in the workplace and they don’t know how to do it.”

Dress for Success also has expanded its programming to include topics that help women negotiate for higher salaries, more PTO, and flexible and hybrid schedules, Pinner said.

“Those are things that we didn’t talk about much before the pandemic but now we’re starting to see an increased need,” she said. “The pandemic has given employees more power and more confidence to ask for what they want in a workplace and from an employee. Women have often accepted things as they are. We don’t typically push or ask for things.”

Envisioning an equitable future for women in the workforce

Dress for Success will continue to explore ways to support women as the job market evolves, Pinner said.

“Over the next five years, I think the workplace is going to change rapidly,” she said. “I would love to see women be paid equally as their counterparts, but also play big. I hope women continue to advocate for themselves, to get to where they want to be, explore all opportunities, and have a network of support as they go after those opportunities.”