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Fundraising

On philanthropy: Seven trends in philanthropy to expect in 2017

By Feature, Fundraising

By Bruce DeBoskey, The DeBoskey Group, The Denver Post

Last year was a great year for philanthropy. It included record levels of giving and impact investing and more strategic approaches to charitable efforts. This year, 2017, will likely launch its own unique trends. I’ll be watching for these highlights:

1. Reduced tax incentives for giving

Many knowledgeable observers predict that Congress will reduce income tax rates for the wealthy — thereby decreasing the tax savings from charitable deductions. Many also expect the estate tax will be eliminated — reducing the tax incentive to make final charitable contributions.

Some predict the new administration will seek to limit or even eliminate charitable deductions. Others expect that changes will be made to donor-advised funds — implementing payout requirements similar to those required of private foundations.

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The state of storytelling in the nonprofit sector

By Feature, Fundraising, Leadership

By Vanessa Chase, founder, Storytelling Non-Profit and Network for Good

Stories have been a huge trend in the nonprofit sector in the past five years, but our sector has been telling stories for much longer. Year after year, we are committed to telling people about our work, progress, and needs. Each time we communicate these things, we are communicating pieces of the larger narrative about our organization.

But things are changing, and storytelling is becoming a much more intentional act. Across the for-profit and nonprofit sectors, storytelling is a buzzword and communicators are consumed with telling stories that will engage their target audience. In the nonprofit sector, donors make up that audience. Our challenge is getting our current donors to give more and acquiring new donors who care about the cause. This is not a new or small task for our sector.

“The State of Storytelling” is a project that came to life out of an interest to know how the nonprofit sector is actually using stories and what results organizations are getting. Stories are constantly talked about as a tactic, but are they really helping nonprofits get better fundraising results?

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A new study: Taking the pulse the fundraising profession

By Feature, Fundraising

By Lynn Sygiel, editor, Charitable Advisors |

America’s first settlers had favorable attitudes toward philanthropy, perhaps because charities traditionally were well supported in their native England.

This giving attitude laid the groundwork for fundraising as a profession.

But actual nonprofit development positions are relatively new, and the study of the profession is even more recent.

In 1987, Indiana University established its Center on Philanthropy, which has transformed into a national resource for education, research and training in philanthropy and the nonprofit sector.

Gene Tempel was part of the center’s beginnings, and later founded the Lilly Family School of Philanthropy. He has led the charge to better understand the career of raising money.

In the mid-1990s, he and Margaret Duronio conducted the first-ever study of the profession. The study was revealing about the field, and provided evidence for the first time that for many in the field, fundraising was not their first career choice. Their study was published in a 1997 book called “Fundraisers: Their Careers, Stories Concerns and Accomplishments.”

Last summer, Tempel recognizing that this field research is not widely known, partnered with Sarah Nathan, the co-director and special projects associate at the Lilly Family School of Philanthropy and adjunct faculty member, to resurrect and replicate the survey.

The pair distributed an exact replica of the study to 35,000 members of AFP, CASE, AHP and the Lilly Family School and received 1,900 completed surveys, which provided additional career insight nearly two decades after the first study.

Steeped in data, Nathan and Tempel are currently reviewing and compiling the findings, which will be released this fall. This time, technology made the process easier, allowing electronic distribution and a more complex and sophisticated data analysis.

“We are still asking new questions and can do this because we have this much more robust data now. Unfortunately, the original data has been lost to time, all we have from the original study was published in the book,” said Nathan.

Earlier this year, the team shared preliminary data analysis at professional associations’ conferences.

Among the highlights:

  • Fundraiser tenure has gone up. People are staying on their jobs longer.
  • Once a fundraiser gains a total of 10 years experience at various positions, they then tend to stay longer at their next job, up to five to six years.
  • The characteristics of a good fundraiser are honesty and integrity. Why those traits are the most prominent will be analyzed by the team this summer.
  • The average age when people enter fundraising is now 30, and the median age is 27.

“That means that half the fundraisers are 27 or younger. We think that’s a really exciting finding,” said Nathan. “We thought anecdotally (the age) has come down because there are a lot more trainings and higher education programs now — over 400 programs exist now in the U.S. in this field — but we didn’t have any evidence.”

In 1997, only 15 percent of development professionals entered fundraising as their first career and the average age of entry into the profession was 33.5 years for women and 33 for men. At that time, most learned fundraising on the job.

Nathan thinks the information might help address issues of shortages, knowing that people are now trained in fundraising, in philanthropy and nonprofit management, who are going to be the next generation of leaders in the sector.

According to Nathan, the survey also covered an individual’s career path, how he or she came to fundraising and how he or she learned fundraising.

Tyrone Freeman, director of undergraduate programs at the Lilly Family School of Philanthropy, said this academic year, Lilly Family program graduated 66 students with undergraduate, master’s and doctoral degrees. According to Freeman, most of the undergraduates have found employment and plan to stay in Indiana.

Freeman and Nathan both think a unique aspect of both their school’s programs is that courses are based on the most recent research being conducted on campus, which constantly refreshes the curriculum to reflect new research in the field.

Of note is that the degree program was started in 2010 at IU during the recession.

“We came in at the end of the scene, as it was kind of culminating. It really represents a new pathway of opportunity for students who want to specifically go into nonprofit work and want their studies to be on that topic. They are creating pathways, they are getting jobs in fundraising, they are also getting jobs in other aspects of leadership and management,” said Freeman, who came to the Fund Raising School beginning in 2003.

With more interest in capacity building, funders are helping to hire or train fundraising staff to be more professional.

Nathan’s advice to those entering the field is to find an organization where fundraising is support by the board and builds a culture of philanthropy.

A good first job is at an organization where everyone contributes.

“Go to a first job where you could stay for three years, and where you have support to be successful. So many people in small shops just cannot be successful because they don’t have access or infrastructure to be successful and the board isn’t engaged or isn’t setting realistic enough goals,” she said.

The study’s findings will be released in the fall.

UnderDeveloped: A national study of challenges facing nonprofit fundraising

By Feature, Fundraising

The 2013 study, UnderDeveloped: A National Study of Challenges Facing Nonprofit Fundraising, revealed that many nonprofits are stuck in a vicious cycle that threatens their ability to raise the resources they need to succeed.

A joint project of CompassPoint and the Evelyn and Walter Haas, Jr. Fund, the report found high levels of turnover and lengthy vacancies in development director positions throughout the sector. More significantly, the study reveals deeper issues that contribute to instability in the development director role, including a lack of basic fundraising systems and inadequate attention to fund development among key board and staff leaders.

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Resetting development: Highlighting the bright spots

By Feature, Fundraising

By Yasya Berezovskiy, associate project director of learning and evaluation, CompassPoint |

What will it take to reset entrenched and ineffective development practices towards a fresher mindset and more effective approach?

Prompted by the widespread fundraising challenges identified in UnderDeveloped: A National Study of Challenges Facing Nonprofit Fundraising (a joint project of CompassPoint and the Evelyn and Walter Haas, Jr. Fund), the Haas, Jr. Fund convened a Resetting Development work group focused on highlighting potential solutions to chronic fundraising challenges.

Underdeveloped‘s findings resonated. Development staff felt validated. Executive directors were motivated to address these issues in their organizations. But how? What’s next? Are there groups who are successfully raising money from individuals in a way that’s personally sustainable for staff and financially sustainable for the organization?

At the heart of the Resetting Development project are these two questions:

  • What can we learn about a “culture of philanthropy” as a way of breaking the vicious cycle of chronic fundraising problems?
  • What can we learn from organizations that are beating the odds? https://www.compasspoint.org/blog/resetting-development-highlighting-bright-spots
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Revamped Relay for Life

By Feature, Fundraising

By Bruce Barton, staff writer, Los Altos Town Crier

The annual Los Altos Relay For Life fundraiser for the American Cancer Society started with a bang in 2004, with hundreds participating and hundreds of thousands of dollars raised.

But the 24-hour event lost steam after a few years as participants and organizers grew weary of the massive effort and time commitment required. Organizers realized that major changes were needed to keep the event afloat.

Enter Relay 2.0, a revamped event scheduled June 12 at Hillview Park that completely changes the format while keeping the Relay’s overall purpose intact. Instead of a 24-hour marathon, this year’s affair runs 4-9 p.m. Instead of multiple laps, 2.0 will feature a single 2.5-mile lap along streets surrounding the park. Other new elements include a flamingo decoration contest, picnic site judging and a relay, with runners passing a torch. The luminaria – candle-filled bags with memorial messages lining the track – have been replaced by “messages of hope,” in which participants can attach artwork and notes to a decorated chain-link fence.

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Chicago Charity Challenge: reinventing corporate giving

By Feature, Fundraising

By Stacey Rago, executive director, Chicago Charity Challenge

People want to work for and do business with companies that give to charities, whether in volunteer hours or financial contributions. As a result, corporations are increasingly seeking ways to show a tangible impact of their giving by going beyond the “one-and-done” form of charity events held within their business. Last year, 23 Chicago-area firms found a fun, engaging and motivating solution to keeping employees focused on their favorite cause or charity, while making a significant contribution to the communities they serve.

Last year, more than 4,500 employees from 23 businesses competed in the Chicago Charity Challenge, a unique corporate giving contest designed to motivate participants to fundraise and volunteer. Affectionately dubbed “the Cha Cha,” the Chicago Charity Challenge is the only corporate giving initiative that harnesses the competitive spirit to maximize employee engagement. The challenge serves companies interested in developing more meaningful and ongoing relationships with their select charities.

Corporate employees who joined the 2015 competition logged over 46,000 volunteer hours and raised more than $14 million for Chicago-area charities.

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Nonprofit ads tap ‘Game of Thrones’ to highlight real-world conflict

By Feature, Fundraising

By Alina Tugend, ShortCuts columnist, The New York Times |

The actors in “Game of Thrones,” the epic fantasy series featuring story lines about civil war and banishment, are using the enormous popularity of their HBO series to raise money for real-life victims of conflict and exile.

Beginning Monday, public service announcements and videos featuring the show’s actors will appear urging support for the International Rescue Committee, a humanitarian relief organization that aids refugees. The ads will appear online exclusively, including on the charity’s microsite, YouTube and social media platforms.

The campaign will run through the series’s sixth season, which begins April 24, with the goal of raising $1 million. The organization is tapping into a significant audience: The trailer for the coming season of “Game of Thrones” was viewed 32 million times within 24 hours of being posted online on Tuesday.

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Nine nonprofits ask for Zebulon, N.C.’s support

By Feature, Fundraising

By Aaron Moody, reporter, The News & Observer |

Nine nonprofit organizations have submitted applications asking Zebulon leaders to consider them for support as the town prepares its budget for the upcoming fiscal year.

The town has dished out the same amount of funding to the same groups for the past four years: $1,000 each to the Zebulon Chamber of Commerce, Shepherd’s Care Medical Clinic and the East Wake Education Foundation, and $500 to the annual Zebulon Martin Luther King Jr. breakfast. All those groups reapplied for varying levels of support this year.

Representatives of six of the nine applicants made brief presentations on their requests at the March 7 board of commissioners’ meeting.

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Reviving the Indiana foundation directory

By Feature, Fundraising

By Lynn Sygiel, editor, Charitable Advisors |

Looking for a foundation directory that is Indiana centric? After an eight-year hiatus, the Indiana Philanthropy Alliance is reviving its publication to accomplish just that.

The new directory, available in March, will narrow its focus. Now, as an online publication, it will be limited to foundations based in Indiana that give to in-state nonprofits. In that past, the directory included some regional and national foundations that gave in Indiana.

With over a 1,000 foundation entries, each must have granted at least $25,000 in awards in the past year.

“There definitely are some new foundations that weren’t in there in 2008,” said Sarah Geis, director knowledge management at Indiana Philanthropy Alliance. “Being online it’s a quick and easy way to filter, and then the user can print out the ones that look like a match for their organization’s needs.”

directory The online publication allows the user to filter in multiple ways. The subscriber can search by terms or interest areas. Once the search is completed, the user has a list foundation matches. Then an individual funder can be selected for a more detailed entry.

Each entry includes information about a foundation’s proposal method, application procedure, geographic preferences, contacts, financials, grant deadlines, interest areas and support type.

“Grantmakers are glad that we are resurrecting the publication, and their grantees are looking forward to having access to again,” said Marissa Manlove, president and CEO of Indiana Philanthropy Alliance.

Geis said there will not be a printed version and the directory does not include past grants or list current grant opportunities. Since there are other sources available, the new edition will not include a scholarship section.

“Hopefully, it will be evergreen. We will be putting together a protocol for when we’ll be periodically going in, evaluating and reviewing the information,” said Manlove. “We have a learning curve and we may find some things that we may need to adjust in proving usability.”

Currently, there is early-bird pricing available.

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Grantmaking advice

With Manlove’s contact with grantmakers in Indiana, nonprofits often ask her for advice on approaching funders. Here are some of her suggestions.

“Certainly the recession created some challenges for foundations, and for a period of time, there was definitely a pulling back of the assets that were available, in order to do grant making. Everybody’s investment portfolios took a hit.

That’s built back up again to mostly pre-recession levels in terms of assets.

There definitely were some foundations that made some changes to the way that they were doing their grantmaking, limiting any multi-year commitments because they really weren’t in a position to do as much longer-term looking out. Some decided to pull back on certain types of grants, limiting capitol grants or grants from new grantees.

The recession sparked some of the changes, but it wasn’t the only reason why: I think grantmakers began to think a little bit more strategically, more targeted in their grantmaking approaches, how they might more effectively partner or learn about what other sectors, government sectors , the private business sector are they doing. Asking: Are there opportunities for ways to leverage what each other’s doing? You hear more these days about public private partnerships.

Not that those things weren’t happening back in 2008, but I think you’re probably hearing about it now.

What I tell (nonprofits who contact me about grantmaking) is it’s worth your while doing research. There’s some upfront time.

As you well know, nonprofits are lean on their staffing and having the time and luxury to doing that kind of research can be a challenge. But it’s worth it to spend some time researching.

The worst thing that a nonprofit can do is start sending out blanket proposals to foundations without knowing whether or not it’s a fit or not. It is unfortunately a waste of everybody’s time and can have the unintended consequence of putting a bad taste in program officers’ mouths. “This organization isn’t even taking enough time to know, they’re sending us this request for xyz, and we clearly say on our website what we fund and this is it.’

It’s worth it to spend the time researching.”

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