The Fundraising Reader

Cover
Endorsement
Half Title
Title Page
Copyright Page
Table of Contents
Editors’ Introduction: Thinking About Fundraising
	I: The Need for a Fundraising Reader
		Fundraising Is Essential Yet Largely Invisible
			There Are Limited Formal Ways for Fundraisers to Acquire Knowledge
			Fundraising Is Often Misunderstood and Viewed Negatively
	II: What this Reader Covers
		What We Mean By Fundraising
		Aims of this Reader
			Our Audience
			Our Motivation for Creating this Reader
			Sources and Further Resources
			Note On the International Scope of this Reader
			Note On Embracing Debate and Dissent
			Note On Responsiveness to the Needs and Concerns of Students and Practitioners
			Section Summaries
			Section Summaries
			Choosing and Editing the Selections
	III: Notes On Creating the Reader
		Acknowledgements
	Note
Section 1 What Is Fundraising?
	Editors’ Introduction
		Overview
		1.1 What Is Fundraising?
		1.2 Historical Perspectives On Fundraising
		1.3 Misunderstandings of Fundraising
		Discussion Questions
	1.1 What Is Fundraising?
		What Is Fundraising and Why Does It Matter?
			Why Charities Fundraise
			The Essential Yet Invisible Role of Fundraisers
			Research On the Efficacy of Fundraising
			The Need to Shift Research Attention to Askers
		A Philosophy of Fundraising
			Organizations and Their Reasons for Existing
			To Govern Or Not to Govern
			Institutionalizing Fundraising
			Gift Making as Voluntary Exchange
			Substituting Pride for Apology
			Fundraising as a Servant to Philanthropy
		What Is Fundraising? A USA Perspective
		Is Professional Fundraising a Job Or a Vocation?
	1.2 Historical Perspectives On Fundraising
		Two Thousand Years of Disreputable History
			Fundraising in Late Antiquity
			Fundraising in the Middle Ages
			Fundraising After the Reformation
			Modern Fundraising
		The Deep Roots of Fundraising
	1.3 Misunderstandings of Fundraising
		I Am Not a Beggar
		Fundraising Is Not Sales
		Fundraising Is Communication Not Marketing
		Why Fundraising Is Fun
		In Defense of Fundraising
Section 2 Foundations Of Fundraising Success
	Editors’ Introduction
		Overview
		1.1 Some Fundraising Basics
		2.2 Engaging the Whole Organisation in Fundraising
		2.3 Developing a Constituency of Support
		2.4 Vital Ingredients for Success
		Discussion Questions
	2.1 Some Fundraising Basics
		People Give to People
		Introducing Programmes, Methods, and Process
			Annual Giving
				Major Gifts
				Planned Giving
				Corporate and Foundation Support
				Matching Programs to Needs
				Solicitation Methods
				The Fundraising Pyramid
				The Fundraising Process
		The Laws of Raising Money
		The Nine Cardinal Principles of Fundraising
			Cardinal Principle I: Institutional Or Organizational Objectives Must Be Established First
			Cardinal Principle II: Development Objectives Must Be Established to Meet Institutional Goals
			Cardinal Principle III: the Kinds of Support Needed Determine the Kinds of Fund-Raising Programs
			Cardinal Principle IV: the Institution Must Start With Natural Prospects
			Cardinal Principle V: the Case for the Program Must reflect the Importance of the Institution
			Cardinal Principle VI: Involvement Is the Key to Leadership and Support
			Cardinal Principle VII: Prospect Research Must Be Thorough and Realistic
			Cardinal Principle VIII: Cultivation Is the Key to Successful Solicitation
			Cardinal Principle IX: Solicitation Is Successful Only If Cardinal Principles I Through VIII Have Been Followed
		First Steps in Fundraising – a Russian Perspective
			Irina Menshenina, 2020
			First Tip: Find a Foothold in the Chaos
			Second Tip: Gather People Who Have Ever Helped Your Organization in Some Way
			Third Tip: If You Have No Previous Experience in Fundraising, Organize a Trial, Or Pilot, Project
	2.2 Engaging the Whole Organisation in Fundraising
		The Evolution of Fundraising Practice
			Appeal Phase: Stage One — The Passionate Appeal
			Appeal Phase: Stage Two — We Need More Money
			Fundraising Phase: Stage Three — We Need Some Help
			Fundraising Phase: Stage Four — Leave It to Us
			Stage 5: Let’s All Work On this Together
			Movement From Stage to Stage
			Implications for Fundraising Practitioners
		Involving Your Board Members in Fund Development
			Role of the Board
			Role of the Individual Board Member
			Board Member Role in Philanthropy and Fund Development
			In Conclusion
		The Fundraising Cycle: the Shortest Book On Fundraising, Ever
			The Fundraising Cycle
				4. Install Efficient Systems for Records, Monitoring and Future Consolidation.
			Targets
			Fundraisers
	2.3 Developing a Constituency of Support
		Developing a Constituency: Where the Fundraising Begins
			Constituents Are People, People Are Prospects
			The Concept of Ever-Widening Circles
			Characteristics of a Constituency
			Building a Constituency
			Conclusion
		Grassroots Fundraising: You Already Know All the People You Need to Know to Raise All the Money You Want to Raise
			Why Aren’t People Being Asked to Give?
			Reversing the Trend
			Starting With Who You Know
			Expanding the Fundraising Committee
		Fundraising in Your Own Back Yard: Inviting Clients to Be Donors
			Five Things You Can Do to Raise Money From Your Clients
				1. Don’t Assume That People Won’t Or Can’t Donate.
				2. Call It What You Will … It’s Still Fundraising!
				3. Educate Everyone in the Organization About How Much It Costs to Do the Work.
				4. Be Respectful Of, and Value, Each Person’s Giving Capacity.
				5. Make Fundraising a Part of Everyone’s Job.
		Rediscovering and Climbing the Donor Pyramid
	2.4 Vital Ingredients for Success
		Relationship Fundraising
			A Total Philosophy
			What Relationship Fundraising Can Do for You
			Welcome as a Letter From a Friend
			The Nine Keys to Building a Relationship
		Articulating a Case for Support
			Defining “Case for Support” and “Case Statement”
			Preparing the Case for Support
			Key Information Components of a Case for Support
				Mission Statement
				Planning and Evaluation
				Goals
				Objectives
				Governance
				Staffing
				Finances
				Programs and Services
				Service Delivery
				History
			Case Statements
			Tailored to the Audience and Supporting the Mission
			Conclusion
		Cultivating Diversity in Fundraising
Section 3 Understanding Fundraising Practice
	Editors’ Introduction
		Overview
		3.1 Fundraising Planning, Strategy, and Campaigns
		3.2 Working With Major Gifts
		3.3 Working With Many Gifts
		3.4 Working With Corporate Donors and Partners
		Discussion Questions
	3.1 Fundraising Planning, Strategy and Campaigns
		Creating and Implementing a Fundraising Strategy
		The Five Strategies for Fundraising Success
			Getting Acquainted With the Five Strategies
			Going for Growth
			Enhancing Involvement
			Increasing Visibility
			Fine-tuning for Efficiency
			Ensuring Stability
		The Fundraising Audit
			The Fundraising Audit
			Macro Factors
			Analysis of Competitors
			Potential Collaborators
			Market Factors
			The Internal Environment
			Conducting an Audit in a Small Charity
			The SWOT Analysis
		Understanding Fundraising Campaigns
			Evolving Purpose
			Underlying Motivations
			Campaign Phases
			Effectiveness
			CASE Campaign Standards
			Replacing the Campaign
	3.2 Working With Major Gifts
		The “Stop and Think” Major Gift
			The “Stop and Think” Gift
			Getting Something in Return
			Get Real
			Don’t Talk – Listen
			Don’t Worry About the Annual Ask
		Dispelling the Myths About Major Donor Fundraising
			Five Common Weaknesses
				1. Organisations Really Want Money for Existing Work; Major Donors Want to Fund New Work
				2. Organisations Do Not Really Want Donors to Have the Involvement They’d Like
				3. Organisations Do Not Ask Prospects Closest to Them to Make Stretch Gifts. So These Prospects Do Not Become True Leaders, Able to Leverage Further Gifts
				4. There Are Few Really Experienced Major Donor Fundraisers and Even Fewer Really Experienced Organisations
				5. Too Often Boards and Senior Teams Think Major Donor Fundraising Is a Quick Fix and Then Lose Faith
				Myth 1: Major Donor Fundraising Is for the Biggest and Best-Known Charities
				Myth 2: Major Donor Fundraising Is Only as Good as Your Prospect Research
				Myth 3: Your Supporter Base Is the Right Place to Look for Prospects
				Myth 4: Asking Is the Job of the Volunteer
				Myth 5: It Takes a Long Time to Get a Major Gift
				Myth 6: Successful Capital Campaigns Are About Securing the Right Lead Gift Early and Working Top Down
				Myth 7: Capital Campaigns Have a Sequential Private and Public Phase
				Myth 8: You Only Have One Chance to Get the Major Gift
				Myth 9: ‘The Rich Are Different From You and Me, Yes They Have More Money’ – F Scott Fitzgerald
		Legacy Fundraising: Let’s Not Talk of Death
			Deceased Bequest Donor Stories
			Living Bequest Donor Stories
			Results
			Discussion
			Implications for Professional Practice
		What Is a Philanthropic Foundation?
		Hallmarks of a Great Grant Application
			Hallmark 1: Understanding the Particular Grant-Making Trust and Tailoring Applications
			Hallmark 2: A Strong Idea
			Hallmark 3: Competent People
			Hallmark 4: Clear and Succinct Language
			Hallmark 5: Finances in Order
	3.3 Working With Many Gifts
		Relationship Marketing and Branding Analyzed
			Unprofitable Donors
			Branding of Nonprofit Organisations
			Nonprofit Brand Personality and Image
		Community Fundraising, a Jewel in the Crown
			What Is Community Fundraising?
			Why Invest in Community Fundraising?
			Types of Community Fundraising
				1. Mass Participation Appeals
				2. DIY Activities
				3. Fundraising Groups
			Developing a Community Fundraising Strategy
			Objectives and Targets
			Volunteer-led Versus Staff-Led Fundraising
			Types of Volunteer
			Event Organisers
			Event Volunteers
			Office Volunteers
			Professional Volunteers
			Specialist Volunteers
			Celebrities and Influencers
			Deciding What Volunteers Can Do
			Stewardship of Volunteers
		Understanding the Pros and Cons of Special Events
			What Are Special Events?
			Reviewing Your Existing Strategy
			Key Questions to Consider
			Identifying the Primary Goal Or Aspiration
			Setting Specific Objectives and Targets
			Some Tools for Strategic Analysis
			PEST Analysis
			Boston Matrix
			Cash Cows
			Rising Stars
			Problem Children
			Dogs
			The Product Life-Cycle
		How to Make Your Writing Interesting
			How to Interest People: a Checklist
			Secret to Response: the Offer Is King
			Don’t Bury Your Offer
			What’s in an Offer?
			Heifer’s Four-Footed Offers: Making the Intangible Real
			Anecdotes Bring Your Success Vividly to Life
		The Champion Effect in Peer-To-Peer Fundraising
	3.4 Working With Corporate Donors and Partners
		What, Why and How Do Companies Give?
			Why Do Corporations Give?
				1. Corporate Productivity Or Neoclassical Model
				2. Ethical Or Altruistic Model
				3. Political Model
				4. Stakeholder Model
			Forms of Business Support
		Corporate Partnerships: No Cash Cow
			From Philanthropic Support to Strategic Partnerships
			Focus On Value, Not Cash
			Put the Customer First
			Adopt an Organisational Approach
			Corporate Partnerships as a Platform
		Seven Tips for Securing Corporate Sponsorship
			Introduction
				1. Dedicate Personnel
				2. Price Yourself Right
				3. Create a Killer Deck
				4. Fill the Pipeline
				5. Be Flexible
				6. Have a Conversation
				7. Keep Your Sponsors Happy
Section 4 Fundraising Theory And Ethics
	Editors’ Introduction
		Overview
		4.1 Theories in Fundraising
			4.2 Ethics in Fundraising
			4.3 Donor, Fundraiser, and Beneficiary Rights
		Discussion Questions
	4.1 Theories in Fundraising
		Theory in Fundraising
			Theoretical Approaches
				The Big Picture: Systems Theory, Boundary Spanning, and Resource Dependence
				Social Exchanges: Gift Theory and Reciprocity
				Positive Identification: the Identification Theory of Care and Social Identity Theory
			Conclusion
		Testing Fundraising Practices and Techniques
		Understanding Individual Donors
			Resources for Giving
			How Socio-Demographic Characteristics Relate to Giving
			The Complex Dynamics of Individual Giving Behavior
				The Opportunity to Give
				Values
				Costs and Benefits
				Efficacy
			Implications for Practice: Assessing Donor Motivations
		Are Overhead Costs a Good Guide for Charitable Giving?
			Do Donors Care About Overhead Costs?
			Should Donors Care About Overhead Costs?
			What Effects Does the Focus On Overhead Costs Have?
			Potential Alternatives to Overhead Cost Ratios
			Limitations and Gaps
			Summary and Policy Advice
		Conflicts and Strategies of Eliciting Emotions for Fundraisers
			Emotions and the Practice of Fundraisers
			Findings
			Ethics and Effectiveness
			Conflict at the Level of the Voluntary Sector
			Conflict at the Level of the Voluntary Organisation
			Conflict at the Level of the Individual Fundraiser
			Conclusions
		A Critical Fundraising Perspective: Understanding the Beneficiary Experience
			Who Benefits
			Who Decides?
			The Experience of Beneficiaries
			An Alternative Approach to Fundraising
	4.2 Ethics in Fundraising
		Rights-Balancing Fundraising Ethics
			Ethical Theory 101
				Trustism
				Donor Centrism
				Service of Philanthropy
		Fundraising as an Ethical Act
			Fundraisers Can Serve as Moral Trainers
			Fundamental Relationship Between Fundraising and Moral Development
			Charitable Giving and the Maxim of Altruism
			Fundraisers Can Bring Great Good to Great Numbers of People
			Fundraisers Can Redistribute Power
			Fundraisers Can Enable Humans to Feel Responsible for One Another
			Fundraisers Can Break Down Our Natural Selfishness
		The Color of Ethics
			1 Organizational Mission
			2 Relationships
			3 Integrity
				Using the Ethical Decision-Making Chart
		Decision Making in Ethics
			Everyday Application of Values
			Decision-making Process
		A Fundraiser’s Guide to Ethical Decision-Making
			Codes of Ethics
			Decision-making Models
			Conclusion
		Tainted Money and Tainted Donors
	4.3 Donor, Fundraiser, and Beneficiary Rights
		A Donor Bill of Rights
			I. To Be Informed of the Organization’s Mission, of the Way the Organization Intends to Use Donated Resources, and of Its Capacity to Use Donations Effectively for Their Intended Purposes.
			II. To Be Informed of the Identity of Those Serving On the Organization’s Governing Board, and to Expect the Board to Exercise Prudent Judgement in Its Stewardship Responsibilities.
			III. To Have Access to the Organization’s Most Recent Financial Statements.
			IV. To Be Assured Their Gifts Will Be Used for the Purposes for Which They Are Given.
			V. To Receive Appropriate Acknowledgment and Recognition.
			VI. To Be Assured That Information About Their Donation Is Handled With Respect and With Confidentiality to the Extent Provided By Law.
			VII. To Expect That All Relationships With Individuals Representing Organizations of Interest to the Donor Will Be Professional in Nature.
			VIII. To Be Informed Whether Those Seeking Donations Are Volunteers, Employees of the Organization Or Hired Solicitors [fundraising Consultants].
			IX. To Have the Opportunity for Their Names to Be Deleted From Mailing Lists That an Organization May Intend to Share.
			X. To Feel Free to Ask Questions When Making a Donation and to Receive Prompt, Truthful and Forthright Answers.
			Conclusion
		The Fundraiser Bill of Rights
			I. Fundraisers Have the Right to a Decision-Making Role in Determining If a Donation Should Be Declined If the Gift Has Conditions That Contradict the Organization’s Mission And/or the Clients the Organization Serves.
			II. Fundraisers Have a Right to a Respectful, Equitable and Transparent Professional Relationship With the Organization They Serve and With the Donors of the Organization.
			III. Fundraisers Have a Right to Be Included in the Continuous Audit of an Organization’s Policies and Practices to Ensure Equity and Protection.
			IV. Fundraisers Have a Right to Develop a “Response” Plan That the Institution Will Support.
			V. Fundraisers Have the Right to Stop Working With a Donor Based On the Donor’s Behavior Toward Their Gender, Sexual Orientation, Race, Ability Or Any Identity Based Cause for Discrimination.
			Moving Forward in Shifting the Fundraising Rights Narrative
		Ethical Fundraising and Beneficiary Rights
			A Foundation of Trust
			Professional Ethics
			Ethical Behavior
			Applying Ethics
			Ethics and Social Justice
			Conclusion
Section 5 Being A Fundraiser
	Editors’ Introduction
		Overview
		5.1 Who Raises Funds for a Living?
		5.2 What Do Fundraisers Do?
		5.3 The Ideal Fundraiser
		5.4 The Challenges of Being a Fundraiser
		Discussion Questions
	5.1 Who Raises Funds for a Living?
		Why More People Should Choose a Career in Fundraising
			Why Fundraising Is Cool
			Becoming a Fundraiser
			Join the Front Lines
		Why Is Fundraising Seen as Women’s Work?
			Looking Through a Gender Lens at Fundraisers’ Daily Work
			Looking Through a Gender Lens at Fundraising Management
			Looking Through a Gender Lens at For-Profit “Professionalization”
		Are Fundraisers Philanthropic?
			Researching Fundraisers
			Fundraisers’ Charitable Behavior
			Giving Before Asking
	5.2 What Do Fundraisers Do?
		Fundraising as Emotional Labour and Gratitude Work
			The Three ‘Fs’: a New Framework to Explain What Fundraisers Do
			Fundraising as a Form of Emotional Labour
			Fundraising as Gratitude Work
		Getting to ‘Yes’ and Dealing With ‘No’
			1. Introduction of Solicitation Meeting
			2. Dialogue During Solicitation Meeting
			3. Description of the Needs to Be Met and Donor Benefits
			4. Conclusion of Meeting: Requesting the Gift
			Defusing Objections
		Living For, Or Off, Philanthropy?
	5.3 The Ideal Fundraiser
		What Are the Best Fundraisers Like?
			What Fund Raisers See as Their Best
			Personal Characteristics
			Skills
			Professional Knowledge
		What Makes an Ideal Fundraiser?
		A Major Donor’s View On Good Communication for All Donors
	5.4 The Challenges of Being a Fundraiser
		Fundraising’s Identity Crisis
		Fundraisers’ Experiences of Sexual Harassment
			Sexual Harassment, Gender, and Power
			Findings
				1. The Sexual Nature of Fundraising
				2. Donors Wielding Power
				3. Employer Pressure Or Complicity
				4. An Impossible Situation With No Way Out
			Conclusion
		My Love for Philanthropy as a Black Fundraiser
		Finding New Fundraising Ideas
			Internal Sources of New Fundraising Ideas
			External Sources of New Fundraising Ideas
			External Sources
		Neglected Fundraisers in the Charitable Triad
Section 6 Trends And Debates About Making Fundraising Better
	Editors’ Introduction
		Overview
		6.1 Moving to a Mission-Aligned Fundraising Culture
		6.2 Donor-Centric Or Community-Centric Fundraising?
		6.3 Continuity and Change in Fundraising Approaches
		6.4 The Impact of Science and Technology
		6.5 Trends and Predictions
		Discussion Questions
	6.1 Moving to a Mission-Aligned Fundraising Culture
		Culture Eats Strategy for Breakfast
		We Must Invest in Fundraising to Make It Inclusive
		Unlocking My Authentic Voice
		Answers On Grant Proposals If Nonprofits Were Brutally Honest With Funders
	6.2 Donor-Centric Or Community-Centric Fundraising?
		The Donor Is the Hero of the Story
			We Have a Story Problem
			The Wrong Story
			The Wrong Story in Metrics
			The Right Story
			Plot Means Change
			The Secret to Donor Retention: Finish the Story
			Finish the Story: Experimental Evidence
			The Secret to Major Gift Success: Finish the Story
			Conclusion
		How Donor-Centrism Perpetuates Inequity
	6.3 Continuity and Change in Fundraising Approaches
		Direct Mail: Dead, Or More Alive Than Ever?
		Modern Grantmaking for Grant Seekers
			What’s the Connection Between a Funder’s Service Quality and Discrimination?
			OK, So What Does a Modern Grantmaking Customer Experience Look Like?
		Donor Advised Funds: an Important New Player in the Fundraising Sector
			Grantmaking
			Opening a DAF Account
			Making Grant Recommendations
			Fundraising Approaches for DAF Donors
			Cultivation
			Solicitation
			Acknowledgement and Stewardship
			Critiques of DAFs
			Speed of Grantmaking
			Transparency
			Trust and Conflicts of Interest
			Conclusion
	6.4 The Impact of Science and Technology
		Using Behaviour Science to Nudge Donors: Does It Work and Is It Ethical?
			The Ethics of Using Behavioral Science in Fundraising
			How to RAISE More Money
			Make It Relevant
			Make It Appealing
			Offer a Gift to Receive a Gift
			Create a Sense of Achievement
			Increase Perceived Value
			Make It Intuitive
			Create Mental Reference Points
			Make It Social
			Create Shared Social Identities
			Use Contextually Relevant Messages
			Make It Easy
			Put Important Information Upfront
			Repeat Your Request
			Conclusion
		What Is the Potential of Crowdfunding?
			Key Characteristics
			Project-based, Specific and Transparent
			Social Information
			Developments in Crowdfunding Worldwide
			Philanthropic Crowdfunding Deserves More (Academic) Attention
		How Artificial Intelligence Can Help Unlock Human Generosity
			What Is Artificial Intelligence?
			Why Artificial Intelligence Will Be a Disruptive Technology for Giving
		Using YouTube for Disaster Fundraising Appeals
			Volunteering in the Post-Humanitarian World
			Grassroots Appeals On YouTube
			The Emotional Engagement
			Agency of the Viewer
			Authenticity and Trust-Building
			Viewer-comments On the Amateur Fundraising Videos
			Conclusion
	6.5 Trends and Predictions
		Seven Trends to watch
			Trend 1: There Is a Continuing Growth of Great Wealth and Some of It Is Being Diverted to Philanthropy
			Trend 2: Nonprofit Innovations, in Fundraising and Elsewhere, Are No Longer Coming Just From the United States Or Europe
			Trend 3: Indigenous NGOs/NPOs Continue to Grow in Number Throughout the World, But There Are Some Leviathans Emerging
			Trend 4: There Is Considerable Debate Worldwide About the Role of Philanthropy and the Role of the State
			Trend 5: Fundraising Is Becoming More Professional and Professionalized
			Trend 6: Everyone Agrees That New and Social Technologies Are Important, But They Disagree On How
			Trend 7: Philanthropy Thrives Best When There Are Codified Civil Society Structures and Regulations for Nonprofit Agencies
		Surviving the Next Financial Crisis
		What Will Fundraising Look Like in 2045?
			Demographic Shifts: Impacts On Local Services and Volunteers
			Technological Change: Global Reach and Local Efficiencies
			Resources: Funding From Government and Corporates
			Resources: Support From Volunteers
			Future Scenarios for the Charity Sector in 2045
			Government-funded Elite
			Corporate Cooperation
			Home Grown
			Crowd-sourced
			Discussion and Conclusions
Sources and Copyright Information
Index