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Donor Relations, Fundraising, Fundraising Verse of the Week

The 4 Little Foxes Of Donor Relationships

by Ron Haas
July 5, 2020

“Catch for us the foxes, the little foxes that ruin the vineyards, our vineyards that are in bloom” Song of Songs 2:15.

It’s the little things that drive wedges between you and your donors. The Bridegroom warned his Bride to catch the little foxes that would spoil their vine. In a marriage, the little differences that drew you and your spouse together can become huge annoyances if you neglect to apply love in liberal doses.

Your donor relationships are susceptible to these four little foxes:

Poor Communication.

Lack of communication is at the heart of every failed donor relationship. The problem really is lack of listening. Stephen Covey said, “Most people do not listen with the intent to understand; they listen with the intent to reply.” Listen to your donor more than you speak. You will learn something important about their heart.

Unmet Expectations.

Donors believe that you will use their gift for what you say you will. Unfortunately, when budgets get tight ministry leaders are often tempted to find ways to apply designated gifts to undesignated budget items. These gymnastics may cover short-term needs but will often create long-term donor problems.

Lack of Empathy.

We focus on our program and our financial needs so much that sometimes we forget to show love and compassion. A donor shared the sad story that his employee had just embezzled $150,000. Wisely, the donor representative, who was prepared to ask for $150,000 gift, kept his proposal in his folder for another day and focused on encouraging the donor in his loss.

Taking Donors for Granted.

If every conversation you have with your donors is to ask for money, you will quickly burn your relationships. Don’t treat your donors like ATM machines; just push a few buttons and out pops money. Donors know when you only appreciate them for what they have and what they can give, instead of who they are.

The best way to keep these little foxes in check is with two little words: time and love. Spend time with your donors and genuinely love them. “Above all, love each other deeply, because love covers over a multitude of sins” (1 Peter 4:8).

Have a Spirit-led fundraising week!

Ron Haas, Vice President of The Timothy Group, has also served the Lord as a pastor, the vice president of advancement of a Bible college, a Christian foundation director, a board member and a fundraising consultant. He’s authored two books: Ask for a Fish – Bold Faith-Based Fundraising and Simply Share – Bold, Grace-Based Giving. He regularly presents fundraising workshops at ministry conferences and has written fundraising articles for At the Center magazine and Christian Leadership Alliance’s Outcomes magazine.

Donor Relations, Major Donors

Overcoming The “FUD” Factor

by The Timothy Group
June 24, 2020

As we dealt with much of the U.S. economy grinding to a halt over the past three months, non-profits have felt the impact. Now, even as we begin to move forward, we continue to see an increase in what we refer to here at The Timothy Group as “The FUD Factor.”

What exactly is “FUD?” Well, Pat began referencing The FUD Factor in his first book, Major Donor Game Plan, in 2006. It was true then and still is today. FUD is an acronym for “Fear, Uncertainty and Doubt.” It plagues many good institutions and hinders many otherwise productive development teams.

As recent as this week, Pat and I had a discussion with one of our clients who is experiencing FUD. They were forced to put their capital campaign on pause back in March and are now struggling with when and how to re-engage. Their main question is, “Are our donors ready?” Ongoing discussions with them include many examples of FUD:

FEAR.

Will donors misunderstand our motives? Will we offend our donors by asking them for money now or in the near future?

UNCERTAINTY.

Will our mission and case resonate as strongly today as it did a few months back?

DOUBT.

How much should we worry if our donors have the resources to give during these times?

FUD can produce other obstacles as we move forward, including:

Loss of Momentum

Momentum is a funny thing. When it is gone, it is sometimes hard to flip the switch back on. We have seen it derail good fundraising efforts with past clients.

Volunteer Fatigue

We may lose some of our best volunteers through inactivity. If you don’t engage with them regularly, you may need to go back and recruit them a second time, or at worst, need to start afresh.

Lack of Donor Cultivation

Your donors need romance and cultivation before actual solicitation. If FUD causes you to be afraid to romance or cultivate, it makes it even harder to actually ask for a gift.

How Can You Overcome The FUD Factor?

Consider this excerpt from Pat’s Major Donor Game Plan book (pages 97-98):

This is all-important. Many major-donor relationships are never consummated because of FUD: Fear, Uncertainty, and Doubt. We the solicitors suffer from the FUD syndrome, not the major donor. Overcoming this FUD obstacle will absolutely change your advancement office mentality, production, performance, and net gift income. Your capital campaigns will get funded. You will begin to lay a foundation for endowment funding. Overcoming the FUD syndrome will make an impact.

Fear grips all of us at different times in our lives. You know that nail-biting, worry-about-all-kinds-of-things fear. In most donor relationships, we fear the loss of relationship. We have carefully Researched and Romanced this particular donor and now we are afraid of making “the ___________ ask”, or making it in the wrong way, so fear takes over. “Oh my, what if we ask to high and offend them?

After all, a damaged relationship is very difficult to restore. “We have worked this hard to get them to this point with our organization, so perhaps we had better wait. We certainly do not want to offend them.” Perhaps they will even approach us and indicate somewhat out of the clear blue sky what they might be willing to invest. Remember a concept mentioned earlier: No heavenly hinting.

Most of all, we fear rejection. We fear the pain of hearing a NO! Sometimes we even fear hearing a NOT RIGHT NOW! We are uncertain how to craft material to take along on the call, or how to conduct a brief Request session. We begin to feed our fear, uncertainty, and doubt with statements like, “I doubt if they (the potential major donors) would have any interest in helping to fund this project.”

Fear, uncertainty, and doubt are killers to any major-donor program.

You must begin to address and eliminate the FUD factor in your organization. Sit down as a fundraising team, an advancement team, with your trustee board, development team, or campaign committee and honestly evaluate the FUD factor that has limited your success to date. As you begin to honestly address the fear, uncertainty, and doubt, you are one more step closer to having an effective major donor program.

Article submitted by Kent Vanderwood and Pat McLaughlin.

Click here to review and order other top-selling books published by authors from The Timothy Group.

Development, Donor Relations, Major Donors

Three’s A Charm. Well, Sometimes.

by The Timothy Group
June 17, 2020

We’ve all heard the expression, “Third time’s the charm,” and I’m confident that sometimes, that is the case. The giving figures for 2019 were release on Tuesday. Once again, giving in America eclipsed all other nations, no one else was even close. There is generosity and philanthropic DNA in America. Across the board, giving was $449 Billion. Yes, that is the “B” word! This is up from $427 Billion in 2018.  Where will we land in 2020? Wowzer, none of us seem to know. I can’t predict the future, but I do know who holds the future.  

Three items are having an impact on donors and giving here in America: 

The Pandemic

By now most of us are tired of COVID-19 information. Many of us are burned out on FaceTime, Google Duo and, of course, Zoom. We would love to get together in person but that still seems to be somewhere in the future, the near future, hopefully. It is a serious virus and we must all continue to be diligent. I know a major donor couple in the UK in their 70’s that have not been out of their home in over 100 days. This whole adventure has had an impact on your donors and ministry partners. 

The Economy 

We have globally been rocked by the shutdown of businesses and corporations, large and small. The GDP is down and frankly there is some gloom and doom in many people who are deeply concerned about their investments, their occupation, their business, and their pocketbook. Our donors, large and small, who previously supported us generously may be asking the question, “If I give, will I have enough to meet my own needs?” Needless to say, we are in an economic crisis. We are all asking the question what kind of an impact this will have as our ministries head toward the 4 best fund-raising months (September-December) this year.

Social Unrest

It has captured the news everywhere in America. Racial injustice, police brutality, social profiling, and discrimination is causing all of us to search our hearts for answers and has driven up to our knees. There are times we seem to be a divided nation. A year ago, we were all getting ready to celebrate Father’s Day and planning our 4th of July celebrations. Today, we are at home because of state mandates or briefly out in public with a mask on trying to figure all of this out. Can someone say, “6 blocks in Seattle?”    

I could add another potential impact on donors as we head toward the Fall. This is a Presidential election year, and that almost always seems to impact giving. Will we exceed 2019 giving numbers? I don’t know. But there is one thing I DO know – God has got this! Yes, He is concerned about you, your family and friends, your church, and your ministry. Here is a three fold approach to combating this Pandemic with the acts of God!

Threefold Approach

(1) “Pray Without Ceasing.” Paul the Apostle had it right, stay in a constant season of prayer. Our world, our nation, our cities, our communities our neighborhoods, and our families need it! 

(2) Communicate with every ministry partner and tell them you love them, and that you need them. See them electronically, of course, for now, hear them by listening to their personal stories and learn how they’re responding to our circumstances here in 2020, and value them as the lifeblood of nearly every ministry as our prayer warriors and our ministry partners/donors. Share your ministry value propositions with them. 

(3) Holy Boldness as you reopen, reboot, and increase your ministry outreach. Do not be afraid to share with boldness the needs you see in your centers of influence and how your ministry addresses them. Share boldly your mission, vision, and core values as well as the human needs you are addressing with your services and how you will share the Gospel for an eternal impact. 

Three is a charm. We can address the real and felt needs of your ministry partners/donors head on with grace, love, and hope. These are the three good ones.

Remember these words of wisdom, “Say your prayers and wash your hands, because Jesus and germs are everywhere.” 

Godspeed in this incredible journey. 

Article submitted by Pat McLaughlin, Founder/CEO of The Timothy Group.

Client Impact, Donor Relations, Major Donors

World Mission: Communicating With A Long-Term Attitude

by The Timothy Group
June 2, 2020

In our recent Zoom panel discussion last week, one of our guests talked about the need to keep a long- term attitude or perspective as we negotiate through this COIVID-19 pandemic. This idea resonated with all of us on the panel.

Greg Kelley, CEO & President of World Mission, shared how the current COVID-19 narrative is being driven by the media; and how much of the dialogue we hear is based in fear. The Bible, on the other hand, tells us that “God has not given us a spirit of fear, but of power and love and a sound mind.” (2 Timothy 1:7) What does this mean for us as non-profit leaders? It means we need to push back against the fear and not take a defensive posture. One way Greg and his staff countered this was by developing a long-term attitude. We are in a season and it will pass. Keeping our vision in front of us is critical. The vision is everything. It is your lifeline.

Greg shared how World Mission looked for what he called a “sticky point;” something unique they could communicate to their donors and friends to counteract the current fear, or “noise” out there. Something that would cut through the clutter. World Mission is an international evangelistic mission agency. They work in underdeveloped countries with unreached people groups. So, what they discovered is that the people they serve are more concerned about starvation than being infected with the COVID virus. Hunger and survival became the “tip of the spear” for them. It took their eyes of the COVID “noise.” As they communicated with the right message, donors and friends have responded with increased giving.

In an article entitled “COVID-19 Fundraising: How Nonprofits and Higher Education Can Adapt” (Wealthx.com, May 2020), the author states, “There is a lot of media noise, and a lot of people are looking for guardrails and foundations. Take the time to clearly re-communicate your organization’s fundamental purpose and goals to your donors. Help people to understand the enduring significance of what your organization is doing in the midst of so much uncertainty.” In other words, “double-down” on communicating vision and mission.

Remember, having a long-term attitude helps us balance our short term needs with our long-term vision. Our vision shouldn’t change, even if our needs in the short term may. Fostering and promoting this vision starts with you – the leaders. When the vision is threatened, it is no time to take a defensive posture, but to push forward. “Double down,” you will be glad you did.

Here are a few of Greg’s “sticky points” to consider:

(1) Maintain a long-term attitude. Your vision is everything.

(2) Mobilize your best team members with personal phone calls….use “ENCOURAGE, PRAY, SEED VISION”.

(3) Find a line to cut through the noise of the pandemic.  What is something that uniquely states how God is using you now? For World Mission, it is ‘the people we are serving are more concerned with starvation that getting the virus’.

(4) Be a leader.  Recognize the times we are living in and be a relevant voice. Always bring it back to vision. What distinguishes you? 

Article submitted by Kent Vanderwood, Vice President for The Timothy Group. Kent currently resides as a board member for the West Michigan chapter of the Association of Fundraising Professionals (AFP). Through his work as Development Director for The Potter’s House, Gospel Communications International, and Mel Trotter Ministries, Kent brings a wealth of experience in fundraising and development. His passion for seeing Christian stewardship principles applied in a systematic way helps the non-profit organization or ministry be successful in fulfilling its mission.

Donor Relations, Fundraising, Major Donors

Low Pressure vs. Passive Donor Communications

by Kent Vanderwood
June 2, 2020

As non-profit leaders, we all know the importance of good, ongoing communication with our supporters and friends. Communication of our message in a meaningful way is an essential part of the fundraising formula. It is important that we keep our vision out front. During this challenging time of the COVID-19 pandemic, how and when we communicate to our donors is more than just important. It is critical.

Sensitivity & Scale

Most of the non-profit ministries we work with have scaled back their communication in some way. Since we are not doing face to face donor meetings, we have turned to other means – phone, mail, email, and even virtual meetings like Zoom or Go-to-Meeting. Some would ask, does this require that we also change the message? The urgency? The frequency? Most ministries have realized the need to be sensitive to donors during this time. Many have lost money or investments and are not as prepared to make gift decisions. Some have been directly impacted by COVID in their family. Others are fearful or worried about the future.

Care Over Solicitation

 At TTG, we have discussed the need to pivot from making direct “solicitation” calls to “care” calls or thank-you calls. Sharing what is going on at your ministry in a low-pressure manner is a good practice as we move through these uncertain times and look forward to a season of recovery. People need to know you are still there.

Low Pressure vs. Passivity

But we should not be passive in our approach. Being passive means that you do not take action, but instead let things happen to you. Passive activity involves watching, looking at or listening to things without taking action; being inactive. This is not how we want to communicate with our donors. Being low pressure in your approach does not mean you are being passive. It simply means you are adjusting your approach to the current situation. 

One of our school clients described how they are calling their regular donors and saying, “We are still here. God is faithful. Even though we are closed to students, we still have operational needs.” No direct ask was made, but they shared the need in a low pressure way. Many would respond, “How can we help?” This school saw increased giving over a year ago and met their annual fund goal in the midst of COVID-19. God is faithful.

Another client, a rescue mission, reported that as they increased their focus on thank you calls, they saw a parallel increase in the number of unsolicited donations to the ministry; this included some very large gifts that were unexpected. What if they would have been passive and didn’t reach out to these donors?

Donors who love your ministry will stay faithful if you communicate in a sensitive and loving manner. Being low pressure in your approach is fine. If they can’t give today, they will when they are more able.  

Recommended complimentary reading: “Ask For A Fish”. Order here.

Article submitted by Kent Vanderwood, Vice President for The Timothy Group. Kent currently resides as a board member for the West Michigan chapter of the Association of Fundraising Professionals (AFP). Through his work as Development Director for The Potter’s House, Gospel Communications International, and Mel Trotter Ministries, Kent brings a wealth of experience in fundraising and development. His passion for seeing Christian stewardship principles applied in a systematic way helps the non-profit organization or ministry be successful in fulfilling its mission.

Capital Campaigns, Donor Relations, Fundraising, Fundraising Verse of the Week, Stewardship

“Help, I’m Not Good At Fundraising!”

by Ron Haas
May 30, 2020

“For I know your eagerness to help, and I have been boasting about it to the Macedonians, telling them that since last year you in Achaia were ready to give; and your enthusiasm has stirred most of them to action” (2 Corinthians 9:2).

“Help, I’m Not Good At Fundraising!”

Peter served as a board member of a youth ministry that was launching a capital campaign. The ministry leaders asked him to chair the major gifts committee. Peter responded, “I’m not good at fundraising.” Instead, he committed to match every gift dollar for dollar. Then Peter emailed his friends and asked them to join him. His first friend gave $200,000; the second gave $300,000. Soon they reached their $3 million goal.

Peter’s ministry friends teased him, “You’re a pretty good fundraiser after all. In fact, you’re better than all of us combined.”

Spur One Another On

When Paul raised relief funds for the Jerusalem church, the believers in Corinth were the first to respond and promised to give more. Paul shared their eagerness with all the other churches in Achaia and their generosity encouraged most of them to get involved. Hebrews 10:24 teaches, “And let us consider how we may spur one another on toward love and good deeds.”

Show Enthusiasm & Passion

Enthusiasm begets more enthusiasm. Tell your ministry impact stories with zeal. Then when God blesses you with a major gift, celebrate your donor’s generosity testimony. Encourage your donors to spur on their friends to join them in supporting your compelling case. Many people need a gentle nudge to part with their resources; a sacrificial gift inspires others toward generosity.

The most effective fundraisers on your team might not be those with professional skills, they might simply be those with passion.

Have a Spirit-led fundraising week,

Ron

Ron Haas, Vice President for The Timothy Group, has also served the Lord as a pastor, the vice president of advancement of a Bible college, a Christian foundation director, a board member and a fundraising consultant. He’s authored two books: Ask for a Fish – Bold Faith-Based Fundraising and Simply Share – Bold, Grace-Based Giving. He regularly presents fundraising workshops at ministry conferences and has written fundraising articles for At the Center magazine and Christian Leadership Alliance’s Outcomes magazine.

Client Impact, Donor Relations, Major Donors, Strategic Planning, Zoom Panel Forum

Donor Engagement & Energy Strengthens!

by The Timothy Group
May 27, 2020

Let’s get on with the good news!

Yes, donor engagement and energy continues to strengthen. People are being drawn together in ways that were unheard of just months ago. People are sewing masks for friends and family, donating meals to health-care workers and offering help to neighbors in need. Many businesses and institutions have pivoted to virtual engagement, and to a deeper level of connection than anyone would have ever guessed.

The Christian education, ministries, and missions that have seized upon these times as an opportunity to not be forgotten have learned new skills and broadened their reach and levels of support. They are strengthening plans for donor giving and expecting growth for the years to come.

With such effort, we have seen remarkable response to some of the urgent questions and needs of this crisis. How do we continue to educate our youth? How can we safely care for our homeless? How can we help kids to stay happy, healthy, and safe this summer? Many donors have stepped forward and continued to support these and other beloved missions wherever they’ve felt the call.

What seems to be working for our colleagues out in the field? Here are some ideas and encouragement shared and collected by our guest host panelists through our recent Zoom Panel Discussions. We hope it revitalizes and strengthens you!

Christian K-12

Keep active with your annual fund planning.

Consider a cost-based tuition model with an annual fund plan that covers smaller non-operating budget projects. This model sustains well through health and economic crisis.

Continue to communicate in a low-pressure way such as “We’re still here, God is providing, help when you are able” sets a calm, reassuring tone.

Replace active asking with conversations on well-being and sharing love for the mission.

When major donor gifts come in (and they will), find a cool, new way to thank your donor and show your love and appreciation. Consider driving to their home and place a gift basket and yard sign by their front porch that says “we love you” with your school verse. Give them a call as you drive away and let them know there is a surprise for them.

Be cautious as to when it is the right time to follow through with the ask. Consider language such as “hey we are still here, we know we had asked awhile back – if you can help that’s great, if not, we’ll come around another time”. Realize the ask is still there and that you are not withdrawing it, but will come around to it another time.

(Click here for more insight from Sam Barfell of Southside Christian School.)

Christian Higher Education

Move from being a big cruise ship to that of an agile kayak able to navigate through today’s changing and/or future turbulent times.

Become “lean and mean”. Look for today’s opportunities to shrink size, space and scale, streamline and/or eliminate duplication of services. This puts you in a position able to transition quickly and smoothly through crisis.

Start an educational or community initiative that collaborates and links with others in local communities that share your vision and mission.

Form a President’s Advancement Advisory Council with energetic staff, major donors, community members and others that share your vision and mission.

Don’t be afraid to go “against all odds” with fundraising events or galas. Seek new ways to hold them or invite big-hearted celebrities to join you in sharing your mission. They are very willing to help during challenging times.

Put prayer, marketing and ministry together and be spiritually creative. Try a series of prayer or other meaningful short, 30 second videos to show it’s “our turn to pray and care for you”. Try 30-minute virtual lunches to pray and share how things are going out there for your students, staff and donors.

(Click here for more insight from Bill Blocker of the College of Biblical Studies.)

Rescue Missions

Place focus and emphasize on how to keep new donors (via the current crisis)  on board and engaged for the long haul. Even with lack of funds from storefront sales, giving is ticking up.

Yes, do keep up with the personal donor phone calls. Donors will ask, so be prepared to answer when donors ask, “how else may we be of help?”

Gently steer donors to your website to give online via your phone calls or inbox e-News. Keep your “give button” front and center on each webpage. Provide current testimonials and update all content. Keep needs out front.

Blast social media with 30-second snippets featuring clients and their stories.

(Click here for more insight from Tony Gooch of Durham Rescue Mission and Greg Kelley of World Mission. An article featuring more of Greg’s thoughts will be posted next week.)

Camps & Ministries

(Click here to see the recent article submitted by Amy Carlson of Youth Haven Kids’ Ministry.)

Do you have any ideas or encouragement to share? We’d love to hear from you. Please share your comments below. Thank you!

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