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Development, Donor Relations, Fundraising

Throw Your Perfect Elevator Pitch

by Kent Vanderwood
May 5, 2021

What’s your elevator pitch? If you bump into someone important on an elevator who asks you what you do for a living, what would you say? Have you scripted your talking points that quickly and simply define your organization and its value proposition?

Your elevator pitch should express why your non-profit matters in thirty seconds or less. If your conversation is compelling and sparks interest, hopefully you will keep talking after you’ve arrived at your floor and exchange business cards. The goal for every elevator pitch is to secure a follow up meeting.

An elevator pitch is not simply reciting your mission statement. It is different than a mission or vision statement although these can be woven in to your “pitch.” Write down and memorize three or four short sentences, statements, or even phrases so you are prepared at a moment’s notice.

Your elevator pitch should be…

•  Simple – Avoid getting too wordy. Don’t use too many fancy words or jargon. Get to the salient points as soon as possible and do NOT try to tell your whole story. Save that for later.

•  Emotional – The listener needs to hear emotion, excitement, and passion from you. If you are boring why would your listener want to hear more? Provide them with an “Aha” moment!

•  Credible – You don’t need to quote facts or numbers, but if you do, make sure they are accurate. Avoid stating, “we are the ONLY organization that…” You must sound sincere and believable.

•  Relevant – Your cause is relevant, or you would not serve there. In the same way, your “pitch” must be relevant to your audience.

I worked for a ministry named Gospel Communications, International. Our mission was hard to explain. So, I developed an elevator pitch that I used often when people asked, “Tell me about GCI.”

Here’s my script:

At Gospel Communications International, we provide access to the Good News of Jesus Christ to people around the world in the language of their hearts.

For more than 50 years, we have shared God’s Word and other critical information through culturally relevant, evangelistic films, videos, TV broadcasts, and internet-driven messages.

Based in West Michigan, our passion is communicating the Gospel worldwide, using media, to change lives.”

I wrote this elevator pitch when I worked for Mel Trotter Ministries:
Mel Trotter is located in the Heartside Neighborhood of Grand Rapids. We proclaim and demonstrate the compassion of Christ toward hungry, homeless, and hurting men, women, and children from the West Michigan area. We do this by providing the life-sustaining services they need without cost or obligation to them. In short, we bring hope to those who have none.

Don’t Forget to Follow Up
Once you deliver your pitch, you need a plan of action to follow up. Ask the person if they’d be interested in learning more about your ministry and offer to email some additional information. Obviously, make sure you get their email address! A great elevator pitch can get your foot in the door, but exceptional follow-up can really set things in motion.

About the Author: Kent Vanderwood, Vice President – Kent offers clients over 35 years of non-profit experience including teaching, administrative, consulting, and directorships. 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. He currently serves as a board member for the West Michigan chapter of the Association of Fundraising Professionals (AFP). 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.

Client Impact, Donor Relations, Fundraising, TTG Answers

Run With Horses!

by Ron Haas
April 21, 2021

“If racing against mere men makes you tired, how will you race against horses?” (Jeremiah 12:5 NLT)

Your ministry needs strong volunteer leadership! Sometimes, God brings you a leader with passion, drive, and enthusiasm that challenges you to catch up with their zeal.

Join Ron and Scott for a lively conversation as they discuss “Run with Horses!”

https://www.youtube.com/watch?v=e6ZQ2pWex1o

Development, Donor Relations, Fundraising, Stewardship

Squeezing Fundraising onto Your To-Do List

by Kent Vanderwood
April 20, 2021

Do you feel like a circus performer juggling multiple tasks competing for your time and attention? Have you been asked to write your ministry’s strategic plan—and then implement it all by yourself? Are you responsible for training and coaching your staff, but can’t seem to find time to meet with them regularly? Do you finally schedule a meeting, only to cancel it to prepare financial reports for the board meeting? Has your board chair asked you to ramp up your fundraising efforts because the budget is a little tight? You might think to yourself, “And just how am I supposed to squeeze that in?”

Don’t laugh! This is an every day, real occurrence in the non-profit world.

The “tyranny of the urgent” is not just a cliché, but a reality in many ministries. Charles E. Hummel wrote a small pamphlet bearing that title (Inter-Varsity Press, 1967) and commented, “When we stop to evaluate, we realize that our dilemma goes deeper than shortage of time; it is basically the problem of priorities.” So, how can you maintain both your sanity AND priorities and still raise funds your ministry?

·  Is the answer more staff? Maybe, but that’s not always possible.

·  Is the answer less responsibilities or tasks on your plate? Maybe, but which ones should you eliminate?

·  Is the answer better time management, as in “shall I sign up for one of those time management seminars when it comes to town?” Maybe. This may help you cope with the immediate challenge but not alleviate your problem long term.

Finding more time in your day, week, or month is a fundamental management challenge. One executive director described his avalanche of paperwork, “It’s horrendous and getting worse. Sometimes it seems all I do is shuffle papers without ever making progress on the real work that needs to be done.” All of us have “real” work and “not so” real work. How can you tell the difference and strike the right balance?

Setting the right priorities.
Name three things your organization must do well to thrive. Then ask yourself, “What are three things in my current job description that only I can do?” Involve your board or others in your evaluation process. Fundraising should land near the top. The CEO or executive director is typically the most effective fundraiser in any organization. The position carries influence; many donors want to talk directly with the boss. You may need get rid of some responsibilities to add fundraising to your plate.

Sticking to these priorities.
Maybe you have heard the expression, “keep the main thing the main thing.” Once you establish the right priorities, jealously protect your fundraising time. Schedule a day, or two half days each week to meet with donors and prospects. Use this time to educate, cultivate, and nurture your relationships. Be persistent. Interruptions and other “important” things will always try to crowd into your fundraising time. Unless it is in your job description, and only you can do it, don’t let anything get in the way. Your ministry success depends on your fundraising efforts. Bottom line–free up your schedule for fundraising.

Delegate Wisely
In his book, One Minute Manager, Ken Blanchard poses the question, “Why is it that some managers are typically running out of time while their staffs are typically running out of work?” Some leaders think they are indispensable, or that some tasks can only be completed by them. Yes, this is partly true, but most of us struggle with delegating properly, thus adding to our stress. No one is indispensable. That thought process limits the work or growth of others.

Delegation is “the ultimate form of management” because it allows your people to achieve more and more with less and less from you. And guess what? Effectively delegating one project, or task, frees up time for you to delegate more responsibilities to others. As you achieve higher levels of delegation, it will free up your time to focus on what is most important. If someone else in your organization can do or be trained to do a task you currently do, let them do it.

Whom should you delegate these extra tasks to? It may be someone on your staff or team. If not, can you identify some faithful volunteers? Recruit true biblical stewards who desire to serve the Lord. They may have time and talent in areas you may not.

Is there a risk when delegating? Of course, but the greater risk is being overwhelmed and ineffective as a leader because you can’t get to everything. With all those plates spinning in the air, it is only a matter of time until some of them crash to the floor. Delegate every task that keeps you from “the main thing.”

Fundraising is essential for every ministry leader. It is not about “squeezing fundraising onto your to-do list.” Embrace fundraising as one of your top priorities and then reassign everything that gets in the way. Your ministry will thank you!

About the Author: Kent Vanderwood, Vice President – Kent offers clients over 35 years of non-profit experience including teaching, administrative, consulting, and directorships. 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. He currently serves as a board member for the West Michigan chapter of the Association of Fundraising Professionals (AFP). 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.

Development, Donor Relations, Fundraising, Stewardship

Boost Your Annual Report!

by Kent Vanderwood
April 6, 2021

One of the best strategies for reporting your success to your donors and stakeholders is through an Annual Report. You may or may not currently produce one, but if your non-profit organization is like most of those we serve, you probably ask these questions every year:

·  Is an annual report required of our non-profit?

·  If not, why should we do one?

·  Who is our audience?

·  What should be included?

·  How long (or brief) should it be?

·  Is there one format that is better than others?

·  Should it be printed or digitally produced?

·  What are the best practices to consider when preparing our annual report?

Do we have to produce an annual report?
Your ministry is not required to produce an annual report, but there are many persuasive reasons to create one. However, all non-profits with 501c3 tax-exempt status must file Form 990 or the Annual Information Return with the IRS. An annual report is an optional informational report that non-profits produce to serve their OWN purposes. Here are some benefits to consider:

Inspire your audience about your mission.
One non-profit executive’s perspective is, “The annual report is a comic book. They look at the pictures and glance at the words.” If you only have a glance, make sure your photos include captions that communicate your impact, your stories are brief but compelling, and your financials are clear and convincing.

Show the results and impact of your organization.
Donors are your target audience. Show the tangible results of your work to prove your return on their investment (ROI). Share the spiritual impact to authenticate your spiritual return on investment (SROI). What were you able to accomplish, with their help, over the past 12 months? Do not be afraid to “toot your horn.” Donors give because they love your organization. They keep giving and give more because their dollars are making a difference. Some organizations have wisely renamed their annual report to “Impact Report.”

Build trust through financial accountability.
Being transparent with how you present your numbers will help build trust. Your audience can review your 990 Report on their own to check your financials. It’s much better to tell them first in your narrative with your charts and stories. There are many ways to share this information. Make it simple and clear. They need to see that you are a good steward of their donations.

Show appreciation for your current donors.
In the past, annual reports would generally show a list of donors over the past 12 months. At least those who have given at significant or notable levels. Of the 15 annual reports on my desk right now, only one of them includes this list. And that one is an insert sheet that can be added or removed based on the audience. That is not to say the other reports fail to show appreciation and give thanks. It is just more general and less specific to individuals. Hopefully, you are engaging with your major donors enough that you need not depend on your annual report to say thanks.

What are some “best practices” for writing an Annual Report?

·  Create a plan for your non-profit annual report. Have a strategy. Define your purpose and your audience. Include great photos. Compile financial information and key metrics. Interview key supporters or service recipients for stories. Plan enough time to do it right.

·  Focus your annual report on the good your non-profit accomplished. Write from your donors’ perspective. What did their donations and volunteer support accomplish? Put them first. Allow them to “own” the results.

·  Use visuals in your annual report to keep readers engaged. Remember the “comic book” analogy? Use more visuals and less words. “Info-graphics” help. Transform complex data into easy-to-understand information.

·  Be honest about your non-profit’s progress. You want to show success, but that may not be possible 100% of the time on every project. Feel free to mention some of the challenges faced over the past year; show how you are being proactive in solving problems. Transparency builds trust.

·  Inspire supporters to act. Your annual report should include a call to action for your readers. Your report will share success and accomplishments. Some will be asking, “What’s next?” Make sure you include the answer to that question and how they can be a part of it. Volunteerism, corporate matching programs, upcoming fundraising events can be shared.

Should your annual report be a printed hard copy mailed or hand delivered to your stakeholders? Or should it be produced digitally and available for downloading as a PDF via an email or on your website? The answer is, “YES!” A combination of hard copy and digital annual report versions will reach the widest audience.

Here are three great samples: Haiti Teen Challenge, Immanuel Schools, and Lakeland Christian Schools.

Your annual report can be an effective fundraising tool as you inform, explain, narrate, and persuade your ministry partners to increase their impact through your ministry.

About the Author: Kent Vanderwood, Vice President – Kent offers clients over 35 years of non-profit experience including teaching, administrative, consulting, and directorships. 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. He currently serves as a board member for the West Michigan chapter of the Association of Fundraising Professionals (AFP). 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, Major Donors

Major Donor Game Plan: Report

by Pat McLaughlin
April 6, 2021

Bang for the Buck: Report How You Used Your Donors’ Money

Major Donor Game Plan has been sold and distributed far and wide – in the USA, Canada, Central America, Africa, the Middle East, the UK, China, and Australia. In it I simplified, “Moves Management” into 6 R’s: (1) Research, (2) Relationship, (3) Request, (4) Recognition, (5) Recruitment and (6) Report.

In our information age, it should be easy to honor our ministry partners by reporting how we invested their money to change lives. They deserve to know what difference their contributions made for eternity. It sounds simple, but why does it seem difficult to accomplish? Here are a few tips for better donor accountability.

Be Genuine 
Make your impact report easily accessible. Donors shouldn’t have to search your annual report or some other document to uncover your annual, capital, and endowment campaign results. Make it personal! You’ve already thanked them for their gift (Recognize), now use a personal donor touch to report back the great things they accomplished. Donors love “bang for the buck.” Share specific results: lives changed, new programs, new buildings, new opportunities. You don’t report just to receive another gift, but if you report well you will very likely set the table for their next gift. If you don’t report well, you might not see another gift.

Focus on What God is Accomplishing
In Jesus’ parable of the talents, the landowner summoned his stewards to account for how they invested his money. Reporting to donors is an exercise in accountability as you share how you managed the resources entrusted to your care. Your organization must demonstrate financial integrity. Giving a donor update should have a different feel. Donor reports are more than numbers. Ultimately, it’s not just about what the donors gift accomplished, or even how you used the gift, your report should focus on what God is accomplishing in your ministry. Make certain your donor update/report reflects all the praise to God. When Paul and Silas returned from their first missionary journey, “they gathered the church together and reported all that God had done through them and how He had opened the door of faith to the Gentiles” (Acts 14:27). That’s a great pattern for us.

Praise and Prayer
Too often our fundraising plans focus on how the donor can help our ministry and not how our ministry can help the donor. We see the gift as a one-way transaction from their DAF, wire transfer, or checkbook to our budget, but that is a shortsighted perspective. Praise your ministry partners. Say thanks for their investment in your ministry. Paul reminds us that the receiver should overflow with thanksgiving, rejoicing, and offering prayers for those who gave. When you report, thank your donors, share your prayer requests, and ask for theirs.

It’s a Two-Way Street
Fundraising is built on solid relationships. Reporting helps you drill deeper with your ministry partners. Some ministries act like a freshman in college, they only call home when they are out of cash. Don’t be that organization. Love your donors by reporting the eternal difference their generous gifts are making in your organization. Share stories of evangelism, discipleship, mercy ministries, education, homeless impact, children, food, clothing, and shelter. There’s a story behind each of those ministries waiting to be shared. The miracle of a changed life is the greatest story to report.

Solomon said it best, “Like cold water to a weary soul is good news from a distant land” (Prov. 25:25). What cup of cold water will you share with your key donors this week?

About the Author: Pat McLaughlin President/Founder – Pat started The Timothy Group in 1990 to serve Christian ministries as they raise money to advance their missions. TTG has assisted more 1,800 Christian organizations around the world with capital, annual, and endowment campaigns. More than 25,000 of Pat’s books, Major Donor Game Plan, The C Factor: The Common Cure for your Capital Campaign Conundrums, and Haggai & Friends have helped fundraisers understand the art and science of major donor engagement. Pat makes more than one hundred major donor visits annually and provides counsel to multiple capital campaigns.

Donor Relations, Major Donors

Major Donor Game Plan: Recruitment

by Pat McLaughlin
March 24, 2021

The Toughest Test with your Donors
I’ve heard it. You’ve heard it. We all have heard it. Donors say, “I have more money than I have time.” “I’m happy to write a check or give through my DAF. But please, please don’t ask me to volunteer, be a friend raiser, or serve on a committee or board. I just don’t have the time.” People have the time—they just don’t want to invest it in your ministry. How can you encourage your donors to give their talent, treasure, and time? Here are some keys to unlocking this valuable commodity.

Confidence
How have you done with the first 4 R’s of major donor engagement? (1) Research (2) Relationship (3) Request (4) Recognition. Did your donors feel loved and confirmed? Did their confidence in you and your organization grow during these steps? Remember, fundraising is based on relationships. If you simply “grab the money and run,” your relationships will suffer. You build trust by doing what you said you would do with their hard-earned money. You also build trust by spending time as friends doing life together. Not every visit or phone call is asking for money. People will only introduce you to their friends when they have complete trust and confidence that you will treat their friends with love and respect.

Chemistry
The NCAA men’s basketball “Road to the Final Four” has proven that sometimes it is not about the best team with the best players, but the team with the best chemistry. You need to build a major donor recruitment team who will help you open doors to new donor relationships. Be proactive. Donors usually don’t say, “WOW, that was so much fun giving big money to your organization, I may know 4 or 5 friends who might like to do the same!” The number one reason why people give is because of who asks. Help your key donors encourage their friends to join them in your project. Develop a donor recruitment strategy that clearly defines some simple steps your friends can take to engage their friends.

Culture
Your recruitment/donor acquisition strategy must be S.M.A.R.T. (specific, measurable, achievable, relevant, and time-bound). It must fit the culture of your organization and the culture of the major donors helping you. Donor acquisition by direct mail is expensive and not as effective these days (before, during, and after COVID). Won by one is the best donor acquisition/recruitment strategy. Your key donors prove they love and trust you by their generous giving. Asking them to network to their friends on your behalf will reveal how much they really love you. Major donors know other major donors. They live in the same gated communities, play golf at the same country clubs, and may have second homes in the same winter destination. If you can tap into the major donor networks within your existing constituency you will never run out of contacts. Why? Because every new and existing donor becomes a center of influence.

Multi-Faceted Offense
Good teams have a variety of offensive plays to advance their efforts.  You need to do the same:

• Personalized Mail. Assist your donor with an effective mail presentation package. Include a handwritten note.

• Phone Call. Ask your friend to ask their friend to meet in person or by zoom to hear more about your ministry. Encourage them to share why they find joy in supporting you.

• Zoom Call. One of the blessings of the pandemic is that people are more comfortable with technology. Use video calls to give your prospective donors a tour of your facilities or introduce them to various staff members.

• Donor Gatherings. Encourage your key donors to host a small group event in their home to introduce their friends to your ministry. It doesn’t have to be a formal dinner; coffee and dessert are fine. Your event should include an exciting testimonial from your host couple, 30-45 minutes of presentation by a ministry representative, Q & A, and a response card to schedule a follow up visit. Don’t ask for money that evening. You may embarrass the host couple or even worse, you may get tipped. Donors might write a small check as a favor to their friends, but not make a true prayed-through stewardship gift.

Final Thoughts

1. Use your time wisely. Invest in your donors and ask them to invest in you by giving and recruiting. Cultivating major donors is a life-long pursuit.

2. Your close ratio is very high when a major donor agrees to lead you to a friend.

3. Small group events are still a great major donor recruitment strategy.

4. Face-to-face. All the direct mail and large events in the world will not compare to what a personal face-to-face meeting with a friend or colleague can accomplish.

A Success Story
Rob, the new headmaster, was looking for ways to connect with the school’s donors and asked board members and faculty for help. Joe, a long-time faculty member, wasn’t convinced Rob was the right choice and was reluctant to introduce him to anyone. A former faculty member passed away and Rob decided to attend her funeral. He stopped at the receptionist to ask for directions. Joe was also there asking for directions. He was surprised that Rob would take the time and offered to give him a ride. Rob’s willingness to go to a funeral of someone he never met to comfort the family on behalf of the school broke the ice with Joe. When he drove Rob back to the school, Joe said, “You need to meet Bill. I’ll call and introduce you.”

Rob met Bill for breakfast. Bill was a former board member, major donor, and community leader. He was a wealth of information and helped Rob better grasp the school’s history. At the end of breakfast Bill said, “If I can help you in any way. Please let me know.” Rob responded, “There is one thing you can do. I don’t know anybody. Could you introduce me to the people I need to know?” Bill replied, “If you’re serious, I will connect you with all the former board chairs.” And he did. Joe opened the door to Bill and Bill opened the door to twenty-eight key stakeholders.

Recruitment is the toughest test for your donors, board members, or even faculty. Don’t give up if someone is reluctant to connect you to key donors. Keep asking. God can lead you to the right person who can unlock incredible relationships.

Have fun it works!

About the Author: Pat McLaughlin President/Founder – Pat started The Timothy Group in 1990 to serve Christian ministries as they raise money to advance their missions. TTG has assisted more 1,800 Christian organizations around the world with capital, annual, and endowment campaigns. More than 25,000 of Pat’s books, Major Donor Game Plan, The C Factor: The Common Cure for your Capital Campaign Conundrums, and Haggai & Friends have helped fundraisers understand the art and science of major donor engagement. Pat makes more than one hundred major donor visits annually and provides counsel to multiple capital campaigns.

Development, Donor Relations, Fundraising

Donor Research Basics – (Part 2)

by Jody Fausnight
March 22, 2021

In our last article we reviewed three sources of donor prospecting research available to all ministries: internal, advocate, and external resources. We also categorized donors as general, mid-level, or major. Now that you have identified your donors, the next steps are qualify and cultivate.

Qualifying Donors
Major donors typically represent the top 10-20% of your donors. These individuals have given, or you believe have the capacity to give at your major donor giving threshold. Your time is limited, so you should qualify your major donor prospects to make sure they are genuine major donors. Some gifts meet your major donor criteria, but as you follow up you might learn that the donor made a one-time gift because they tithed an inheritance or sold a property. These donors may be great supporters but should probably be categorized and cultivated as mid-level donors.

The 4C Rating System
Qualifying donors requires some investigation work. Uncover this key donor information:

1. Connection – Does this person have a current or past connection to your ministry?

          • As a service recipient, or family member of a recipient?
          • As a former staff member of your ministry?
          • As a current or past advocate?
          • As a current or past volunteer?

2. Current – Is this person currently involved, or recently involved in the last 12-36 months?

          • As a donor to our ministry in the last three years?
          • As a service recipient, or family member of a service recipient?
          • As a current or past volunteer?
          • As an attendee at a recent community ministry or fundraising event?
          • Any of the above but more than three years prior?

3. Capacity – What do internal, advocacy, and external sources tell you about this person’s ability to give at your major gift level?

          • Are they someone who has given a major gift in the past to your ministry?
          • If not, has their pattern of giving or involvement indicated that they may be able to increase their giving?
          • Would advocacy sources such as your board members or development committee volunteers know these prospects and be willing to make an introduction?

4. Commitment – Does this prospect have a demonstrated commitment to your ministry mission? What is their interest level?

          • Are they a current donor or past donor?
          • What are their interests/hot buttons reflected in giving records or CRM notations?
          • Are they a current volunteer, past volunteer, or leader, but perhaps not a donor yet?
          • If so, how have they served?
          • Have they seen the impact of your ministry in a loved one, friends, or neighbors in the community?

Use the following 4C Score for each prospect based on the information you discover:

Prioritize your initial efforts with those donors and prospects having a 16-20 combined ratings total, then focus on those in the 12-15 range. Those who are mid-level donors or prospects may fall in the 8-12 range and should be engaged after you have reached those with higher ratings.

Cultivating Donors
Treat every donor with kindness and respect but concentrate your time with donors who have the capacity to significantly advance your ministry. You should invest 50 percent or more of your time cultivating relationships with these key donors through phone, direct email, and in-person or zoom meetings. In every phase of your donor relationships, you should always be in a discovery mode.  Never stop learning about your donors. Consider these questions to cultivate a deeper understanding about what connects them to your ministry.

          • What or who first ignited your interest in serving with or giving to our ministry?
          • What inspires you most about our mission? Why?
          • How would you relate your involvement with our ministry to your spiritual walk and life?
          • Can you think of a time when a ministry did something or responded in a way that surprised or delighted you? What was that experience like?
          • What strengths or opportunities do you see for our ministry?

Listen well to every donor conversation and record key points in your CRM to help build your institutional knowledge about each major donor.

Ask good questions and listen for your donors’ passions. Then you can present a tailor-made proposal that aligns perfectly with their capacity, interest, and heart!

About the Author: Jody Fausnight, CFRE, has worked in the fund development field for more than 25 years serving as a director of advancement, a community/public relations director with four non-profit organizations, and as a consultant. Jody has expertise in Christian school recruiting, public relations, fund development, and major gift cultivation strategies. He has successfully raised many millions on behalf of numerous organizations and has grown ministry development programs from the ground up on more than one occasion.

Development, Donor Relations, Fundraising

Donor Research Basics – Identify (Part 1)

by Jody Fausnight
March 10, 2021

How do you find the right people with the capacity and heart to advance your mission? You have limited time and resources to cultivate relationships with your donors and must be strategic by fishing where the fish are likely to bite. Who in your database are most likely to support the mission, initiatives, and impact opportunities of your ministry? Where do you start? Begin with methodical research and move to appropriate segmentation activities and communications.

You have three research resources available to you:

Internal sources – your database/CRM provides historical giving records as well as notes on past involvement in events, activities, and volunteer engagement.

Advocate sources – your board members and key volunteers can offer confidential anecdotal input about prospective donors’ interests, capacity, and potential support for your mission. Great starter questions for board or committee members are:

•   “Who do you know on this list and how do you know them?”

•   “How long have you known them?”

•   “Do they know anything about our ministry?

•   “Are they aligned with our mission?”

•   “Who is not on our list that should be?”

External sources– third-party wealth screening resources can help you determine potential giving capacity.

The first two choices are great qualification opportunities that only cost your time and effort. Limited external research is also available at no additional cost through Google, LinkedIn, Facebook, or other social media sources. Wealth screening services such as Wealth Engine and DonorSearch can help you develop a clearer picture of your donors’ interests and capacity.

Donor Segments
Prioritize your current donors and prospects as major or general donors. First, define what a major donor is for your ministry. For smaller organizations, a major donor might be $500 or $1000 given in a year (one-time gifts or a series of gifts). In larger ministries, a major donor may give $10,000 or more annually. Many ministries also develop special mid-level donor strategies to reach those who fall between your general and major donor categories.

Donor Communication
Your ministry should be cultivating relationships with individuals, business owners, and foundation representatives using multiple tools like newsletters, appeals, event invitations, email, and social media. Some people in your database are lapsed donors that you need to reconnect. Many times, it’s easier to rewin a friend than to make a new one. Perhaps some in your donor base have never given. These could be current or past volunteers, past recipients of ministry services or family members of those recipients. You may not be able to invest lot of time cultivating these donors face-to-face, but you can cultivate them through your communication channels.

Look for creative ways to share your story. One ministry sends weekly prayer emails and occasional video updates. Recently, when the executive director met a new donor, the donor said, “I’ve never met you, but I feel that I know you because I read your emails every week and watch your videos.”

In part 2, we will discuss how to qualify those donors we’ve identified.

About the Author: Jody Fausnight, CFRE, has worked in the fund development field for more than 25 years serving as a director of advancement, a community/public relations director with four non-profit organizations, and as a consultant. Jody has expertise in Christian school recruiting, public relations, fund development, and major gift cultivation strategies. He has successfully raised many millions on behalf of numerous organizations and has grown ministry development programs from the ground up on more than one occasion.

Donor Relations, Major Donors

Major Donor Game Plan: Recognition

by Pat McLaughlin
March 10, 2021

Do you love me or do you not… you told me once, but I forgot! How do you say thanks and really, really mean it? Recognition is a very important part to all your donors but especially your mega and major donors. A very simple but appropriate thank you is all it takes to acknowledge the gift, show your appreciation, drill deeper in the relationship, and prepare the way for the next opportunity to ask. It’s not manipulative, it’s not syrupy, but surprisingly rare. If the gift is a multi-year gift (some are given monthly or quarterly) you have many opportunities to say thanks. If it’s a one-time gift you must thank your donor well to create an opportunity for the next gift. You are not saying thank you to get the next gift, but not saying thank you might keep you from another gift.

Many development departments are very proficient at donor research, relationship building, and even requesting. Unfortunately, many organizations spend more energy on receiving the gift and little or no effort on showing appreciation for the gift. How do we thank, recognize, and love our donors? Here are some simple tips:

Golden Rule
How do you want to be treated? Seriously, if you had $1,000 dollars or $1,000,000 to give to your favorite ministry, how would you want to be recognized? By mail, e-mail, phone, zoom, in person, by a board member, all the above, some of the above, or none of the above? Think about your personal giving experiences. In what meaningful way you have been recognized in the past? There you go, now go do it!

Don’t Be Late
Be timely, very timely in recognizing a ministry partner. Like milk, thank yous have an expiration date! When the check or the wire transfer comes through pick up the phone and call them. Yes, I said call them—not text, or e-mail, unless that is their preference. Even if it is, pick up the phone and say thanks. There is nothing like personally saying thank you. Make it a ministry call to share your mission, vision, and core values. Tell them what they will accomplish with their gift. Most of all, share your love and appreciation for them.  Share your heart with them. Oh, BTW do it quickly, don’t wait 3-5 days, a week, or even a month. Carpe Diem—seize the moment and say thanks NOW!

Words of Wisdom
The executive director of one of the largest foundations in West Michigan said, “Pat, if an organization does not thank us in a timely manner, they are all done receiving funds from our foundation. We are testing the character and integrity of the organization on not just receiving the gift but how they respond after the gift is given.” It’s just common sense to say thanks in an appropriate way. It’s not difficult. Make it your priority.

How Many Times is Too Many?
A friend of mine who fundraises for a large medical facility said they often thanked their key donors seven times. WOWIZER, is that too much? The thanks came from a variety of team members: the university president, the medical center CEO, heads of various departments (cardiology, orthopedics, etc.), physicians, the VP of Advancement, the major gift officer assigned to the donor, and a patient who had benefited from their gift. You make the call. Too much? Too little? Or about right. Ergonomics is the study of fit. How you recognize donors needs to fit your culture, your staffing limits, your CEO involvement. Make it fit for you.

Closing Thoughts
Will Rogers said, “Common sense ain’t common.” Recognition plans will vary. Everyone has their own ideas. Here are some commonsense ideas:

·  Develop a well-conceived plan to say thanks to every donor.

·  Ask yourself how you would want to be recognized—that’s a great start.

·  Be timely. Show your appreciation while the gift is still fresh in their mind.

·  Use multiple thankers from a variety of sources in your organization.

·  Utilize a variety of methods: call, zoom, hand-written note is very effective, text, e-mail, or a small gift of appreciation.

Sit down with your team today and develop a Thank You Plan. Put actions to your words then watch God do amazing things in your donors’ lives, hearts, and checkbooks!

About the Author: Pat McLaughlin President/Founder – Pat started The Timothy Group in 1990 to serve Christian ministries as they raise money to advance their missions. TTG has assisted more 1,800 Christian organizations around the world with capital, annual, and endowment campaigns. More than 25,000 of Pat’s books, Major Donor Game Plan, The C Factor: The Common Cure for your Capital Campaign Conundrums, and Haggai & Friends have helped fundraisers understand the art and science of major donor engagement. Pat makes more than one hundred major donor visits annually and provides counsel to multiple capital campaigns.

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