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Fundraising

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by

Louise Métrich

on 6 December 2013

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Transcript of Fundraising

THE FUNDRAISER
is the person who knows best the organization - structure, finances, projects, aim, etc.
Example of sources for core funding
Types of funding
Fundraising
WHAT IS IT?
Raising funds, i.e. asking for money!
Principles
How does this apply to TLI?
S
ome advices

Project funding
= restricted
Core funding
= unrestricted
The money is raised and should be used for a single, specific project
The money is raised for the organization, for the cause, hence it can be used for any project

The financial report is usually very strict (very detailed, etc)
(EU money is always project-based!)
The conditions of using and reporting are much softer
Secure a good chunk of core funding!
Do not double fundraise
(same bills paid by 2 different grants)
! This is fraud
(but pretty common)
!

Raising project money = committing to a new project!
works closely with the finance department or person of the organization
should raise at least 5 times what s/he costs to the organization
is responsible for the relations with donors
Building relationships
individual donations
crowdfunding
street collection
charity events
legacies
CSR programmes
membership fees
tax related donations
***
social media
Not all source and methods are suitable for all causes and organizations!
Organizing an event is
risky
: it costs money and may not be successful! The fundraising target is the net contribution of donors, not the amount that you receive during the event! Pay as little as possible for everything, make partnership with a big company (can provide a nice big room for free, and might even give a donation!), etc.
You might not want to receive money from some donors: define your ethics of fundraising and learn to say
NO
to the offer of a donor (even if it's a lot of money:))!
private foundations
Be prepared
Communicate in a simple way
Develop a fundraising strategy!
= Know your organization thoroughly! For the donors, you are the face of the organization.
= Have a list of potential projects ready that donors might fund ("Giving us 10000€ will enable us to organise a training about...; 2000€ will enable us to do this project...")
= Have clear objectives and tell them clearly! Before talking about your activities, talk about your cause and your aim, in a simple way ("I want all Roma to be treated fairly. I am against exploitation of children" etc.)
Hang on to your core aim and objectives
= Resist the temptation of doing projects for the donor (adapting your aim and your cause to the cause of the donor)
Do not confuse
Promote transparency and ethics
Have an
ethical policy
of fundraising that you publish on your website.
fundraising activities
versus
activities you fundraise for
awareness raising
versus
fundraising
campaign
incentives
versus
cause
beneficiaries
and your
fundraising target audience
You may want to separate both.
E.g. Tax deduction, getting a badge, adopting an animal, etc. are incentives, not the cause! They should be clearly explained but should not come as primary arguments to convince to donate!
It is not recommended to raise funds in the community where you work, in particular if it is a vulnerable group (e.g. Roma).
E.g. Organizing a charity dinner in a fancy hotel is fine, but don't combine it with an activity you are doing let's say for disadvantaged people, or don't organise an activity for disadvantaged people in fancy premises.
Have an
anti-corruption
and
anti-fraud policy
that you publish on your website.
Publish your accounts
on your website (not in details, but the share of the salaries, projects costs, etc).
Relationship with donors
Once you get the money
Meet the terms of the grant!
Keep good relations with the donor: report on time, build trust, build personal relations, etc
If there is a problem or unexpected change
Early intervention is always the best!
Talk openly to your donor, tell the problem and suggest solutions.
Donors know that the situation might change between the grant request and the start of the project: tell them the issue!
Keep good relations with your donors
And former donors!
E.g. If they decide not to fund you this year for whatever reason, keep enquiring about other possibilities of support (project grant instead of core funding, or ask for a small grant if you need co-funding for a project, etc.
Donors talk to each other! You don't want to be put on a blacklist!
Develop a fundraising strategy and in particular define our aims and objectives. We might have to work on our mission statement again to help us (or vice versa).
Publish our policies (ethics and transparency)
Be more proactive and start contacting potential donors instead of waiting for open calls and relying on grant applications.
Have a long list of ideas of projects (big and small) ready.
We might have to think of how to share this task: does it make sense that each of us fundraise for his/her respective programme?
Decide which fundraising methods are most appropriate for us and advertise some of them on our website: e.g. Individual donations, 1% tax thing, possible tax deductions for companies, etc (in addition to advertising who are our donors...)
We need to:
To Meditate...
Long-term self-sustainability

How to become less dependent on donors? How could TLI generate its own income (to what extent is it compatible with TLI status, and which could be income generating activities)?
Full transcript