Non profits
Fundraising veteran Tom Suddes offers his golden (but free!) advice on how to shape your language to strengthen your organization, which Tom swears (and I think he's right) will change the way you think about your org.
Listen now to change your org's life, and your own perspective. Can't ask for more in 45 minutes. Three key insights:
- Don't define yourself negatively, as a NOT-for-profit. Define yourself positively, focusing on your impact. You're a for-impact organization.
- Your impact drives your income, not the other way around.
- Just ask!
Here's my favorite takeway -- reframing key nonprofit communications language. Examples include:
- Old: charity --> New: cause or philanthropy
- Old: mission statement --> New: message (clear, consistent, succinct)
- Old: survival (of your org) --> New: transformation
- Old: sustainability --> New: solutions
- Old: inform --> New: involve
- Old: overhead/administrative costs --> New: priorities (people, programs and places).
Listen up now. It'll change your perspective today and increase your impact tomorrow, promise. Tip of the hat to Gayle Thornsen. P.
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I just came across an interesting blog post by Stephen Monrad with title of "Can non-profit organizations meet all the needs for-profit businesses currently meet?" His conclusion is that "If a non-profit organization wanted to produce toothbrushes, there is no reason in principle that it couldn't."
I found it to be an interesting post. What follows is the comment that I left on the blog:
In the original post you say that there "is no reason that I could find that they need to limit their work to charitable or social goals." Well, actually, there is... In the U.S., at least, nonprofits receive their tax-exempt status - 501(c)(3) - from the IRS. The application requires a statement of the organization's charitable, educational, or social goals or mission. Presumably, the IRS reviews that before approving the application... presumably...
But, that doesn't mean that a nonprofit couldn't manufacture toothbrushes. If, somehow, the production of toiletries were related to the charitable purpose. For example, I'm aware of a catering company that is a tax-exempt nonprofit. The nonprofit's mission is to train at-risk populations in how to work in the food industry. New cooks enter the program, are trained, work real catering gigs, and then graduate to make room for the next group of new cooks.
To the clients hiring them for parties, they're just like any other caterer, but to the IRS it's a legitimate social enterprise providing educational assistance. I don't know how to translate that story to making toothbrushes, but you get the point.
A nonprofit can also run a for-profit business. A typical example would be a thrift shop set up to support a social cause. In this case, the IRS sees the profit from that enterprise as "Unrelated Business Income." The nonprofit does pay taxes on that portion of their income, but as long as it doesn't become their primary activity, it doesn't endanger their tax-exempt status for the charitable work.
In one of the comments, Clyde writes, "... Losses are a definite probability, but profit is a no-no, by definition." You'd think so, but "nonprofit" is really a misnomer. Nonprofits can (and, in good years, should) earn more than they spend in order to build reserves for lean years (such as we're now experiencing). What nonprofits are barred from doing is distributing that profit to the Board or principals as dividends. Profit is wonderful, as long as it is re-invested into the charitable mission.
Anyway, thanks for this post - It's an interesting conversation.
Your nonprofit could be a 2009 Getting Attention Nonprofit Tagline Award winner! Take 3 minutes now to enter today. More information here.
Yahoo! Just hit 300 entries (after just 1 day) in the 2009 Getting Attention Nonprofit Tagline Awards. Enter here right now, while it's on your mind. Deadline is July 31st. And please spread the word to your peers, grantees and other networks! I received several great questions (thanks all) yesterday when I launched this year's awards, and wanted to share the answers with you:
- We use two taglines, or we use three taglines (one for our org, and one for each main program) . Can I enter both/all of them?
- Yes, you can, each as a separate entry. If you enter a program tagline, add (program) at the end of it when you enter it in the form. You will have to have a colleague enter the second tagline, or clear your browser cookies, to enter a second tagline. BTW, I recommend against using two organizational taglines. It's confusing!
- We haven't launched out tagline formally yet, but still want to enter it. Is that ok?
- What's the timeline for the awards?
- Deadline for entry: July 31st
- Open poll for winners (among selected finalists) September
- Winners announced: October
- Release, fully-updated 2009 Nonprofit Tagline Report: December
- Who were last year's winners?
- Here's the list of last year's winners. Great models if you're working on your tagline now!
- What are the prizes?
- Winners get great recognition, lots of attention/publicity. But, the value of entering is best said by two of last year’s winners:
- “We were very pleased to have our tagline recognized by our colleagues
in the industry. Our award has given the U.S. Fund
extra visibility for its marketing and brand work!“
--> Kim Pucci, Marketing Director, US Fund for UNICEF
- "We were thrilled to be selected as the tagline award winner in the Human Services
category. We leveraged the award as we rolled out our new brand and kicked off the public phase of
our $5M capital campaign. It was highlighted as an achievement
in all of our capital campaign foundation grant requests and
spotlighted in our agency newsletter and in the local media. And, the
media buzz that this award created helped JFCS maximize its marketing
efforts without the need for allocating additional dollars in this
difficult economy.” Rose Chapman, LCSW, President/CEO of Jewish Family & Children’s Service of Sarasota-Manatee, Inc. (That's Rose at top left!)
But most importantly, please enter your nonprofit or foundation tagline today. P. S. Follow the tagline award news on Twitter at @orgtaglines.
Your nonprofit or foundation could be one of this year's Getting Attention Nonprofit Tagline Award winners! Enter today. A strong tagline does double-duty -- working to extend your organization's name and mission, while delivering a focused, memorable and repeatable message to your base. It's one of your most effective marketing tools, but the 2008 GettingAttention.org survey showed that 72% of nonprofit organizations don't have a tagline or rate theirs as performing poorly.
I'm trying to change that with this annual award program, highlighting the best in nonprofit taglines. Take 3 minutes now to enter your nonprofit's tagline here. All entrants will receive a free copy of the fully-updated 2009 Nonprofit Tagline Report in late 2009. It's the only complete guide to building your org's brand in 8 words or less -- filled with how-tos, don't-dos and models. Enter today, while it's on your mind. Deadline is July 3st. BTW, here are the winners of the 2008 Nonprofit Tagline Awards (selected by nearly 4,000 voters in the field). This could be your org in 2009! P. S. Follow the tagline award news on Twitter at @orgtaglines.
Q&A Last month's Chronicle of Philanthropy-sponsored online chat (transcript here) on using social media to promote good causes was such an overwhelming success that we've scheduled a Part 2 for Tuesday, June 23rd at noon, eastern. Join in here. This is your chance to have all your social media questions answered by me or my co-chatters, social media masterminds Danielle Brigida of the National Wildlife Federation and Wendy Harman of The American Red Cross. But ASK RIGHT NOW, RIGHT HERE, if you want your question answered. Because we plow through questions as they are submitted and last round didn't get anywhere near through the list. So you're invited to submit your social media question now to ensure it's at the top of the list. We'll do our best to answer it on Tuesday. Don't forget to review the focused, useful answers already available from Part 1 right here! See you Tuesday, noon eastern! P.S. Before your turn your attention to social media, make sure your communications basics are strong. A high-impact organizational tagline is a vital marketing strategy. Download the free Nonprofit Tagline Report for must-dos, don't dos, case studies and 1,000+ nonprofit tagline examples!
We have a family membership at an upstate New York sculpture center featuring outside exhibitions. It's a unique and beautiful place; one we can't visit that often (it's an hour away) but a venue we want to support. We joined for the first time this year. The center has an incredible reputation -- because it's so unique and beautiful -- which has carried it far. So as a member, I expected to have the pleasure of a compelling series of communications, online and off. Didn't happen. Here's what did:
- We received a thank you note for our membership (thumbs up) but it didn't mention any upcoming exhibits or events (where was the call to action, the opportunity to get involved at the next level?).
- I went to the Web site but saw only an incomplete calendar of events for the next week (there are lots of concerts, tours, child projects there). The center is more than an hour away from the NY metro area, so most visitors have to plan ahead. It's not a drop-in experience. That's hard to do without advance notice.
- So I emailed requesting to be put on the e-news list (didn't see where to subscribe online). But there's no e-news! Instead, I was told that they do have a twice-yearly print newsletter, the next issue coming in a few months but they'd be pleased to send me the last one.
- Yet, the center has an active Facebook fan page (for those members and interested others who are even on Facebook), with 1,045 fans to date. I wonder how many members that includes; Storm King never told us about its Facebook page in any member communications.
- Then we just received a full-color 16-page annual report, printed on heavy paper, featuring 10 pages of donors names. Expensive to produce and mail, but it has no value to me.
Even though we can assume every org has a range of target audiences, members have to be a priority for every arts and culture organization. For this one, we don't seem to be. Here's what I recommend to the center:
- List out the three or fewer target audiences you need to engage more effectively in order to meet the center's current goals. Members should be on the list. Then learn their habits and preferences (e.g. e-news vs. Facebook fan page).
- Figure out how to engage current members so they become even more loyal. Make it easy for them (i.e. with advance notice of events) to become more involved. Make them/us want to be marketing messengers for the center.
- Ensure your Web site and e-news (and despite the challenges of getting attention via email, you gotta have one) are tight, focused, timely and working for your organization...before you even stick a toe into social media waters.
Please share your suggestions for the center. What would you do if you were them? Tell us by clicking Comments below. NOTE: Here are some brief guides to strengthening your Web site and e-news. For more, subscribe here to the Getting Attention e-update! Flickr photo: al binami
I've continued to ponder the value of tweeting -- even as I do it -- but see clearly its unique value in getting news out of Iran (and organized protest going on the scene) when the more traditional lines (Internet, phone have been shut down). Here's a partial list of folks tweeting out of Iran right now (thanks to Alison Fine). Iranians appalled at what seems to be a blatantly fraudulent election are angry, and putting Twitter to work when there are few channels available. As dissent grew on the streets, media and Twitter reports said mobile phone communication in Iran was jammed and internet access was blocked or slow. It is also reported that electricity has been cut. But determined to get their message out, online protesters within Iran are constantly uploading information about open proxies which avoid the government filters to their twitter feeds. As Information Week's Michael Hickins reminds us, it's Iranians -- not the Twitter tool -- who have generated the just-announced vote investigation. Iranian citizens are participating, and Twitter is simply their means of doing so, as Andrew Sullivan comments: The key force behind this is the next generation, the Millennials, who elected Obama in America and may oust Ahmadinejad in Iran. They want freedom; they are sick of lies; they enjoy life and know hope.What better tool for doing those wishing to control their own lives, and experiences, than short and sweet Twitter? As Hickins says: Twitter is what people make of it; this is perhaps the single greatest distinguishing feature of Web 2.0 as a whole, and the biggest single gift we bequeath to the Millenials -- as users, we control our own experience. We follow or block whom we want, and we join or leave groups at will. Twitter doesn't make us better people (nor does it make us worse).The messenger, not the network or tool, is the message! Take that, Marshall McLuhan. Flickr: John McNab
Some call them vanity URLs, other Facebook user names but you can grab your organization's moniker starting starting at 12:01 a.m. eastern on Saturday, June 13. At that point, you'll be able to choose a username on a first-come, first-serve basis for your personal profile (many folks have a personal profile that's work oriented or doubles as personal and professional) AND the Facebook Pages that you administer (only those established by May 31, 2009 and with 1,000 fans or more). Do it here. If your organization's name or program names are trademarked, go here to prevent the registration of those as usernames by others. But most critically, think carefully about the username you choose. Once it's been selected, you won't be able to change or transfer it! Here's more on usernames for Facebook pages. This is a great branding opportunity, and one that's particularly important as more giving moves online. It'll allow your organization to feature a Facebook page URL that's easy to remember -- something like www.Facebook.com/CommunityFoodBank -- and should be incorporated in all marketing communications, including your email sig lines when appropriate. If your page doesn't meet the mark at this point, keep checking back with Facebook. It's likely they'll relax the criteria for being able to designate a username after a month or so! Flickr photo: KevinH
NTEN is redesigning its Web site, and it's calling far and wide for its network (members and non-members alike) to participate in the process. Here's one of the invites. Audience research is the only way to ensure that any communications initiative has maximum impact. And Web site design is so complex (look at how many folks it keeps in business) that soliciting input on your site design is even more important than it is for most other communications channels. I admire NTEN's openness in its call for input (they're reaching out via their blog, to members via email and in other ways). It speaks volumes about the organization's desire to serve the nonprofit sector, and will definitely generate a new Web site that's far more effective. Give your two cents today! You can do it here, in only 10-15 minutes. When you do, you'll get a bonus -- some great ideas on putting your network to work to strengthen your org's communications. P.S. Read this guide to shaping your org's Web site to generate the actions you need.
Words of wisdom on media relations from guest author, Todd Calongne, Public Affairs Officer, Secretary’s Office of the Coordinator for Reconstruction and Stabilization, U.S. Department of State: Relax. Being yourself is the straightest path to gaining a new friend in the media.
Feel free to engage in conversation while sussing out how much the journalist knows about the subject or the field of interest, and her slant. It's media relations as media education.
Learn much more from Todd, who's a real success at developing those crucial relationships with key media, here.
I know of very few people in the nonprofit sector who are here "just for a job." The few that are don't rise high in the ranks, and don't usually stick it out for very long. Those of us who've made a career of the nonprofit sector do it as part of our personal mission. Mission is what drives us to work long hours for below average wages and next to no benefits. Mission is what makes all of that bearable, and even inspiring. We may occasionally be tempted to look for greener pastures, but we always end up back on our missions. Jobs for Change, a part of change.org, is looking to inspire and recruit the next generation of nonprofit leaders - those looking for a mission-driven career. Here's a part of their Vision Statement: "We believe... - "People are the most important factor in advancing social change. To address the social and environmental problems we face, we need to attract a diverse range of people and the most promising leaders from across the country to work on issues both local and global in scope.
- "To attract these people, we need to enhance the social sector's ability to recruit, develop, and retain talent. Too many people interested in a career in service do not end up or remain in the sector because of a range of obstacles that include misperceptions about work and compensation, insufficient information about how to take the first steps, or limited recruiting resources from budget-strapped organizations. We need to address these issues."
I've signed on to that vision statement and am pleased to put my name on the list of those who've been mission-driven in our careers, and who hope to inspire the next generation of nonprofit leaders.
By now, I'm sure you've all heard of the micro-bloggging platform, Twitter. In a nutshell, micro-blogs - or "tweets" - are posts of 140 characters or less, typically answering the question, "What are you doing now?" Twitter is also the hottest thing going right now in terms of web 2.0 / social media. But is it right for your organization?
First, some of the criticisms of Twitter: "It's shallow." "It's vapidity to the point of depravity." "Who cares what you're doing right now?" And, when users take the "What are you doing now?" question too literally, those criticisms can be very valid. Posts of "Waiting for the bus," or "Just finished lunch, need to burp," are hardly useful or inspirational to anybody but the person who posted them.
On the other side, a few months back when a US Airways plane made an emergency landing in the Hudson River, Twitter got out the news quicker than any official media and carried the first photo of the evacuation of the plane. The presidential campaign of Barrack Obama demonstrated to community organizers worldwide how Twitter could be used to promote events, get out a message, and raise money for causes. But, again, is it right for your organization?
I personally love Twitter, and previously on this blog I've encouraged all nonprofits to use blogs and other social media as a communications tool. But on Twitter, I have to say that it may not be the best choice for smaller organizations who don't have staff dedicated to either outreach or public relations.
This is because the best use of Twitter requires listening, as well as frequent posting. One of the simplest, but most powerful, tools within Twitter is the reply post. Beginning a tweet with @(username) makes it a reply to that user.
If you're not prepared to quickly read and follow-up on replies to @yournonprofit, your use of Twitter could backfire. Rather than be seen as involved in the community and wanting two-way communication, you risk appearing out-of-touch or as putting yourself above your supporters.
For those organizations who have staff whose primary role is public communications, and who are tech-savvy, Twitter can be a great way to connect with potential supporters, organize activities, and (yes) raise needed funds.
But if Twitter is going to be an after-thought to an over-worked staffer who's focus is elsewhere, it's probably best to stick to traditional blogging for now. But, what you can do is encourage your supporters who are on Twitter to give you plugs (with links) on their Twitter feeds.
This is the question that has haunted many a nonprofit Executive Director and Development Director. How to encourage Board giving without either asking too little or scaring off new members.
A posting today on the Chronicle of Philanthropy's website asks if "the expectation of giving is something that is simply understood?" and gives a quick roundup of how some organizations answer the question.
The Asian American Justice Center in Washington, asks board members to "either donate or raise $2,500 for the organization - an expectation that is spelled out in their job descriptions."
Gail Perry, a consultant and author in Raleigh-Durham, N.C., says that "Board members will contribute and raise money for organizations that they believe in strongly," and that "They will give the minimum when they 'have' to." Ms. Perry believes that un-engaged Board members will find giving requirements "offensive." "Our job, of course," Ms. Perry goes on to say, "is to get them so fired-up that they are sitting on the edge of their seats ready to ... give."
My experience is that "give or get" policies are popular, but I always encourage my clients to tell their Board that they need to "give and get."
To me, the "getting" is part of their fiduciary responsibility as a Board member to make sure the organization is financially stable and sustainable. The "get" can be done in many ways, from directly asking friends and family, to arranging matching gifts through their employer, to helping plan an event, to writing grant proposals, etc.
The "give," on the other hand, is a recognition of their personal commitment beyond the work. The point I make to Boards is that if they have not personally invested in the organization, why should anybody else? And, I go on, people will know. Perhaps not the average donor, but Major Donors will ask about Board giving, and so will Foundation officers when they come on site visits.
As to how much they should give, I don't believe in stated dollar minimums. Rather, I prefer the phrase, "Board members must give at a personally meaningful level." That means that if a member normally makes $500 gifts to other nonprofits, they should give $750 or $1,000 to the nonprofit they're on the Board of. If they normally give $25 to others, they should give $50 here.
I work with mostly smaller, local organizations, who are particularly timid about the Board member ask because their Boards are more likely to include former clients and neighborhood activists than high-powered international executives and bank owners. An ask that takes ability to give into account, while still recognizing and honoring their commitment to your organization, allows the client representative to give $2 while sitting next to the Doctor who gave $5,000, each knowing they were respected and that they did all they could.
It is up to the Executive Director and Development Director (if you have one) to personally craft the ask, just as you would any Major Gifts ask, based on what you know of your Board member's giving history, occupation, net worth, etc. Explain the "personally meaningful" policy clearly, and ask with confidence.
If your Board member is still reluctant to give, it may be time to question their commitment and start recruiting to fill that seat.
I am pleased to announce that as of today, the Nonprofit Consultant Blog is part of the Nonprofit Marketing and Fundraising Zone. The Zone is a topic hub started by Katya Andresen, Nancy Schwartz, and Kivi Leroux Miller for collecting and organizing information around these topics.
I'm honored that my posts will be in the company of posts from some of my favorite nonprofit blogs, including Donor Power Blog, Getting Attention, Kivi's Nonprofit Communications Blog, Studio 501c3, and several more.
You will find a link to the Nonprofit Marketing and Fundraising Zone in the sidebar to the right, along with a search form to find articles on that site compiled from this blog and each of the other participating blogs.
With the drying up of donations from individuals, grants from foundations, and contracts from local governments, many smaller, locally-based nonprofits are looking to Washington for funding, hoping to get in on some of the economic stimulus packages as a means of surviving this recession.
While the temptation for "big money" or "easy money" is a terrific lure, and we do need to investigate all potential funding sources for our organizations, I do want to express my concern that you approach with caution.
Consider not only your short-term money needs, but the long-term effect of the funding, and your capacity to take on the project.
Most of these stimulus programs are not designed for grass-roots organizations; they pretty much require large structures, with already large budgets, and the capacity to take on new projects without much additional overhead.
Seriously, if you have an annual budget of only $500,000 you should not be looking at a grant for $300,000/year for only two years, and with only 5% allowed for administration.
First off, you're likely not going to be approved for such a thing, and the time spent pursuing this would be better spent on more realistic prospects. But secondly, if you did get the grant, are you really prepared for such a massive expansion of your program? Can you realistically manage it with what they allow for overhead? And what will you do when the money goes away? That will be quite a shock to your organization on all ends.
Now, that doesn't mean you can't benefit from the stimulus money that's been announced. By partnering with larger organizations as a sub-contractor, you can help them perform the work (keeping your staff employed) without being directly obligated to the Federal government and all the bureaucracy that that entails.
So, do keep your eyes and ears open for these opportunities, but do so with caution, with careful analysis of your own capacity and how the goals of the funds fit with your programs, and with a willingness to be a partner with others in your community.
(Of course, a stimulus bill aimed at "bailing out" small, local nonprofits would be quite welcome as well...)
According to the Independent Sector, the estimated dollar value of volunteer time for 2008 is $20.25 per hour. According the report, this value"...is based on the average hourly earnings of all production and nonsupervisory workers on private nonfarm payrolls (as determined by the Bureau of Labor Statistics). Independent Sector takes this figure and increases it by 12 percent to estimate for fringe benefits."Of course, for specialized work (lawyers, architects, etc.) the BLS assigns higher average rates, but only use them when the specialist is volunteering in their professional capacity (IE: Don't value a Doctor's work at the higher rate if she's helping with the filing).
Why are these values important? Because volunteer time is part of how we in the nonprofit sector leverage donor dollars. It's part of the story of how we can get $10 worth of services out of a $5 gift. Donors, large and small, private and institutional, want to hear that their investment in your organization is helping to bring in additional resources.
Track the hours and assignments of your volunteers, and include that value in budgets as an in-kind donation. Tout that figure in newsletters and annual reports. But, according to FASB (the Financial Accounting Standards Board), only include the figure in official reporting if "the organization would have purchased the services if they had not been donated."
So, what do you think of the $20.25/hour figure? Too high? Too low?
Thinking of the small, local nonprofit where I'm currently the Interim Executive Director, and other like-sized organizations, I wondered if we were now valuing the volunteers more than the staff.
Our average wage for non-supervisory staff would be about $15/hour, adding 12% as Independent Sector did for "benefits" (really, just payroll taxes, SSI, etc. - most of these staff are part-time and not receiving health insurance, etc.), that bring our figure up to $16.80/hour.
Do we now need to launch into a conversation about how we value our staffs?
All of us in the nonprofit sector are aware (or, should be aware) that the Foundations who support us have a minimum 5% payout requirement to maintain their nonprofit status. That is, they have promised the IRS that their grants and related expenditures will equal at least 5% of the total value of their assets each tax year.
There are those of us (and if you read this blog regularly, you know I'm one) who consistently call on the foundations to grant out more than the minimum, particularly in years, such as this one, when social need for nonprofit services is high and individual donations are low.
A little less known than the 5% payout, is the excise tax that foundations pay on their investment earnings. Currently, it is generally a 2% tax. However, it is lowered to 1% in any year that a foundation grants out more than their five-year average. This was meant to be an incentive for higher payouts in times of need.
Of course, it is a one-year incentive, since that higher payout raises the five-year average, the tax rate goes back to 2% unless grant amounts continue to rise each year. The return to 2%, according to some in the foundation world, actually then becomes a disincentive to increasing grants in the first place.
According to C. David Campbell, president of the McGregor Fund, a Detroit-based foundation:"This year, most of the foundations in Detroit will be paying out much more than they have in the past because of the needs... But that will leave all of us in the position of paying more taxes going forward, which ironically will further diminish what we have to support nonprofits."Enter Senator Charles E. Schumer, New York Democrat, and his buddies, Senators Debbie Stabenow and Carl Levin, Democrats of Michigan. Senator Schumer has proposed eliminating the current two-tiered system with a single excise tax rate of 1.32% in all years.
According to Robert S. Collier, chief executive of the Council of Michigan Foundations"We are confident this will stimulate more giving by foundations... simply by making the administration of tens of thousands of smaller and midsize foundations much easier because they won’t have to spend a lot of time with their accountants trying to figure out if they have to pay 1 percent or 2 percent."I'm all for anything that will encourage foundations to do what they're supposed to - support nonprofit organizations - but, really, was figuring out a two-tiered tax system really that much trouble for the foundation world?
And, more to the point, are foundations really saying that the only reason they can't step up and grant out more in this fiscal emergency is because they'll only save on one year's taxes? I know that many foundations are stepping up, and that this does not represent the attitude of the entire sector.
Now, I'm not saying that I'm against Schumer's bill. It's probably a great idea. I'm just saying that certain foundations need to increase their giving in an emergency, excise tax or not.
Did I say "good news"? In this economy? Yes, I certainly did. This last January Cygnus Applied Research polled 17,365 people with a history of charitable donations to ask them about their philanthropic plans for 2009. The results (as reported in The Chronicle of Philanthropy) may surprise you: - 52% of donors said their gifts would be on par with 2008
- Only 17.5% planned to give less than last year
- Of those who were committed to a multi-year gift, 87% said they would pay on time
- 42.5% said they would give to a charity they had not supported in the past if someone they knew was seeking the gift
- 40.3% said they would give for the first time if the charity was working directly to help people hurt by the recession
- Only 16% said they would not consider supporting a new organization
Survey respondents were not being unrealistic about the economy when answering these questions: 39% said they thought it would be at least three years before the economy recovered. 23.4% felt the economy would rebound in less than two years. A final bit of caution before thinking this news is an open invitation to all sorts of fundraising plans: Forty-one percent said they had stopped donating to at least one nonprofit group in the past five years because they felt overwhelmed by appeal letters, while more than a third said they were concerned organizations spent too much on fund raising.As a result, online donations are expected to become more popular, while telemarketing, door-to-door canvassing, and direct-mail appeals may be less successful.
Has your nonprofit been overrun and overwhelmed recently with a flood of new volunteers? The New York Times reports on the influx of the unemployed into volunteer service and its effects, both positive and negative.
The two forces feeding this growing volunteerism are, of course, the recession leaving many people with more free time than they'd care to have, coupled with inspiration from President Obama's call to service.
Here in the Bay Area, the Taproot Foundation - who help with organizational effectiveness by placing skilled professionals in volunteer positions - had more people sign up on one day earlier this year than in an entire month a year ago.
For those larger organizations, who are able to properly train, manage, and use these new volunteers, this is a wonderful resource. But what hit home for me was this paragraph:... others grumbled that the current love affair with volunteerism ... can be a mixed blessing. Smaller organizations, with staffs of fewer than 20 and no full-time volunteer coordinator, have struggled to absorb the influx, especially since many of them have simultaneously had to cut back on projects in the face of dwindling donations and government grants.
“Can you make them stop calling?” groused one nonprofit executive, who spoke on the condition of anonymity... I'm currently serving as Interim Executive Director at an agency with nine staff members. The Volunteer Coordinator left that position in December and because of budget restrictions has not been replaced. We now have a backlog of volunteers to follow up with, and limited resources to put them into positions where they can be of service.
Taproot has had to scale back on their recruitment of professionals:“It’s like a Greek tragedy,” according to Lindsay Firestone, who manages pro bono projects for Taproot. “We’re thrilled to have all of these volunteers. But now organizations are stuck not being able to take advantage of it because they don’t have adequate funding.”But, as much as we may complain now, we know it won't continue forever. The media focus on volunteerism will wane as another issue comes into vogue, and the economy will pick up sooner or later (sooner, please!) sending these volunteers off to their paid positions.
How we handle these eager volunteers now will greatly influence how we can use them and interact with them later.
Bertina Ceccarelli, a senior vice president at the United Way in New York, sums it up this way:“My hope is when they decide it’s time to do something else, they have fond memories of what they learned at United Way... Maybe they’ll even become a donor..."Of course, we all know, nobody just "becomes" a donor. Donors must be cultivated. Sending a potential volunteer away today may mean you're turning down a future donation. Something to think about.
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