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Who is a nonprofit major gift prospect?

Sandy — Wed, 30 Jun 2010 19:34:08 +0000

Thanks to my guest Hank Lewis for today’s post. I think you’ll like it.

Who Is A Major Gift Prospect ??
By Hank Lewis, MA CFRM

When the question of major gift fundraising first arises, many unsophisticated board members, volunteers and staff immediately begin talking about the “rich and famous” — with Bill Gates being the name at the top of almost everyone’s list.

The wrong assumption that many people make — and one that can become a major time waster — is that an organization’s prospect list should contain the names of every conceivable wealthy person.

Indeed, yes, the first steps of a major gifts effort should include the generation of a list of wealthy individuals. But the distinction is whether they are likely to become “prospects.”

Major Gift Prospects are people who:

Have wealth, and may derive satisfaction from using that wealth to advance the causes in which they believe;
Are accessible to you and/or (even better) to current major donors to your organization;
Have a need that will be satisfied by making a significant gift to your organization;

Ideally, but not necessarily, Major Gift Prospects are also:

Aware of the effectiveness of your programs and the business-like manner in which you operate;
Passionate about wanting to see your mission achieved; and,
Involved with your organization and/or its programs, and demonstrate a commitment to the success of your mission.

You can have a long list of wealthy people, but unless they meet the criteria, they’re not “Prospects.” They’re people you’d like to think of as likely donors, but you have no evidence to support that wishful thinking.

Bottom line is, for people to be Major Donor Prospects; you must have enough of a relationship with them to satisfy the above qualifiers, and to know them well enough to recognize/identify their needs.

Major gift fundraising is more about the needs of the donor, than about the needs of the organization.

Have a question about starting or expanding your fundraising program?
Email Hank at AskHank@Major-Capital-Giving.com. With over 30 years of counseling in major gifts, capital campaigns, bequest programs and the planning studies to precede these three, I’ll do my best to answer your question.

Are you planning to get major gifts?

Sandy — Tue, 09 Feb 2010 02:02:49 +0000

Are you planning to get major gifts? Or are you waiting for a major donor to just pop up with a large gift?

If you really want to get the most ‘bang for the buck’, plan to spend some time cultivating your top 10 donors this year. It can be intimidating to get major gifts when you’re just starting out in fundraising. But here’s the scoop: it’s all about building relationships. Think about your best friend and how your relationship started. You probably weren’t best friends from the first moment you met. It took time for it to develop. It’s a lot like that with donors.

Here are four simple steps to major gift success.

1. Look for LIA (Linkage, Interest, Ability). A donor must have all three or you just won’t be able to get a major gift from them. Linkage to your organization can come in lots of forms from past volunteer experience to knowing someone on your Board to simply caring about your cause. Your donor must be interested in the work you’re doing, and they must have some ability to give (think disposable income). The combination of these three things is what brings about a gift.

2. Do your homework. Find out all you can about your prospective donor. Learn about their family, their hobbies and what other charities they support. And, find out why they support YOU!

3. Match the donor’s interests with a program/need you have. A “hand-in-glove” fit will help ensure you get the gift and that the donor has a satisfying experience making the gift. If the donor is interested in your after school program, then don’t ask them to support your food pantry.

4. Make the ask. Ask for a specific amount – not a range. If the donor whips out the checkbook, you asked too low and left money on the table. The ideal answer is “I’ll need to check with my _____(spouse, accountant, financial planner, etc.)”.

The best thing you can do is practice. The more you work on cultivating major donors, the better you’ll get and the more major gifts you’ll get.

3 key mindshifts to overcoming your fear of asking for a gift

Sandy — Tue, 15 Sep 2009 01:55:18 +0000

Happy Fundraising Season! Between now and the end of the year is a great time to make some individual asks.

If the thought of asking someone face-to-face for a donation scares you, terrifies, or paralyzes you, you’re not alone. Lots of people would rather do most anything else than ask someone for a donation!

But it doesn’t have to be that way. If you understand where your fear is coming from, you are well on your way to overcoming it. And it CAN be conquered!!

Fear is about uncertainty. When we don’t know what might happen in a particular situation, we tend to get scared and hold back. When you ask someone for money, you don’t know what will happen and your mind starts to fill in the blanks for you. “This person will think I’m a pest” or “They won’t like me anymore” might be the stinkin’ thinkin’ going on inside your head. Acknowledging this is the first step in getting it out of your way.

Diffuse the power of the fear by thinking through the consequences. What’s the worst thing that can happen if you ask for a gift? Will the donor laugh at you? Will they kick you out of their office? Probably not. More than likely, the worst thing that will happen is that they will say “No” to your request. If that happens, can you survive it? (I’m thinking you will.)

Fire up your passion. Remember why you said “Yes” to the organization in the first place. Something compelled you to agree to fundraise for this particular cause at this particular time. Know this: when you step through your fear and share the burning beliefs of your heart, you will be furthering your organization’s mission. For example, when I worked at the local Food Bank, I knew that when I did my job, people ate. It was that simple to me. And that helped me be strong to do the things I was timid about doing. Deep in my heart, hunger was and still is an important issue. When I plugged into that, it helped me overcome my fears around fundraising.

Need more help? Check out my training kit “3 Keys to Successful Fundraising in Good Times and Bad”. It’s a 60-minute audio CD and workbook designed to help shift your mindset and set yourself up for success. $49 www.getfullyfunded.com/products.