Fundraising in the Era of COVID-19
Last month, I had the honor of moderating an engaging conversation between nonprofit leaders and foundation funders for a webinar hosted by the Yale Alumni Nonprofit Alliance (YANA) called, “Philanthropy, Fundraising, and Funds Allocation in the COVID Era.” We discussed how nonprofits can successfully shift their fundraising strategies in response to the global pandemic, and how the funding priorities of foundations have changed.
I wanted to share some of the highlights from our insightful conversation with you. Here’s what you need to know in order to successfully secure funding for your organization. (You can also watch the full webinar here, if you prefer).
Lauren Arnold, CEO of The Adoption Exchange (soon to be Raise the Future):
The problem:
7 years ago, fundraising was 100% dependent on events
Time- and energy-intensive for her team, plus didn’t build long-term relationships with donors (low ROI)
The solution:
Shifted to relying on events for only ⅓ of fundraising.
Instead, focused on donor engagement in order to rely on donors in the long-term.
How they did it:
Started with a new leader with the right vision for a sales and relationship-building process.
Worked with Colorado-based consultants ForImpact who help with development training. Highly recommend their bootcamps.
More resources:
YANA is developing a Yale alumni nonprofit pro bono consulting group to match expertise with needs like this one. Please reach out if you are interested in getting involved: rachel@yalenonprofitalliance.org.
Vicki Nichols Goldstein, founder and Executive Director of the Inland Ocean Coalition:
The problem:
Unable to do in-person volunteer training due to the pandemic
Low enrollment in the monthly giving program
The solution:
Took volunteer training online as a virtual ambassador program
Instead of charging people for the one-time training, encouraged volunteers to become monthly donors. Now, have 22 monthly recurring donors!
How they did it:
Created a sense of community around the volunteer ambassador program
Benny Samuels, VP of Programs for the Rose Community Foundation:
Current funding priorities:
When COVID hit, Board decided that all funding in 2020 would go towards COVID-response
Remained true to mission of focusing on equity and inclusion, but now through a different lens: Where is COVID exacerbating inequities that we can alleviate?
Advice for COVID-response and racial justice orgs:
Be as specific as possible in your applications, even when you are requesting general operating funds. What is your organization hoping to accomplish?
If the application gives you space for 5,000 words, you don’t have to use 5,000 words! Be direct: what do you want to do, and how, and to what end? “BOOM. That’s enough for us.”
Advice for all other orgs:
Don’t shift your focus area if you don’t already do COVID-response or racial justice work.
You still serve a basic need in our community. You have a case for why the community should not forget about you; there might be an after-effect if you aren’t supported. Focus on that.
Tony Lewis, CEO of the Donnell-Kay Foundation:
The problem:
Colorado has one of the highest rates of nonprofits per capita in the US. A tension exists between many of these nonprofits due to the limited amount of funding. Not all of the nonprofits are going to survive the pandemic.
Funders are strapped just like organizations are strapped, in the sense that there is not enough money to go around.
The solution:
Smaller organizations should think more about collaborating, merging, or partnering together for grants. The more collaboration that is possible, the higher the chance for gaining funding.
Try to constantly evolve. Be nimble and flexible (one of our least developed muscles!), have a higher risk tolerance, and don’t be tied down to a strategic plan.
Additional thoughts from Lauren Arnold (The Adoption Exchange):
If there is any nonprofit out there that needs space, finance help, HR help, we have the resources and are here to help other nonprofits.
In Minneapolis, there is the MCN, which started as a group of a few nonprofits sharing a space, and now there are 50 nonprofits in the $1 to $50 million range involved.
If your organization is $1 million and under, there is the Colorado Nonprofit Development Center, a great resource for the back office side including HR, payroll, and 501(c)(3) issues.
There is also https://boardsource.org/, which has over 500 organizations sharing best practices for nonprofits
Vicki Goldstein (Inland Ocean Coalition):
The problem:
Unable to host annual Masquerade Mermaid Ball in person due to COVID
The solution:
Take the event virtual
How they did it:
Watched a ridiculous number of virtual events, taking note of what worked and what didn’t.
Pre-recorded many pieces ahead of their event, like producing a television show!
Recruited a professional master of ceremonies who is comfortable asking for money, introducing people, giving testimonies, and making the case for why people should give to the organization. Get the personality that you want into the event.
More resources:
Comedy Cloud had a very successful online comedy event that raised $40k but only cost $5k. A great event idea for a small organization! Shared by Vivien Hoexter, a nonprofit strategy consultant. Feel free to reach out to her at avivastrat.com.
GiveButter is a free fundraising platform that works great for virtual events. You can customize the ticketing and donation options and embed livestream video.
Additional thoughts from Lauren Arnold (The Adoption Exchange):
Shifted almost all efforts to pre-sell. Since the commitments were in place, had better expectations for day-of fundraising.
Kept the programs really short, one hour max.
Brought something to entice people to tune into the event, like a guest speaker. They have Katherine Heigl speaking. Give people a reason to tune in.
Additional thoughts from Benny Samuels (Rose Community Foundation):
Funders feel a need and urgency and responsibility to give. No matter if we can be in the room and wear a fabulous new dress or not. Keep that in mind; lean on the responsibility and ownership that donors feel right now.
Give grace to yourself and everyone putting on the event. We have to do that for each other. Do not expect perfection.
Benny Samuels (Rose Community Foundation):
The problem:
We have been very good at supporting mainstream nonprofits, but we have not done so well at supporting the grassroots, boots-on-the-ground nonprofits.
The solution:
Grassroots orgs might not be as sophisticated and might not have a grant writer or a marketing person, but they are usually led by people who have such proximity to the issues that they are trying to solve. That is where the innovation is.
If you have someone running a reentry program who has been in prison for 18 years, let me tell you: that person has solutions that the regular corrections system can’t even think of because they are coming at it from a different angle.
Additional thoughts from Tony Lewis (Donnell-Kay Foundation):
The closer we get to the people we are trying to serve, the better the results and the more innovative the programs.
Go to the end user, ask them what they want, and they will tell you and have great ideas. They are the experts of their own lives and are great innovators if given the opportunity.
Stay tuned for upcoming YANA programs on "Necessary Relevance" of arts and culture in society. The first program is October 7th. Thank you to YANA Colorado, the wonderful panelists, and all of our attendees for sharing their valuable information and resources in this webinar.
Patty Breech is the Founder and CEO of The Purpose Collective, a digital marketing consulting agency for purpose-driven organizations. Do you have questions about how to put these tips into action for your organization? Schedule a time to sit down with our digital marketing experts for an hour, free of charge: https://www.the-purpose-collective.com/free-office-hours.
