Connecting Philanthropy and Mission that makes a difference!
Emily Capelle, M.A., CFRE
EJC Consulting, LLC
Working with Finance to handle last minute gifts 12.28.21
For many organizations the last week of December sees a volume of last minute gifts – both online and in the mail. It’s important for Development and Finance colleagues to work closely together to create what I call a “receivable schedule”.
Here are some guidelines and suggestions to keep in mind as you accept and process these gifts:
· Online gifts can only be counted for the current year if completed before January 1st (2021 time and date stamped).
· Mail in gifts can still be received several weeks into the new year – if the check is dated the previous year (2021) or envelope is postmarked for the previous year.
The important determinant here is the intent of the donor – if the gift was dated for the previous year then it’s considered the intent of the donor to make a gift for the previous year. * Note: as time progresses into January each gift should be evaluated as to whether it will be accepted, see below.
Schedules can look something like this:
· First week of January: any checks dated 2021 can be accepted through XXX
· Second week of January: gifts of $XXX accepted through XXX (graduated amounts accepted through a certain date)
· Third week of January: gifts of $XXX accepted through XXX (graduated amounts accepted through a certain date)
For more information check out this excellent article https://www.adlercolvin.com/determining-the-date-of-a-charitable-gift/. Schedule a time with me here https://fundraisinginfocus.com/book-online to discuss more guidelines such as drafting gift acceptance policies and being alert to incoming gifts at this time of year!
For ideas on handling inflation through fundraising, email me at ejcconsulting975@gmail.com to request a download of my infographic:
8 Tips for Fundraisers to Address Inflation
How can fundraising help with inflation? 11.29.21
If you follow me you know I am all about growing fundraising through relationship building and not as a solution to fill budget gaps. Traditionally, fundraising is seen as serving a transactional purpose and meant to fill up nonprofit budgets. I think we can do better than that and make more of an impact through giving. But obviously raising funds serves a very practical purpose and during a time of inflation it’s critical that your fundraising efforts step up to help.
The impact of inflation for nonprofit programs and services? It can take the form of increased transportation costs and gas, increased cost of food and delivery, as well as staff and supplies to run programs. And if an organization is paying more for program expenses, it has less in operating funds for essentials such as utilities and IT services.
The result? Fewer people served at a time when demand is up, less cash on hand going into the new year, programs/services at risk of elimination, not being able to launch new programs that can make an even greater impact in your community. All of this means the organization may have to dip into it’s cash reserves – and after the past 20 months, if it has any at all!
What can you do as a fundraiser?
Ex. If you don’t ask donors to cover transaction costs when making an online gift – make that adjustment now. And let them know that if they cover those costs how it will help – not just some generic messaging about “helping the mission”.
Be realistic about your cash reserves and build that into your discussions with major and legacy gift donors. Talking about building a financial runway may not be as exciting as programming, but if you only have a runway of 3 months for your organization that is not a situation you want to stay in. And donors don’t want to make an investment in an organization that is on the verge of closing.
With gift asks, this is not the time to be shy about asking for what you need and the impact inflation is having on your ability to deliver programs and services. Communicate clearly about what you are able to deliver with the proposed funding and what you will not be able to do.
Have you lost donors and supporters? 11.13.21
The past 19 months have stretched and tested all of us in different ways and to different degrees, including our fundraising relationships. Especially with staff adjustments and downsizing many organizations have had to navigate, communication with donors and supporters can suffer.
So let me ask you: have you experienced gaps in your donor relationships and need to re-engage?
I was hired some years ago as a Development Director and there had been a gap since the last person in the role. Donors had moved on, critical support had been missed, information was never captured, project momentum had lagged, and programs had not been able to move forward. It was assumed that since they now had a new person, all that “relationship stuff” could be reconstituted. Just add water and the dying flower would bounce back. And it was up to me to water the garden.
Lots of nutrients had to be added to the soil. Reaching out, exploring where donors were at and what had happened in their lives since they last heard about our organization. Did our mission still matter to them and what we were trying to do in the community? Did they have any interest in rebuilding the relationship?
It was a slow slog, as it takes a willing and able flower to respond to your efforts. Unfortunately, the patience from leadership was not there, nor the understanding of how long it would take to see results. Well, in a few cases here and there, we were able to pump some life into the flower and plant some seeds along the way so more flowers could grow. Ultimately, we had to spend time on recruiting new supporters and cultivating them, as well as rebuild past relationships.
So if you are in the position of watering flowers and want to see them bloom - even the ones that have not had any water for quite awhile - here are some suggestions that may help you infuse some life into those relationships:
Be purposeful and draft a one-page plan to include messaging on what has been happening this past year and a half + how donors have helped the organization continue it’s work.
Customize each message for donors and funders in your portfolio - an update touchpoint. What was discussed with them during the last conversation? Remind them of where things were, what has happened since, and where recipients are now.
Focus on finding out how they are and what has been happening with them - everyone has been impacted in some way. Don’t assume you can just pick up where you left off.
Make sure you lead with what has been happening with the people you serve - that is why your donors and funders support your mission. Share a story that illustrates what the people you serve have experienced during this time.
Besides a quick update on what has been happening at your org, highlight what you have planned for 2022. This is a great time to bridge this year and next.
Find out how they would like to hear from you and keep in touch going forward - has that changed?
Schedule the next conversation - perhaps you’ve got a spring event so it might make sense to connect before that.
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Email me at ejcconsulting975@gmail.com
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