“Fundraising in the new context” Webinar - Accelerator ... · • Just 54% had given to charity...

“Fundraising in the new context” Webinar

- Accelerator Programme 30/09/20

30th September 2020 (Accelerator Programme)

Lynn Kennedy, NICVA Fundraising Advice

“Fundraising in the Time of COVID-19”

Session Objectives

• Understanding the new operating environment

• The need to review (or develop) your funding strategy

• The good news….some positives

• Tips to manage fundraising in a crisis

• Overview of income streams & potential to diversify

• Analysing your current funding

• Inspiration

• Useful resources

We’re not all in the same boat…

...but we’re all in the same storm

NICVA Survey 09/20

• 73% of charities had stopped services/activities

• For 42.3%, up to 25% of their services were new & COVID-responsive

• 18.3% had lost 75% or more of their normal income & 26% had lost 25%- 50%.

• 50.4% lost 76%-100% of their volunteers due to COVID-19.

• 31% expected their income to fall by 51-75% in the next 6 months, while 4.3%

stated that Covid 19 may mean they have to close their doors.

• Within the next 12 months, over 60% expected to see a continued reduction in

their capacity to deliver services

https://www.nicva.org/article/voluntary-and-community-sector-in-northern-ireland-

significantly-impacted-by-covid-19

IoF NI & CO3 Survey 04/20• 76% reported ‘serious financial difficulties’

• For 38% cash flow was “unstable” or “very unstable”, with 27% having lost £100,000+ of income to date.

• 32% stated they were at risk at closing in the next 12 months.

• 39% had stopped some services, and a further 33% expected to do so imminently.

• 29% had under two months running costs in the bank.

• 74% of CEOs were worried about poor mental health of staff, 68% stating staff were highly anxious due to lack of job security and 54% highly anxious due to increased demand for services.

https://www.co3.bz/news/ni-charity-sector-faces-imminent-collapse-new-findings-show-representative-body-calls-executive

npfSynergy Survey 09/20 (General Public)

• Just 54% had given to charity in the last 3 months

• 28% gave less in the last 12 months than previous years

• Young people were most concerned about jobs and income

• Charity shop income, on street collections & event participation all down

significantly since January

• Direct Debits, website giving and membership have held up well, and

increased in some cases

• More concern from the public about the impact of Covid-19 on small

businesses and hospitality sector than charities, but more concern about

charities than airlines or banks!

The Need to Review Your Funding Strategy

• Your current strategy has been overrun by COVID-19

• Staffing & volunteer levels have changed significantly

• You need to diversify or raise more than currently projected

• Both your ways of working & how you deliver services

have changed

• You have new stories to tell & need a

new Case for Support

• You need a strategy for a shorter

time period to allow for increased agility

Lessons Learned from 2008 (and 2020)

In 2008 charities which fared best were those which invested in –

• Skills

• People

• Fundraising

In 2020 The Status of UK Fundraising 2020 Report showed that –

• Of the 40% of charities reporting an INCREASE in income, 61%

stated that hiring newly skilled staff was the main contributor

NB CAF & Forster “Bold thinking, brave action” (July 2020)

The Good News…some positives

• Some service/activity costs have decreased

• Creativity and innovation have greatly increased

• Increased local knowledge and support for your organisation

• Increased collaboration – new links with other organisations and statutory funders

• New services = potential new funding avenues

• New stories = new or stronger Case for Support

• New skills and learning – working from home, developing online resources to replace physical ones, learning to pivot and reprioritise

Tips to Manage Fundraising in a Crisis

Take time to understand

• Your cash flow and your deficit

• Your current resources – PEOPLE, ICT, FINANCE & COMMS

Review your planning processes

• Think month to month, ¼ to ¼, reallocating budget as needed

• Master “Scenario Planning” and make it an integral part of

your planning process

Tips to Manage Fundraising in a Crisis

Review how you manage fundraising

• Devolve decision making – use a pre-approval approach & avoid

an overly tight hierarchy: deploy and use skills effectively

• Keep the health and wellbeing of your fundraisers to the fore!

What Trustees need to remember…

• An income target is not the difference between what your organisation wants and what it has

• Corporate support, celebrities and events aren’t a quick fix!

Tips to Manage Fundraising in a Crisis

Take Action

• Strip out any activity that will not perform anymore

• Focus on your financial plan and internal and external comms.

• Update and use your Case for Support (and remember people

don’t care about your deficit, only the difference you make!)

• Keep lines of communication open – colleagues/Board/other

organisations/potential partners

It’s not all about the money = Skills Match

An online platform linking business

volunteers with a wide range of skill sets

with VCSE and public sector organisations

The Four Types of Income Streams

NCVO Income Spectrum – Helping you find the right income mix

GIFTS

(Donors)

GRANTS

(Funders)

OPEN MARKET

(Customers)

CONTRACTS

(Purchasers)

Fundraising Audit Tools

• SWOT Analysis

• PESTLE(E) Analysis

• Competitor Analysis

• Collaboration Analysis

• Market Analysis

• Internal Analysis

*PESTLE(E) Analysis

PoliticalPolitical Economic Social Technological

LegalEnvironmentalEthical

The Boston Matrix

Market Share

Ma

rke

t G

row

th

High Low

Hig

hLow

Stars

Cash Cows

Question Marks

Dogs

https://www.ncb.org.uk/sites/default/files/uploads/Images-NI/Boston%20Matrix%20Handout.pdf

1) Strategic approach to funding

2) Income diversity

3) Financial management

4) Communicating success

5) External positioning and marketing

6) Relationships

https://www.ncvo.org.uk/images/documents/practical_support/funding/susta

inable-funding/Sustainable%20Sun%20Tool.pdf

NCVO’s Sustainable Sun Tool

Inspiration• JustGiving Fundraising Tips• ActionAid Donate Your Commute• Captain Tom Moore (now Sir)• Action for Children’s ‘Be a

Secret Santa’• Alzheimer Research UK’s Live

Streamed Pub Quiz (Still going with new hosts)

• Boomerang US Success Stories• Sweet Farm’s Goat 2 Meeting• SOFII (The Showcase of Fundraising)

Innovation and Inspiration)

“Creativity is contagious, pass it on”(Albert Einstein)

Resources • Fundraising Regulator Coronavirus Guidance

• Fundraising Regulator IoF Fundraising Guidance during Coronavirus

• Charity Commission for NI: COVID-19 Guidance

• IoF & Think Consulting Solutions From Response to Recovery Strategy

• IoF Reframing the Ask: Trends which will shape giving and fundraising post-COVID-19

• IoF Charity Benchmarks Sector Report 2019

• CAF & Forster Communications “Bold thinking, brave action” (July 2020)

• Business in the Community’s Skills Match Programme

• Organisational and funding strategy post-Covid19:Podcast with Wayne Murray

• Cracking Charity Chat Podcast (Beth Crackles)

• Furloughed Fundraisers Chat

• NICVA COVID-19 Fundraising Hub

• GrantTracker - 860 funding schemes relevant to NI charities

• The Accelerator Programme with CFNI and NICVA

Fundraising Advice Service

Tel: 028 9087 7777

lynn.kennedy@nicva.org

@nicva_FRAdvice

Fundraising Advice NICVA

www.nicva.org

www.grant-tracker.org