Fundraising 101

Fundraising 101

The Democratic Approach

Trainers: Andrea M. Pagano

WHO DO YOU ASK?

Answer: EVERYONE YOU CAN

Why Do People Give?

Candidate or solicitor stands for ideals the donor believes in.

Personal relationships.

Party affiliation/loyalty.

Desire to defeat the opponent.

Social connection/desire to join with cause or organization.

Because They Were ASKED!

Contributions Come in All Sizes

Donations come from people off all income levels.

19% of families on welfare contribute $72 each year.

Don’t assume a wealthy person is always your best prospect. Build relationships with supporters at all income levels.

Your Best Donors

Your family

Your friends

Your friend’s friends

Your classmates

Your work colleagues

People who traditionally give to candidates and youth organizations

You start with a list!

Names from your address book

Names from email lists/list serves

Names from lists of like-minded organizations or campaigns

Democratic voters in your neighborhood

Cold calls lists from the campaign

It is All About Relationships

You want more than that first check, you want investment over time in your campaign or organization

You want to be able to go back to your donors in the future

HOW DO YOU ASK?

Answer:

You start with a plan knowing your financial goal

You develop a case/candidate statement

You develop simple and easy-to-follow materials

You rely on your instincts

You use your head as well as your heart

Fundraising Strategies & Options

Personal contact

Tele-fundraising/Phone banks

Candidate call time

Major gifts

Events

On-line Fundraising

Friend-raising

Direct mail

Old School Fundraising Programs

Childhood memories of raising money – they still work:

Coin Drops – collecting change from students on campus, people on the street, peers in a bar

Bake Sales – put up a table, make a sign, sell goodies

Auctions – selling services of some type for a fee (e.g. – date auctions)

Car washes – washing cars & hanging up fun signs to attract attention (good for messaging)

Garage Sale – collect good from big donors, maybe sell on ebay

Personal Solicitation: Phone

Most effective and cost efficient way to raise money

Must be organized

Keep detailed notes

Be disciplined

Personal Solicitation: Face-to-face

Be prepared (materials, etc)

Appoint key people to attend meeting (be selective)

Ask for a contribution

Collect at meeting if possible

Use for high donors and raisers

Events: Benefits

Certain donors like to be seen and see other leaders

Builds momentum

Gives donors and surrogates a date specific for contributions

Good visibility and/or press options

Good central location to unveil plans and/or introduce new staff

Events: Drawbacks

Can be expensive

Requires a lot of planning and logistical timing

Takes staff/volunteers to execute with less spending

Requires a lot of follow up

Could be hard to track and gather donor information

Events: Success

ALWAYS have a ticket price

Recruit a motivated and connected host committee

Follow up phone calls to invitees

Market you event for the appropriate audience

Registration

Follow up calls or letter to attendees

Direct Mail & Phone Banks

Builds a donor base of consistent, small donors

Can be expensive

Re-solicitation is essential

Example: D4YD

Direct Mail: Guidelines and Tips

Create a sense of urgency

Short paragraphs that highlight and bold

Always include a p.s.

State a clear and compelling message

Write from one person to one person

Personalize whenever possible (phone or mail)

Ask for a specific dollar amount

Remember, it’s public!

Your “Pitch”

Do not assume people will think to send money Ask

Make your ask specific and tied to a particular need or goal

Lay out your fundraising goal and how they can help you reach it.

Explain what other support sources you have already

Making the Ask

Do your RESEARCH: Know your donor

Build RELATIONSHIP: Ask for opinions

Make your pitch and REQUEST a gift in a specific amount

After you ask, stop talking and listen.

LISTEN and RESPOND to any concerns or questions and close the deal

REVIEW and document your contact and always follow up

I can’t believe she said No!

Stuff Happens Some people will not donate

dollars – get over it. Be prepared to ask for help in other ways: volunteer, give names of other potential supporters, host a house party, etc.

Recognize that “the ask” is about more than money. It is about relationships. It may lead to a future yes, simply just to a vote for your candidate, volunteer time, or a chance to open their house for a reception.

But, I’m nervous

There is no room for nervous in fundraising!

Overcoming Nervousness by just Making the Ask

Being nervous is natural – but get over it!

When asking for money think of why you are giving your time and money –articulate your passion!

This is an opportunity not an obligation – you are offering someone a chance to support their beliefs and ideals

People aren’t offended and are often flattered

WHAT DO I ASK FOR

How much is too much?

Answer: The only limit is the law!

Ask for a Specific Amount

“Can you contribute $250 to our Alliance peer-to-peer efforts?”

“Would you be able to make a contribution $1,000 today?”

“Would you like to become one of our Legacy Donors?”

“Can you donate $5,000 to fund our reception on x date in x city?”

Know your Limits

For federal candidates - $2,100 per election (primary/general) to total of $4,200 per election cycle to one candidate.

Federal contributions must be individual contributions and not corporate funds

Federal PACs can give to Federal candidates and local candidates

For state candidates – rules vary –check with the state web site

Exactly what dollar amount makes

sense?

Research your Prospects

Check federal contributions by reviewing FEC Records

www.fec.gov

www.tray.com

www.opensecrets.org

It is illegal to prospect these lists but they can be helpful in determining an ask based on previous giving history if you already have contact info or a relationship with the donor

Other Sources for Info

Web searches

There is nothing like google

Annual reports of organizations to see who major donors are

A trusted source who know the donors

Common sense!

Dealing with the “Investors”

Think of donors as INVESTORS

Current and past investors are the best source of major gifts

Meet people face to face if you can

Don’t only call when you want something

Keep in touch!

Before you ask for that next check make sure that they know how you spent the first one

Always Say “Thank You!”

A personal thank you from you is as critical for $5.00 as it is for $5,000.00

Make sure that the investor feels appreciated

Candidate/President/CEO/Executive Director personally respond to major gifts

A thank you comes before you get the check and again after it is received

Send a picture of your Chapter/Campaign doing an activity

Send national publications (e.g. – YDA gift book)

A Fundraising Plan

What is in the plan?

How much do you need?

Where will you get your money?

Who is going to help?

What are your resources?

What is it going to cost to raise what you need?

Every Campaign or Chapter Needs a Plan

Know the chapter’s ultimate fundraising goal

Find out how you fit into that plan

Learn much money has been raised to date –to show that you are in this for keeps

Know the others on the Finance Committee

I still don’t know what I am “selling”

to my investors

The Plan/Chapter Statement

A case or chapter/campaign statement explains where the money is going and why.

Everyone involved in fundraising must be able to articulate the message of the chapter.

Investors should know how their money will be spent.

Chapter/Org Statement

Proving your chapter is growing and leading

Viability can be demonstrated in a variety of ways:

Amount of money raised, press clips, voting statistics of young people, youth table, volunteers, etc.

All Chapters Need a Finance Committee

Members of the finance committee either write or raise substantial contributions

Finance committee members should have a long record of community involvement, are strongly committed to the chapter or have a ideological or political reason to be involved

What is a Finance Committee

Group of people who raise through personal contact and events

Provide new lists of potential donors to the campaign

Host events

Are included in the inner-workings of the organization so that they can be good advocates

The Bottom Line is What Matters

You are in this because you believe in your chapter

There are going to be ups and downs

Have high goals and low expectations

Have your own plan

Know that you are the number one investor and that your time and energy are as valuable as the dollars you raise

You Can Do It!

We Can Help!

Fundraising tools from YDA National:

YDA free processing system and credit card collection through DEMopolis – sign up today!

D4YD

Contact Andrea Pagano at apagano@yda.org for event planning, general assistance, grant & thank you letter reviewing, brain-storming ideas that work best in your state!

THANKS!