R AISING M ONEY FROM C ORPORATIONS F UNDRAISING W EBINAR F EBRUARY 26, 2014 10:00 – 11:30 AM A...

RAISING MONEY FROM CORPORATIONS

FUNDRAISING WEBINAR

FEBRUARY 26, 201410:00 – 11:30 AM

ANGELA BARRAZA, CFRE

AGENDA

1. Corporate Giving Overview

2. Popular Ways to Give

3. Other Ways Corporations “Give”

4. How To Make it Happen

4. Recognition

5. Questions

CORPORATE GIVINGOVERVIEW

2012 CHARITABLE GIVING - $316.23 BILLION

Individuals 72%

Foundations

15% Bequests7%

Corporations

6%

Source: Giving USA Foundation™ / Giving USA 2013

Individuals 72%

Bequests7%

Corporations

6%Foundation

s15%

2012 CHARITABLE GIVING - $316.23 BILLION

Source: Giving USA Foundation™ / Giving USA 2013

= $19 Billion!

FUNDS!

FUNDS!

Volunteers

Expertise

Awareness

Advocacy

WHAT DO YOU WANT?

Social impact

Customer loyalty

More/better business

Employee satisfaction

Opportunities

WHAT DO CORPORATE DONORS WANT?

“Keep in mind that men and women don’t want to give money away.

They want to invest in great causes, in bold and exciting dreams. They want to feel they’re helping change

lives and save lives.

It’s your job to help them understand their money can make that happen.

- Jerold Panas

CHALLENGES

CASA has broad and compelling appeal

Topic not “easy” to talk about

Not the same clients

Many companies serve broader area than local program boundaries

TWO POTS OF MONEY

Philanthropic vs. Marketing Dollars

Tax-Deductible Donation – restricted or unrestricted

Advertising Funds – generally unrestricted

Combination of both

Invoices

SIZE DOES MATTER

Large Mid-Size Small

Marketing and Philanthropic (CSR)

Mix of Marketing &/or Philanthropic

Primarily Marketing

$$$ $$-$$$ $-$$

Clear, defined giving priorities

Broader priorities, if defined

Rarely focused on specific causes

Large, well-known causes (headquarters)

Regional, small nonprofits ok in business areas

Local community, small nonprofits

Corporate Giving Department &/or Foundation

Corporate Giving Person &/or Area President

Business Owner or Top Management

POPULAR WAYS TO GIVE

UNRESTRICTED DONATION

Small to mid-sized companies

Repeatable, annual support

Treat as individual donor(s) + recognition

Face-to-face ask

PROS – everything!

CONS – none

PROGRAMMATIC GRANT

Larger companies with specific corporate-giving department or corporate foundation

Formalized “ask” process

Set project, budget (restricted), reporting

Treat as any other foundation funding

PROS – typically open, public info

CONS – time commitment

EVENT SPONSORSHIP

Exchange of money for specific recognition

Typically marketing/advertising

Think name recognition – who wants it?

● Medical, Insurance, Financial, Services

PROS – good entry point, unrestricted $

CONS – high cost and time involved

IN-KIND SUPPORT

20-30% of all corporate support

Documented discount on services or products

Donated/discounted goods or services

Wish List of Items

Fair-market value

PROS – decrease org/event expenses

CONS – not revenue

MATCHING PROGRAMS

Encourages employees to donate to their favorite causes by matching their contributions

● 65% Fortune 500 offer matching gift programs

Some provide cash donations based on hours their employees volunteer

● 40% offer volunteer grants, average $8-$15/hour

PROS – “free money”

CONS – reactive, hard to keep track of programs

Source: www.DoubletheDonation.com

COMPANIES WITH MATCHING PROGRAMS

COMPANIES WITH MATCHING PROGRAMS

OTHER WAYS CORPORATIONS “GIVE”

VOLUNTEERS

“Gift of time”

CASA’s

Board members

Volunteer Projects

● Short-term

● Fundraising

● Events

● Office help

THIRD-PARTY EVENTS

Proceeds from participants, not company

CASA doesn’t run the event (time or money)

Want use of your logo and reputation

Need a formal, written agreement/approval

Careful not to appear as if you’re running it, especially if it involves raffle, events, merchandise, etc.

CAUSE-RELATED MARKETING

Proceeds from consumers, not company

Your logo on something (product placement for a cause)

Large, national brands

Careful on possible taxation of proceeds

Need formal, written agreement

WORKPLACE GIVING CAMPAIGNS

Proceeds from participants, not company (unless matched)

Vehicle for employees to give through their paychecks

Various Kinds

● Independently-run (for matching purposes)

● United Ways (designations)

● Federated Campaign (SECC / CFC)

HOW TO MAKE IT HAPPEN

SOME BASIC PRINCIPLES OF FUNDRAISING People give to people

Giving flows through involvement

Enthusiasm and honesty inspire giving

Personalization of an “ask” increases the likelihood and size of a gift

Communication with donors is CRITICAL!

THE IDEAL DONOR-CENTERED FUNDRAISING CYCLE

Stewardship =

MeaningfulCommunication

Receive Gift!

Stewardship

Stewardship

Stewardship

Solicitation

Identification &

Discovery

Cultivation

Solicitation

IDENTIFY – WHO ARE OUR PROSPECTS?

Prospects vs. Current Donors

Board, Staff, CASA’s, current donors

Events

Speaking engagements

Always keep your radar antenna up

Who is giving to your peer institutions?

NEXT STEP… Preparation

PREPARATION – DO YOUR RESEARCH

Company Website

Local Newspapers

Local Business Journal

Foundation Directory Online

GuideStar

Chronicle of Philanthropy “How America’s Biggest Companies Give”

PREPARATION – SCOPE OUT THE PROSPECTS

Alignment is KEY!

Closer to home, the better your chances

Do we fit in their defined giving priorities?

If no set priorities, …

● Core values? Mission?

● Who are they giving to in the past?

● Overlapping interests or activities?

NEXT STEP… Discovery

DISCOVERY VISIT

Connect, connect, connect

Face-to-face meeting

Share about Program

Ask Questions and Listen

Match?

Schedule Follow-up

NEXT STEP… Cultivation

CULTIVATION PROCESS

Advances prospects and donors from:

Goal of process is to achieve a genuine relationship

Investment can grow over time

Awareness Interest Involveme

ntCommitmen

tInvestme

nt

CULTIVATION – HOW TO CONNECT/ENGAGE

Tour CASA office or volunteer training

Coffee at the Courthouse

Email / social media

Host a coffee/lunch/meeting

Invite a friend to a CASA event

Ask professional advice

NEXT STEP… Solicitation

SOLICITATION – “THE ASK”

If a formal process, apply!

If informal, get face-to-face

Staff + Volunteer combo

Make a pitch for investment

Show clear benefits (social + recognition)

Follow-up

NEXT STEP… Stewardship

PIECES OF THE STEWARDSHIP PUZZLE

Photo / Success Story

Facility Tour Ask Advice

VIP Friends

Briefings

Recognition

PersonalMeeting/Call

Volunteer

VIP Gathering

Announcement

Articles

RECOGNITION

EVENT RECOGNITION – SPONSOR BENEFITS Exclusivity (Tier or Field)

Participation – Free attendees/tickets/entrances

Pre-Event – promotional materials, press release

Day of Event – Signage, program, AV

During Event – “shout out” or speaking role

Branded items – goodie bags, favors

NON-EVENT RECOGNITION

Newsletters

Supporter Listings

Email Blasts

Social media

Website

Annual Report

In-person

BE CAREFUL OF LEGALITIES

Permission of using your logo/name/reputation

Making endorsing statements

Giving TOO much in return (“quid pro quo”)

Estimating value of goods/services

Conflict of interests

Seek professional counsel (legal, tax, etc.)

MOVING FORWARD

Stewardship

Business leaders know each other

ALL about relationships – examine your existing network

Develop prospect list and prioritize

Assign a well-respected business board member to help lead effort

QUESTIONS?

THANK YOU!

ANGELA BARRAZA, CFRECAPITAL IDEA

ABARRAZA@CAPITALIDEA.ORG512-485-9335