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Nonprofits Should Invest in Good People

Posted by Ian Lauth

Nonprofits-Should-Invest-in-Good-People2

This article is part of a series titled "Lessons from the Biz World" where we explore valuable aspects of the for-profit sector that can be applied to nonprofit management and translate into a more efficient, stable and successful organization with a greater impact. 

When it comes to finding passionate, experienced and intelligent people to work for your Nonprofit, it's important to budget appropriate funds to attract top talent. Just like at a for-profit company, acquiring and retaining people who have the proper skills and drive might come at a cost, but it is the sort of investment necessary to create long-term success conditions within an organization. 

Contributors

Melissa-Beck-pic

Melissa Beck
Chief Executive Officer

Big-Brothers-Big-Sisters-OC-Logo-sm
Carlos Leija

Carlos Leija
Chief Development Officer

Orangewood-Childrens-Foundation-Logo-sm

Lessons from the Biz World

The for-profit business world offers many valuable lessons that can be applied to nonprofit management. In this series we look at how these can translate into a more efficient, stable and successful organization that has a greater impact: 

Lesson 1: Manage capital wisely 

Lesson 2: Invest in good people

Lesson 3: Track and measure successes (and failures)

Lesson 4: Utilize branding strategies 

Lesson 5: Manage your donor base like customers

Lesson 6: Overhead is not negative

Lesson 7: Embrace resistance

“Some of our youth are on the cusp of either making it or not. When I say not making it, that could mean living in a park, incarceration, death, or falling victim to human trafficking,” says Carlos Leija, Chief Development Director for Orangewood Children Foundation. “So we really invest in who we hire ‒ knowledgeable individuals who truly know what it means to work for a Nonprofit, who want to make an impact and, in our case, foster youths.”

Find the Right Talent

How can you find the right talent for your Nonprofit? Network, network, network! Leverage your professional and personal connections on sites like LinkedIn and even Facebook to post job openings and discover candidates. This is going to be your least expensive option since it only requires your time. 

Don't hesitate to use your board as a resource for finding and developing new employees. “We’re fortunate to have a very strong and influential board of directors. They bring business sense, leadership and knowledge, as they generously invest their time to help us guide and govern our organization,” Leija explains.

You can also make some small investments in recruitment. Place job postings with leading job listing sites such as CommonGoodCareers.org or Idealist.org. You can also hire a recruiter to take the lead if you lack the time or skills to manage the process, but that can be expensive so you may want to use this option as a last resort.

Make a Competitive Offer

Once you've found the ideal candidate, it's time to make a competitive offer to get that talent onboard. Check the latest salary trends before entering negotiations. You can use sites like Salary.com or GlassDoor.com, but check multiple sources because job valuations can vary quite a bit. Establish an initial salary offer you think is fair based on the candidate's qualifications, the job and standards within the industry. It's also important to set a maximum salary above your initial offer that your board would be comfortable with to give yourself a little wiggle room in case you get a counter offer.

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Topics: nonprofits, biz-world-lessons

6 Simple Ways to Engage Donors This Holiday Season

Posted by Ian Lauth

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Many Nonprofits hold their fundraising events during these fall months before the holiday season hits. After the events are over and the holidays begin, donors may still be willing to give – so it's important not to end your fundraising efforts prematurely. 

Studies show that online donations often increase during the holiday season. In a 2012 survey by Charity Navigator, 90% of donors polled said they donated during the year-end giving season. Online gifts rose 16% during the same period in 2013 according to The Chronicle of Philanthropy. This increase might have to do with the popularity of online campaigns like #GivingTuesday, which happen around the holiday season, but more importantly has to do with the spirit of giving during the holidays.

Even if your event is over and done, it's important to continue fundraising efforts during the holiday season. Here are some simple ways your organization can reach donors and increase funds during the season of giving. 

1. Focus on the spirit of giving and gratitude 

Thanksgiving is a time to be thankful. Christmas and Hanukkah are holidays in which giving to others is emphasized. With that in mind, it's no wonder that so many people like to donate during November and December. Share stories about your mission and inform donors about the people your organization is actively helping. Remember to show gratitude to donors, and do so in the spirit of the season. Use this time to make phone calls, send emails and mail cards to emphasize how much you value each of your donors and their support.

2. Ask for gifts in-kind

Donors who are passionate about your mission, but don't have the financial ability to give as much as they'd like, might prefer to donate items instead. Also referred to as in-kind donations, this is a form of charitable giving where goods and services, rather than cash, is donated. This type of donation can also apply to donors who simply have too many "things" they want to get rid of, such as:

  • If a donors wins an iPhone 6 at a year-end party but already has a smartphone, he or she can donate it as an auction item for your next event.
  • If the company where one of your donors works gets a new printer, they can donate the old one for your organization to use.
  • Start a program to encourage donors to pass along their unwanted or extra gifts to supporters your fundraising efforts.

3. Offer donations as a gift

Animal-Shelter-Mug

Send a small branded gift package to supporters who donate on behalf of someone else so they can give it as part of their gift to them.

You can also encourage your supporters to make a donation on someone's behalf and give that as a gift. This is great for donors who can't figure out what to get the person who "has everything" but still want to give something meaningful. Add a special checkbox to your existing online donation form that says "give donation as a gift" or create an entirely separate "donation gift" form for donors to fill out, then promote it in your year-end communication. Develop a small gift package with your organization logo and mission - it could be as simple as a thank you card - to send these donors so they can use it to physically give the donation as a gift. Lot's of times organizations will give you the option to have the "thank you" or gift acknowledgement notice sent directly to the person getting the gift. These gift packages can get more intricate as the amount of the donation increases. For example, anyone who donates $100 to ABC animal shelter would get a stuffed animal in a branded coffee mug to give as a gift.

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Topics: donor-relations, donor development

The Biggest Secret to Hosting a Successful Charity Auction

Posted by Ian Lauth

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It's six months before the big nonprofit fundraising event. You have a great theme, awesome location and hope to raise record-breaking amounts by hosting an auction packed with exciting items. The procurement team has plenty of time to gather auction donations, so you're not worried, right?

…Then a month goes by and there is still just the possibility of those concert tickets and backstage passes. Another month goes by and there's radio silence from the board member’s sister who was going to donate her timeshare condo in Hawaii. Three months later and nothing has solidified except a few restaurant and spa vouchers. Panic sets in.

This is a common scenario that keeps development directors and event coordinators awake at night. How will your nonprofit ever raise big numbers when your big-auction items fall through?

To avoid the mad scramble before the event, try securing a few no-risk auction items earlier on in the process. The biggest secret to hosting a successful nonprofit auction is offering intriguing items and getting them early enough to connect with donors and build excitement through marketing and outreach strategies.

  1. Find out what donors want to bid on: You can be proactive about contacting big donors and asking them which packages they are most interested in. A simple conversation could go as follows: "We're thinking of three travel packages for this event; which would you be most interested in, and how much would you be willing to bid?" Getting valuable insight like this early on might mean you can sell the item - or at least get a commitment - before the event even begins.
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Topics: donor-relations

Lessons From the Biz World: Running Your Nonprofit More Like a For-Profit Business

Posted by Ian Lauth

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Running a nonprofit organization (NPO) is all about making a positive impact, which is why many people exit the for-profit sector and dedicate themselves to a career that prioritizes social impact over the bottom line. Not surprisingly, some of the most successful nonprofits use the same strategies that big businesses use to not only stay in the black but also grow exponentially. With more money and resources comes the opportunity to make a bigger difference.

Have you considered ways you can run your nonprofit more like a business? We asked two prominent figures in the southern California nonprofit sector for help answering this question:

Melissa-Beck-pic

Melissa Beck
Chief Executive Officer
Big Brothers Big Sisters of Orange County

Carlos Leija

Carlos Leija
Chief Development Officer
Orangewood Children's Foundation

 

There are many fundamental differences between nonprofits and businesses, not least of which is that nonprofits' objective is to make a difference, not make money. That said, there are some valuable lessons that can be applied to nonprofit management that can translate into a more efficient, stable and successful organization which can have a greater impact. 

At their core, nonprofits operate with two bottom lines: social impact and fiscal success. Impact may trump the bottom line, but when the two work hand in hand, it’s easier to make wider strides toward social good.

Some nonprofits who run their organizations like a business have stopped using the term “nonprofit” altogether. “We have started using ‘social impact organization’ in its place,” explains Melissa Beck, ‎CEO of Big Brothers Big Sisters of Orange County. “I am incredibly conscious of my ‘profitability’ and hold us to being financially sustainable just as I would a business.”

Others are subjected to the kind of heavy scrutiny that accompanies many nonprofit operations. "The accountability for nonprofits increases every single year," says Carlos Leija, the Chief Development Officer for Orangewood Children's Foundation. "You might hear about nonprofits in national news stories that aren’t operated well or where there might be wasteful spending. We are really truly heavily scrutinized and we should be."

Over the next several months we will explore the following lessons from the business world and look at how they can be applied to nonprofits, regardless of size, shape or scope of the mission: 

Lessons from the Biz World

Lesson 1: Manage capital wisely 

Lesson 2: Invest in good people

Lesson 3: Track and measure successes (and failures)

Lesson 4: Utilize branding strategies 

Lesson 5: Manage your donor base like customers

Lesson 6: Overhead is not negative

Lesson 7: Embrace resistance

Lesson 1: Manage capital wisely to ensure profitability

A focus on impact over earnings is typically the main reason professionals choose to work at a nonprofit. In reality, financial resources are a big part of being able to fulfill a nonprofit’s mission, so it’s wise to take queues from for-profit businesses in regards to managing capital appropriately and ensuring steady revenue. In short, it takes money to raise the money you need to make a difference.

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Topics: nonprofits, biz-world-lessons

The Power of Storytelling in Nonprofit Fundraising

Posted by Ian Lauth

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Humans have always been storytellers. We connect better with stories because they evoke emotions like joy, anger and sadness. Many times stories inspire and motivate us to take action, which is why storytelling is such a powerful tool every Nonprofit can and should utilize in their fundraising efforts.

A heartfelt story at your fundraising event can do great things for your audience:

  • Tug at the heartstrings: Storytelling puts a face to your mission and establishes a deeper connection between donors and your organization. Getting your audience emotionally invested will almost always result in greater spending at your event.
  • Support the facts: Statistics can be useful when you are showing the progress of your mission or illustrating a point, but without a story to tie it all together the facts and figures may be far less impactful. Include personal anecdotes to supplement your statistics and make the story come to life.
  • Strengthen long-term involvement: Donors are more likely to give money to organizations they feel a connection to, and that part of what storytelling accomplishes. A well-told story might be exactly what your donors need to make a contribution and continue supporting your mission.  

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Nonprofit Storytelling Example

The John Crosland School in California reinvented their fundraising gala by shifting the focus of the event from being about the school to being all about the kids. A school for children with learning differences like ADHD and Asperger’s, they included anecdotes about the kids, their struggles and their accomplishments in the event program. During the event they started talking about how school’s mission would improve the chidrens' future. During the gala and throughout the dinner, they had pictures of the students rolling on a slideshow. 

“We also had the students and some artists from the local community do some artwork,” explains Jennifer Nichols, the Director of Institutional Advancement at John Crosland, “Then we mixed them all up so that guests couldn’t tell whether a student or a local artist had created the piece of art so when people were buying they had no idea whether they were buying something from one of our kids or a local artist. It was a real hit.”

For the full story, read:
"How John Crosland Revived Donor Development with Their Annual Fundraising Gala"

To make the most out of your storytelling efforts, incorporate these five tips into your marketing strategy. 

1. Share a story during each stage of your fundraising event 

Waiting for the "right" time or moment isn’t necessary, as stories are beneficial and relevant before, during and after your fundraising event. During the pre-event stage, advertise your auction using stories to attract more donors and increase attendance. The night of the event, remind supporters why they are there with reports from the front lines. Hearing a heartfelt message right before the auction begins can influence attendees' bidding decisions and help you raise more money. After the event is over, continue communicating with donors and establish a good relationship by sharing stories of your organization's work and how their donations are being put to use. Donors who know that their money is making a positive impact are more likely to continue supporting your cause.  

2. Take advantage of multimedia

Stories can be told using pictures, video, audio and good old-fashioned copy. Use a combination of these to tell your story and reach your donors by distributing it across multiple mediums. Emails, newsletters, social media, blog posts, Powerpoint, podcasts, webinars, slideshare, etc.  – all of these can be used to share your Nonprofit's story before, during and after your event. These days most people have all the tools they need within arms reach on their smartphone. Of course, every medium is different and how you share a story on Facebook won't be the same as what you do in a newsletter. Tailor each message to fit the rules and norms of that particular media form. 

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Topics: event-production

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Meet

Winston & Winnie

The Winspire Twins

Winston & Winnie love to help Nonprofits raise money for amazing causes. They also love to travel and have a bucket list of amazing Experiences they are determined to complete in their lifetime. Winspire News is the result of this shared passion, offering you fundraising advice, industry news and explorations into each of our incredible travel packages

Auction Item Procurement
Starter Kit

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A free resource with helpful templates to get the auction item procurement process off the ground.

- Donation Form TEMPLATE
- Procurement Letter TEMPLATE
- Procurement Letter Example