Fundraising Campaign Preparation: 10 Tips from a Funder
Thinking of launching a fundraising campaign? Ready to approach funders?
Each year, BBF staff meet with organizations with bold dreams for the future. Whether your organization is planning to construct a new facility, build on to an existing facility, undertake renovations, or significantly expand programming, significant fundraising campaigns require careful planning and preparation.
Based on our years of experience from the funder side, we’re sharing a few tips for nonprofits thinking of undertaking a campaign. These are considerations that BBF staff typically discuss in detail with organizations approaching our foundation for campaign support:
#1: Connect Campaign with Strategic Plan
Having a solid strategic plan in place is a cornerstone for a successful campaign. As a potential funder, we want to see that the proposed capital campaign aligns with your organization's existing strategic plan and is viewed by your board as absolutely critical to achieving strategic objectives. A clear strategic alignment fosters unity and purpose among stakeholders.
#2: Strengthen Your Annual Fund Program
Ensuring you have a robust Annual Fund program in place with a clearly identified base of donors is critical. Starting a campaign without a solid base of individual, corporate, and foundation supporters is a hard road. It can take years to establish a solid Annual Fund program, but this is where trust and relationships are developed.
We often ask prospective grantees about the work they are doing to gain understanding about what it will take to achieve their fundraising goals—whether that be through gift range charts, donor pyramids, or other similar tools.
The importance of a strong Annual Fund can’t be overstated! Your organization will likely need to continue fundraising to sustain your regular operations in tandem with raising new money for your campaign, so having a solid base in place sets the stage for success.
#3: Prioritize Public Image
Your organization should already be communicating frequently with constituents and the public. Clear and compelling messages that tell your story and highlight impact are important to motivate action…like giving! Building goodwill and name recognition are vital. Be sure you’re communicating frequently whether via newsletters, using social media to share photos and, through interviews on local radio shows, or through press releases that your organization publishes. These are low/no-cost ways to get the word out about your organization.
#4: Tidy Up Your Donor & Grant Tracking Databases
You should have a comprehensive donor database in place that is capable of recording pledges, complex gifts, etc. Having staff who are trained to fully utilize the database to segment donor lists, pull donor histories, and more is important. Effective data management facilitates donor stewardship and campaign tracking. Be sure that you’re up to date on reports due to corporate and foundation funders, too. It’s important to show that your organization is detail oriented—we want to be confident in your record-keeping and reporting.
#5: Dig into Donor History
Conduct thorough research to understand your prospective donors' gift histories both with your organization and for other campaigns. Deeply understanding your donors’ history of giving allows you to narrow down realistic prospects.
#6: Familiarize Yourself with the Campaign Environment
The executive director, campaign committee, and board should be knowledgeable about the landscape of other current and near-term campaigns in the geographic area. Understanding the broader context can inform your campaign strategy and positioning.
#7: Ensure Active Leadership Engagement
Ensure that your CEO is well-known, respected, and already actively engaged in fundraising efforts. Leadership should be prepared to dedicate substantial time to donor cultivation while maintaining smooth organizational operations. As a funder, we’ll encourage you to make sure that a solid base is in place to ensure your core mission is being met amid your campaign.
#8: Invest in Fundraising Training
Provide fundraising training for the CEO and staff to enhance their effectiveness in engaging donors and securing gifts. Investing in fundraising skills will not only strengthen your organization's team but also boost their confidence in fundraising efforts for the campaign and beyond.
#9: Show Strong Board Support
Ensure strong support from the board, both financially and in terms of time commitment to identify, cultivate, and solicit donors. A committed and engaged board is, quite simply, essential for campaign success. We ask a lot of questions of campaign applicants about the strength of their board and their readiness to do the hard work needed to pull off a successful campaign.
#10: Understand the True Costs
If construction is involved, obtain up-to-date quotes from reputable contractors with built-in contingencies and a defined timeline. Over the past several years, we’ve seen construction costs and other expenses rise dramatically, so frequently re-evaluating costs is important. As a funder, we also want to understand how your board is planning for sustainability to ensure that campaign investments will have a lasting impact. You can expect our foundation to ask questions about ways the board has considered:
How special campaign gifts may impact your Annual Fund both during—and after—the campaign
How new facilities or improvements will be cared for, maintained, and staffed in the long term
And, of course, Conduct a Feasibility Study
In nearly all cases, we recommend you have a feasibility study conducted by an external consultant, but not all consultants are the right fit! We encourage organizations to seek a consultant with significant experience helping like-sized organizations with similar missions. Great studies provide a clear look internally at your organization’s internal readiness to conduct a campaign, and that of your own donors and the greater community to support your campaign.
Want to learn more?
Check out resources from Muncie’s Nonprofit Support Network. Nonprofit Support Network (NSN) is a capacity-building organization dedicated to supporting nonprofits in Muncie-Delaware County. The organization provides workshops, peer networking opportunities, an on-line portal of resources, tailored support for nonprofits, and more.
From June 12-14, 2024, NSN will be hosting a three-day custom course for local organizations in collaboration with The Fundraising School focused on strategies and tools for campaigns. Learn more here: Fundraising Campaigns — Nonprofit Support Network (muncienonprofits.org)