Finding Sources of Funding
The key to your success will be finding fundraising sources and tapping them for donations. After all, this is what your fundraising efforts are all about. Whether your fundraising goal is $5,000 or $5 million, you will need to develop a list of prospects — potential contributors. Your list of potential prospects may include individuals, businesses, civic organizations, government agencies, foundations, and trade associations. Another prospect? Community banks, which may set aside dollars to support local efforts that improve the region and help them get their names out to a local audience. For every prospect, you will need to compile information for your database.
Keep in mind that some volunteers will give time instead of money, which they might not be able to part with at present. Don't alienate hard workers by making them feel guilty if they don't hand over a check. They may well be future donors when their financial circumstances improve.
Choosing Prospects
How do you develop a list of prospects? Your first list of prospects will be the people who you already know are committed to your cause, your board of directors if you have one, committee members, and all of your current contributors. One way to quickly develop a prospect list is to have people you already know, specifically your board, fundraising committee, or others working on a grassroots fundraiser, write down the names of three to five people they know. These people can be from all areas of their life: family; business or work; civic, religious, or recreational activities; neighborhood, and so on.
Build your list, expanding from a narrow list of people to a wider, broader cross section of the community. You might segment your list as follows:
People involved in the group or organization, such as board members, general members, and everyone working for your fundraiser.
Contacts, including families, friends, neighbors, work associates, and others.
People who benefit from or have an inherent interest in the work of your group. For example, someone who has a hearing-impaired child will be more likely to give to an organization raising money to help the hearing impaired.
Community supporters, including business owners and political figures. While some people may not be as knowledgeable about your cause, they may understand the value of giving as part of a larger community effort.
The community at large. This can range from your school district to your city, depending on your budget, resources, time frame, and volunteer base. Reach out as far as you can without jeopardizing your fundraising plan.
Previous donors. Never forget your database. Go back to those who have given before, thank them, and ask them if they will donate again.
The reality is that anyone can end up on your list and in your database. It is in your best interest, however, to start close to home and branch out.
Age, income, education, and employment status are all factors in who gives money versus time, according to a national study released by Thrivent Financial for Lutherans in 2008. The majority prefers to give money, but young adults often say it's easier to give time, while pre-retirees and retirees prefer to give money.
Know Your Prospective Donors
Who are your prospective donors? It helps to know this information. It is also to your advantage to note the characteristics of your prospective donors. Area of residence, occupation, marital status, and other considerations will help you narrow down a target audience. If, for example, you are raising money for a summer drama performance program for the local youth, parents of school age children are more likely to see the need than the young singles crowd. Therefore, you should advertise and put more effort toward promoting your fundraiser in venues that attract families. There are issues that are nearer and dearer to the hearts of women, seniors, singles, and people of various minorities and ethnicities. Baby boomers may be more concerned about ecology issues, whereas working women may respond more quickly to women's rights issues, and minorities may respond more favorably to raising money for civil rights causes. Know how to tap into the community that will be most interested in your message.
