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Riding the Horse the Way It's Going: A Different Approach to Boards and Fundraising

 


I can’t get my kids to take out the trash. No matter how much I complain, threaten, cajole or reason with them, they don’t see that taking out the trash is their responsibility. They don’t actively defy me, and they’d never say, “No, we won’t. It’s not our job.”

As a matter of fact, when I explain to them that this is their job, they nod and tell me they understand and that next time, they’ll do better. But next time it’s just the same. Please tell me how I can get my kids to take out the trash!

Sound familiar?

Ok - now it’s time for word substitution. Everywhere you see “my kids,” substitute “our board.” And everywhere you see “take out the trash” substitute “fundraise.” And now tell the truth - whether you are on the staff side of this argument or the board side - isn’t this what it really feels like?

In just about every organization we’ve seen and heard about, boards neither like nor want to fundraise. Conventional wisdom (as well as their staff) tells boards that fundraising is their primary role, and many board trainers will tell them the same thing. Typically, boards won’t openly state they won’t do fundraising, but when push comes to shove, they just don’t.

Living in the American southwest, an old cowboy once told me, “It’s easier to ride a horse the way it’s going.” And so, if you think this is going to be an article about how you can finally get your board to fundraise (or get your kids to take out the trash), you’re wrong.

What this article will do, though, is to help you figure out which way the board’s horse is going, and to show you ways to ride along with them to get to where both the board and the staff want to be - a funded and secure organization.

To do this we will first look at what the board should already be doing, and then we will add to that some things boards like to do. The end result should be a board that is willing to take responsibility to see that there are indeed funds to provide the mission.

Defining the Problem

Let’s start with a brief overview of the situation experienced by far too many organizations.

Organizations need funding to provide service to our communities. It takes a lot of work to raise those funds, and the conventional wisdom holds that fundraising is a major responsibility of the board.

Logically, the staff encourages the board to fulfill that role.

Most boards, however, aren’t clear as to what their role is at all.

Should they have to fundraise? If they don’t fundraise, what else should they do?

Because the organization’s staff is filled with paid professionals, the board defers to what staff says the board’s role should be, accepting staff’s assignments as the appropriate role of the board in that particular organization, including the “mandate” that they participate in fundraising.

Unfortunately, most board members are uncomfortable asking people for money (especially their friends) and therefore avoid fundraising like the plague. And so the cycle of frustration begins.

Staff become frustrated, as they could really use help raising money, and they believe that fundraising is a major role of the board. The board feels frustrated because they, too, think they should be doing this job, but they really and truly do not want to.

This cycle could go on for years (and often does).

In rare cases, a strong CEO and development director will spend massive amounts of effort in a combination of “training” the board and recruiting for board members who are comfortable raising funds. These are folks who can be heard to proclaim, “It took us a long time, but we finally have the board doing what we need them to be doing.”

What Boards Should Already Be Doing - Aside from Fundraising

The best place to start this part of the discussion is at the organizational chart - the visual image of the relationships that rule your organization. You will find the board at the top of that organizational chart, and that is no accident - all corporations are headed by boards of directors.

 

And so regardless of the fact that the CEO is there full time and the board is comprised of part-time volunteers, it is NOT up to the CEO to tell the board what its job should be, and NOT up to the CEO to recruit for the board. In the end, the board is ultimately responsible and accountable for the actions of the organization - the buck stops with the board.

Here are some of the responsibilities that come with being at the top of the org chart - responsibilities the board should already be fulfilling:

1) Hire, fire, and measure the performance of the CEO.

2) Act as the ambassadors to the community, relaying information between the organization and the community, and vice versa.

3) Be accountable for the organization providing the results the community needs, and ensure that the organization has the resources it needs to provide those results.

4) Define the values upon which the organization will base its actions and decisions, establishing the ground rules for what is appropriate behavior within the organization.

5) Be responsible for the board itself. Being at the top of the organizational chart, there is no one but the board to be responsible for what the board does.

These five responsibilities stem from the fact that the board is the link with the community (a NonProfit’s equivalent of stockholders); from its position at the top of the organization; and from the ultimate responsibility and accountability that flow from that position - accountability to the organization’s donors and to the community the organization serves.

Notice that fundraising isn’t on the list. That’s not because it isn’t important, but because it is not 100% always the case that boards must fundraise in every organization. Some organizations, for example, are fully endowed, while others have all their funding needs provided by professional staff. And even in those organizations that suggest that boards should fundraise, in many cases the reality is that they don’t, and the organization seems to raise the funds without them.

If, on the other hand, a board has failed to do any of these five main responsibilities, that community linkage and ultimate board responsibility simply won’t occur. And so, unlike fundraising, these five responsibilities are necessary in every single organization, without exception.

Adding Fundraising to those Basic Responsibilities

Once the board is performing the 5 basic responsibilities that provide accountability and community linkage, they can then choose to add any additional responsibilities as they see fit. For some small or start-up organizations, that may mean doing the actual mission work. For some it may mean fundraising. But none of those additional activities can be done in place of the 5 basic responsibilities. If the board doesn’t do the “Big 5,” they are abrogating their responsibility and cannot call themselves accountable.

But that shouldn’t be construed to mean that the board is entirely off the hook. Because one of the basic responsibilities is to ensure that there are adequate resources to provide the mission to the community. So the logical question boards must ask is:

How do we want to ensure that there are adequate funds to provide the mission?
Do we want to add fundraising to our list of jobs, or do we want to figure out another way?

As we walk through the rest of the steps in this decision process, remember: Because the board is responsible for itself, no one but the board can determine how it does its job or what additional tasks it adds to that basic list. And so it’s not up to the CEO or the development staff to determine if the board should do fundraising. It’s up to the board itself.

How Involved Will the Board Be in Fundraising?

The board can either choose to be actively involved in fundraising, somewhat involved, or not involved at all.

However, regardless of its level of involvement, the first step in being accountable for ensuring adequate resources for the mission is to require that the organization have a plan for building sustainable cash flow. As part of the creation of that plan, the board can then determine to what extent they want to be involved in actually raising those funds themselves, as follows:

Actively Involved

The board may realize they all LOVE fundraising and want to participate in any way they can. If this is the case for your organization, I can’t imagine why you are reading this article!

 

Somewhat Involved

The board may decide they only want to tackle certain aspects of fundraising, or that only some of the board members want to be involved in fundraising activities (a committee). Again, the board must proactively decide which activities they will participate in, and that decision should be included as the fund development plan is being created. The plan can then set dollar goals for the board’s activities, and determine how the board will achieve those goals.

Not Involved

The board may decide they don’t want any part in fundraising. If that is the case, they are NOT off the hook. They are still responsible and accountable for ensuring that there are adequate funds to operate. And that will mean strong support for providing the staff with the tools they need to carry out the fund development plan. We’ve seen too many cases where a board will fight fundraising with all their might, and then turn down requested budget items that would make the staff more effective at doing the fundraising themselves. If the board WON’T raise the funds, they must agree to provide support for the staff’s efforts to do so. The board can’t have it both ways.

Riding the Horse the Way It’s Going: Finding Fundraising Activities the Board Will Want to Do

For boards who choose to do fundraising, and even for boards who think they may not want to, consider that fundraising isn’t always what we’re used to. It’s not always hitting up our friends for $125 tickets to the gala. Sometimes the best methods for raising funds are those that don’t ask for a dime.

That’s because the most important thing any board member can do to help ensure adequate resources to fulfill the mission is to help expand the organization’s base of supporters by introducing new people to the organization - acting as an ambassador.

The following are ideas your board members will likely feel comfortable using to bring new friends into the organization - friends who are, through these methods, likely to become donors of their own volition. These are NOT approaches for asking for money, because when we meet new friends in our real lives, we don’t generally have our hand out. The same should apply to making friends for your organization. When we are patient and nurturing and really interested in forming relationships (being the ambassador), those are the friendships that last and bring us our greatest joy.

Brainstorm Lists

Start by taking 10 minutes at a board meeting for individuals to think up a list of names (set a minimum - it could be as low as 5). These should just be people your board members are comfortable being with, and not necessarily people with money. (If the people they are comfortable being with have lots of money, that’s great, but it’s not a requirement by any means.)

The reason they need to feel comfortable with these people is that they are not going to simply hand over the list and let the organization contact them. The board members are going to contact those people AND spend time with them. So make sure their lists are people they like!

Don’t Ask for Money - Ask for Time

It’s ironic. Most folks have more expendable money than they have expendable time. But for some reason board members feel less inhibited asking friends for a few hours than they do asking them for even a $20 donation.

So ride that horse the way it’s going. Don’t have board members ask for money. Simply have them get others involved.

Create Personal Getting-to-Know-You Events and Follow Up!

The event could be a tour of your facility, or just a talk about the issues your organization confronts. It could be a group activity or just lunch between a board member and a friend.

If a guest lecturer will be at the local university, talking about substance abuse - the issue at the heart and soul of your Substance Abuse Crisis Center - either organize a Getting-to-Know-You event or suggest that board members simply invite a friend, to provide an opportunity to talk before and after the lecture about the work your organization does. Or if your organization works with mental illness, a board member might ask a group of friends to go see this year’s Academy Award Winner, “A Beautiful Mind.”

The potential “events” list is endless, because this is not necessarily an organized “event” in the traditional sense of the word. The key is that whatever “event” your board member chooses to attend with his/her friends, that it creates an opportunity for that board member to talk about the work he/she is doing for the organization.

Have board members invite the people on their list to accompany them to the lecture or movie or what-have-you. When they’re invited, they should be told why: “I’ve been so moved by the work I’m doing on the ABC Agency board that I really want to tell you about it (or have you see this movie, or etc.)” The board member can feel comfortable to categorically tell their friend that they won’t ask them for money, because they won’t.

After the event, have the board member follow up. Have them send a copy of the organization’s latest newsletter with a personal note handwritten directly on the newsletter, thanking them for being willing to learn about the issue. And if there’s a volunteer event coming up shortly, the note might ask if they’d help out for an hour or two.

Then add that name to the organization’s mailing list, so they will begin to receive whatever regular correspondence goes out to the organization’s family. Each introduction made in this way will have the potential to build into a lasting friendship for the organization and its mission, and the staff will be able to do whatever the fund development plan suggests for that donor list. The key, though, is that those relationships will NOT be dependent simply on the board member’s ability to ask them for money, but will instead be based on that individual learning about the organization from someone they trust.

Volunteer Activities

One of the best “getting to know you” events is a volunteer activity, because the person immediately feels like they are helping out. While you and your friend are working together at that volunteer activity, you can talk about the work the organization does, or you can schedule a less busy time to quietly show him/her around. “John, I’m so glad you could help today. When things are not so hectic around here, I’d love to give you a tour of the place and really have the chance to show you what we do - and what you’ve helped us to do. Can we do that next week?”

Again, it’s casual and doesn’t ask them to do anything but take an hour and help out. Folks love to volunteer, especially if it’s just for an hour or two, and volunteer activities tend to be fun while providing lots of opportunity to talk about why you are there in the first place.

Your organization might consider holding special volunteering events specifically with this “getting to know you” purpose in mind. Is there a task you’ve been putting off? Cleaning out an old office? Going through old files or sorting donated clothing? Getting ready to move? A volunteer party is a GREAT way to bring new friends into the organization, and it’s not only painless, it gets a job done that needed to be done anyway! The volunteer will have a great time, and there are no demands. Later, the board member will follow up in the same way - a note on a newsletter, etc. And their name will be added to the organization’s database.

Keep Them Involved

Once you have brought someone into personal contact with the organization, keep them involved - not just by keeping them on your mailing list, but by having the staff remain in real contact with them. Remember, the relationships that mean the most to us are give AND take. Make these new supporters feel like they are really part of something, and the base of your organization will truly flourish.

By bringing supporters into the organization, the base of support will grow. Whether or not the board is doing fundraising, these individuals will become friends of the organization, perhaps starting with a small donation in response to a newsletter, but later - who knows? Every friend brought in the door brings the potential for lifelong support - a relationship that will likely outlast the board tenure of the person who made that initial introduction.

Giving Within Their Means

One more thing. It is important to note the HUGE difference between fundraising and giving. Whether or not the board (or individual board members) chooses to raise funds, every board member must donate to the organization within (their) means to give. This is not an option.

The reasoning is simple. Giving to the organization is another part of the board’s ambassadorial role. If board members don’t give to the organization, why should anyone else? Imagine the United States ambassador to France telling his French counterparts that he doesn’t pay American taxes or provide any support to American

causes. The same thinking applies to your board - their giving must be an example to the rest of the community.

We have worked with food banks and low-income health clinics where a number of board seats were reserved for clients receiving service from the organization. If all they could afford to give was 25¢, they gave 25¢. And those organizations could proudly say that 100% of their board had donated to the organization.

The effect of a board that has all donated to the organization cannot be underestimated. It is a question asked often by high-dollar donors as a condition to giving their own gift. And when the organization can proudly respond that even a single mom making minimum wage has given to her own ability, it makes it much harder for a prospective donor to say they won’t give to THEIR own ability.

Conclusion

When a CEO or development person says “We finally have the board doing what we need them to do,” a red flag should go up. While the CEO may insist that the board should raise funds, the bylaws insist that the board be accountable, first and foremost. A board cannot be accountable if it is relying on the staff to determine what is appropriate and inappropriate work for the board to be doing. And that includes fundraising.

As boards become more accountable for ensuring the long-term stability of the organization and its ability to perform its mission, the board will be in a better position to decide proactively what role it wants to take in providing the resources needed to do the job. By taking on fundraising and friend-raising activities that work hand-in-hand with their ambassadorial and governance roles, those methods will seem less intimidating - more natural and easy. Because then, it’s not about the money. It’s about making the organization strong, so the community can benefit. And that’s a horse we all can ride.

 

 

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