Strategy Archives - Page 2 of 4

July 6, 2020

Though the effects of COVID-19 are far from behind us, hundreds of foundations are already committing to doing grantmaking differently in the wake of this crisis.

In March of this year, the Ford Foundation spearheaded a pledge in partnership with the Trust-Based Philanthropy Project and the Council on Foundations that encourages fellow grantmakers to commit to acting with urgency and finding new ways to support their grantee partners and the communities they serve in response to the COVID-19 pandemic. Since then, nearly 800 foundations have signed on to a long list of commitments ranging from loosening restrictions on current grants, to collaborating with grantees to find creative responses that help them move quickly to serve communities that have been hit the hardest.

This is just one indicator of how the philanthropic landscape is starting to change in response to the global COVID-19 crisis, to better meet the needs of nonprofits and the people they serve. Last month in the second session of Elevate’s Summer Conversation Series, we took a closer look at what the future of philanthropy could look like if practices like trust-based philanthropy, participatory grantmaking, and less restrictive guidelines for grantees become more common. We also discussed how nonprofits can play a role in affecting these types of changes in giving.

Below are three of the biggest takeaways from that conversation:

1. Advancing equity in giving is a two-way street

Some funders are focusing more on equity now, but not all of them are — which means that whether we like it or not, nonprofits also need to work together to play a role in advancing greater equity in giving.

One simple way nonprofits can help bring equity to the forefront? Claim or update your Guidestar profile and share your organization’s demographic data. Doing so can help us all get a clearer picture of where we are collectively as a sector in terms of equity, plus it gives funders a more complete understanding of your organization — especially for those who are doing their research and actively looking for ways to give more equitably.

2. Find ways to provide feedback to funders

It’s not uncommon for nonprofits to ask your funders for feedback — but in this Conversation Series session, our panelists highlighted just how important it is that we also find ways of providing feedback to funders about how they can adapt their giving practices to be more equitable, and make a greater impact.

Asia Hadley, Director of Partnerships – South at Candid and one of our panelists, gave an example of a funder in Atlanta who gave out a round of grants — none of which went to Black-led organizations. When the community members were rightfully upset, they got together with several Black-led groups and held a discussion where they invited funders in to raise the issue, and discuss how to make sure more of these organizations would be included in the next funding cycle. Examples like this illustrate the power of collective organizing to start some of those larger conversations.

Similarly, developing relationships with your funders can also go a long way. As one of our panelists, Jovana Djordjevic, said: “It’s important to build relationships with funders that aren’t just transactional — we can support them in doing things differently.”

3. Consider the power of collective action in affecting change

If you’re in a particularly challenging situation with a funder, one solution for offering feedback is to consider collaborating with other organizations working together to start those important conversations. There are many benefits to collective action, and reasons why it’s an effective mechanism for affecting change. As our panelist Asia Hadley put it: “Every time we speak up in a collective way, that’s an opportunity to make the whole sector better.”

Initiatives like the Trust-Based Philanthropy Project illustrate how feedback from grantees can push funders to reconsider their practices — and ultimately band together and commit to changing the dynamic of the grantor-grantee dynamic to be more collaborative.

June 18, 2020

With all the uncertainty brought on by COVID-19, there’s one thing we know for sure: nonprofits across the sector have questions and concerns about how to adapt.

In a poll we conducted during the first session of Elevate’s Summer 2020 Conversation Series, nearly two-thirds of nonprofit professionals surveyed said they were actively concerned about how they should be adjusting their budget, strategic plan, and programs — and in what timeframe.

Additionally, nearly half of the nonprofit professionals surveyed reported uncertainty about how fundraising is impacted during times of crisis, how policies and practices are changing among both government agencies and the funding community.

All of this points to a common question about where we go from here, and how to do things differently in an era of COVID-19, racial injustice, and civic activism.

Last week, we kicked off our semiannual Conversation Series with an interactive panel discussion featuring leading thinkers and researchers from Independent Sector, the National Committee for Responsive Philanthropy, and the Nonprofit Risk Management Center. Our conversation addressed many questions about how nonprofits can respond in the short-term, take practical risk, and plan for the future — even when the future feels uncertain.

Below are some of the top few takeaways from last week’s panel discussion on how nonprofits can move forward in spite of the uncertainty we’re all facing.

1. Ask your funders for what you need

As all three of our panelists echoed, this is a great time to talk to your funders, if you haven’t already — particularly if you’ve received restricted funding. Across the board, we’re seeing that funders want to be supportive, and they’ve been willing to unrestrict grants and be flexible in unprecedented ways. Don’t be afraid to be proactive, start a conversation with your program officer, and ask for what you need.

Related: How to Fundraise in Times of Crisis or Uncertainty

2. Be willing to take risks, and lean into innovation

Melanie Lockwood Herman, Executive Director of the Nonprofit Risk Management Center, spoke to the importance of risk and experimentation with a sense of balance. Nonprofits should definitely be willing to take risks, and to ask for funding to do things they haven’t done before. In fact, funders right now have been very open to discussing new ideas and ways of doing things! But if every initiative for which you’re seeking support is very risky, you’ll end up with an unbalanced portfolio.

When it comes to your approach to fundraising and any new programs or initiatives, some ideas should be very experimental with a lower chance of success, but you should also be pursuing funding for programs that have proven success. Aim for a balance.

3. Prioritize Advancing Equity

Related to the previous point about innovation: as your organization thinks about innovating and evolving, advancing equity should be a priority — one that helps shape the ways you think and talk about your work moving forward. As Allison Grayson, Director of Policy Development and Analysis at Independent Sector put it: “We cannot rebuild the system we had before, we have to build it back better and in a more equitable way… as a nonprofit organization, I would think about how my mission ties in with that narrative.”

4. Start Planning now for business continuity

It’s important that your organization has a continuity plan to ensure your ongoing ability to deliver services in spite of interruptions, both on a short- and long-term basis. For example, while we may be seeing increased giving right now, it’s likely that we could see decreases over the next six years. This is more proof that now is the right time to be talking with your funders and making the case that unrestricted general operating support is going to increase your organizational sustainability over the long-term.

June 2, 2020

“How do I know when my organization should engage a grant writing firm like Elevate?”

A big part of my role at Elevate is fielding inquiries from organizations of all shapes and sizes that are asking themselves the question: Is working with Elevate the right step for my organization?

While I am primarily responsible for new business development for our growing company, I am act as a trusted partner for nonprofits as they make this decision. Elevate is deeply committed to advancing progressive social change through the important work of the nonprofit sector. We want to partner with organizations that are creating meaningful and lasting change.

So, I take the responsibility seriously when an organization brings their challenges and needs to me — often sharing candid struggles they may have had with a previous grant writer or issues they are facing in taking their grants program to the next level.

Some of the organizations I talk with are strong and growing and need extra grant writing capacity to take advantage of new opportunities. Others are struggling to develop a strategy to diversify their revenue streams, especially if they are heavily invested in major donors or events. Nonprofit leaders often ask me if they are leaving foundation dollars on the table by not having the capacity to research them.

Over the years, Elevate has worked with hundreds of nonprofit organizations who come to us with varying needs, grants programs in different stages of sophistication, and internal development teams ranging from robust to nonexistent.

We have learned a lot about the different scenarios that nonprofit organizations have implemented to staff their grant writing function, and we have observed the circumstances under which these scenarios work well and not so well. We have helped nonprofits that are considering whether to hire Elevate, an internal grant writer, or another firm or contract grant writer to navigate the complex considerations that go into making such a decision — from cost to building continuity to leveraging expertise.

To learn more how to make the best decision for your organization, check out our recorded webinar in the Elevate resource library, How to Know When to Enlist Outside Grant Writing Support!

In it, we shared the key considerations for nonprofits, to help them answer the question of whether it’s time to engage a grant writing firm like Elevate — or to try another staffing solution! Other things we cover during the recorded session:

weigh the pros and cons of different staffing options,
discuss the questions you should ask yourself or your potential hire, and
examine the circumstances when it is definitely NOT the right time to outsource your grant writing function.

And, yes, we’ll also share a little more about Elevate and the stories of several of our clients who came to us with different perspectives and needs and have benefitted from our grant writing capacity and expertise.

I hope you’ll watch the recording and learn more about whether and when to engage external grant writing support. And if you’re interested in having a 1:1 conversation about whether Elevate might meet your organization’s grant writing needs, please reach out to us via our Hire Us form, and we’ll be in touch!

May 18, 2020

In many ways, coming up with a plan to reopen your organization and return to ‘business as usual’ after a crisis can be more complex than responding to that crisis in the first place.

Nonprofits across the sector have learned in recent weeks how important it is to have a plan in place to keep the organization running smoothly and protect the well-being of staff, in case of unexpected disruptions. We recently shared our framework for forming and running a Continuity of Operations Planning (COOP) Team in light of the impacts of the COVID-19 pandemic.

But now that we’re starting to see early signs of a light at the end of this COVID-19 tunnel, our attention has shifted to when and how we will eventually reopen — and how to do so safely.

Drawing on the experience of Elevate’s executive team, we’ve created a framework for how to plan for a safe and thoughtful reopening.

At Elevate, even as we’re waiting to see what an exact timeline will look like, our COOP team is beginning the process of planning for our eventual reopening. We’re starting to think about questions like how best to welcome staff and stakeholders back into our physical office, what a responsible timeline will look like, and how to roll out these changes in a way that prioritizes our staff’s health and safety. We also plan to survey our staff throughout the process and take their feedback into account as we map out the various phases of our reopening process.

We’ve mapped the basics of our framework below, as well as our recommendations for implementing it — we hope you find it useful as you begin this process within your organization!

As we explained in our last blog post, we highly recommend you start by having a COOP team in place with at least one representative from each of your organization’s core functions or departments. Having this team in place will help ensure your reopening plan is a thorough one that accounts for every aspect of the work your organization does, and prevents core business functions from being interrupted during the transition. (If you haven’t done this step yet, we recommend you start here!)

With your team assembled, you’ll want to think through how to move from your current office phase into a reopening phase — specifically in terms of any prompts, considerations, and preparations that will be involved.

If you haven’t already, you’ll need to establish a list of your organization’s core departments or business functions — then use that list to flesh out all the relevant prompts, considerations, and preparations to plan for as you prepare to reopen. For Elevate, our core functions include our clients, internal client teams, office status, operations, finances, human resources, and communication.

PROMPTS

We use the term prompt to mean any information that would possibly prompt us to move into this phase. Make sure your team agrees on the reliable sources of information that you will all use to make informed, fact-based decisions.

When coming up with your list of prompts for shifting into a Reopening phase, there are two main categories to consider:

External prompts: we certainly recommend taking into account any rules and recommendations from the government and/or your locality. You’ll also likely find that it’s important for your organization to consider less obvious prompts as well — including changes in public health data, updates from your local public transportation authorities, the availability of testing and screenings, and school or childcare closures — and how they impact your staff.
Internal prompts: for this section, you’ll need to consider whether your organization has the necessary equipment, supplies, and resources to reopen safely. This may require auditing available cleaning supplies and/or services, your ability to rearrange your furniture so staff can maintain a safe physical distance, and any other prompts that relate to your organization’s core functions.

CONSIDERATIONS

We use the term consideration to mean any valuable information that needs to be considered when moving to this phase — which often includes things that are not immediately obvious.

Considerations for shifting into a Reopening phase will look different for every organization, and will depend on both the nature of your work and your size and structure. At Elevate, our list of considerations includes things like ongoing health and safety concerns, company culture and morale, in-person events or meetings that will need to change, and compliance with both federal and state guidelines.

PREPARATIONS

We use the term preparation to mean any steps that should be taken before or during the communication and implementation of this new phase.

Preparations for shifting into a Reopening phase might include developing any new protocols or policies in writing, developing a thorough reentry plan for your team, reinstating any vendors or services that you’ll need once you reopen again, and communicating the changes to staff and/or stakeholders.

Keep in mind, it’s very possible that you may need to reopen in stages. If that’s the case, your reopening plan should spell out what each of those stages entails, and include specific prompts, considerations, and preparations for each stage.

other things to keep in mind, as you work through this process with your team:

Communicating with your full team clearly, thoughtfully, and often is extremely important, particularly as you roll out significant changes that may pose new challenges and/or induce worry. Depending on the nature of your work, you may also need to put together a separate external communication plan for your stakeholders. Consider including relevant details like any changes in your hours, new or ongoing safety procedures they need to be aware of, and/or updates to your services.
Make sure you’re also engaging with staff on a personal level as you put your plans together, asking them about their specific needs, concerns, and level of comfort. Depending on the size and structure of your organization, you may choose to do this more informally in meetings or one-off emails; alternatively, you might also send out a survey as a means of collecting information. You can then factor in their collective feedback as you move forward with planning to reopen, while balancing it with any recommendations from government and other official sources.

Written by Katy Kale and Michelle LaCroix

May 5, 2020

At Elevate, we generally recommend thinking long-term when it comes to investing a grant program for your organization.

We know from working with hundreds of nonprofits over the years that in most cases — and under normal circumstances — that the most successful partnerships between organizations and their grant writers are built over time.

But things change. With the many ripple effects of the COVID-19 pandemic, we know nonprofits are suddenly facing an uncertain future with more questions than answers. And for many organizations, it may be less feasible than ever to invest in hiring a full-time grant writer — even at a time when they may need it most.

So what can nonprofits do?

We recommend adding experienced capacity for a short period of time. For many organizations that can afford it, hiring a full-time in-house grant writer is the default choice. But this is a decision with a long-term impact, and for many organizations, it is off the table right now while there is so much still unknown about how the pandemic and recession will play out. Elevate has talked to nonprofits that have agency-wide hiring freezes, that are concerned about how to best hire remotely, that do not have the systems in place to onboard a new team-member virtually, or who have background check requirements that they are not able to fulfill right now.

This is why, in times when uncertainty is high, like now, adding short-term capacity may be the most strategic option. And, because the timeline is condensed, it is important that the people you bring on know what they are doing from Day 1.

When short-term capacity makes sense.

In periods of high uncertainty, like what the sector is facing right now, focusing on short-term needs makes sense — as long as it leaves all future options on the table. This is because uncertainty decreases over time: within the next few months, we expect to know much more than we do now about things like:

The full extent of increased demand for our programs, and the cost;
When our paused programs can re-start;
What institutional philanthropy’s collective response will be to the pandemic and a potential recession;
The full governmental response at federal, state, and local levels; and
How individual donors are responding.

One of the few upsides to so much uncertainty right now is that we are almost guaranteed to have more information in the future. And more information means better decisions. This is why postponing certain decisions that have a long-term impact on your organization makes sense at the current moment.

But this obviously does not mean you can stop your fundraising — now is the time to be ramping up your fundraising! Doing so will enable you to both capture rapid response dollars, and be in dialogue with your funders and prepare for changes brought on by shifts in the sector and the economy.

Adding short term support to your grant program could allow your organization to act quickly in response to the challenges you’re facing. But you need to focus on adding high-level capacity, meaning people who come in on Day 1 with significant expertise.

The timeline is short, so invest in expertise.

Typically, an outside grant writer will have more expertise than an in-house hire and therefore, will often require less training than a full-time staff member. Firms like Elevate also likely have systems in place to make onboarding and getting started even quicker and easier. (We’ve had processes and systems in place for years to onboard and work with clients remotely, and we continue to refine them.)

Moreover, experienced grant writing consultants know what questions to ask. We know what funders are looking for. We know how programs throughout the sector are designed and are adapting to these confusing times. And, most critically, we have a wealth of experience to draw on with a variety of issue areas, regions, and specific funders.

We know that many nonprofits aren’t necessarily looking for freelancers or have had bad experiences with consultants in the past. This is where research and vetting are critical! Finding a reliable consultant you trust, with the experience and case studies that illustrate a breadth of experience, will help you address your immediate needs — while leaving your options open for the long-term without the pressure to decide on those plans right now.

For example, at Elevate, our Writing Capacity Projects have been effective in supporting organizations to maintain their grant calendar or pursue large opportunities during hiring freezes, staffing searches, or temporary staff leave. These projects assign an experienced writer to efficiently gather the information needed to develop compelling proposals or reports and provide project management to coordinate all the necessary pieces. After completing these projects, some organizations choose to engage long-term with Elevate through our Comprehensive Grant Writing Services, while others have taken the opportunity to restructure internally or otherwise be more deliberate in their hiring process.

Above all, the key benefit of a short-term engagement is flexibility. When we have a good picture into the long-term future, flexibility does not always rank as a top priority — but in times like now, it is the top priority.

>> Learn more about Writing Capacity Projects

March 18, 2020

As your partners in fundraising, Elevate staff know all too well the importance of the work you do as nonprofit professionals.

We also know the need for your work does not pause — and in fact, may increase — in times of crisis or global concern.

Securing funding for your work is arguably more urgent and important than ever during periods of uncertainty, though we realize the way forward may feel unclear. As such, we’ve put together our best advice for continuing to fundraise effectively, even when ‘normalcy’ has been disrupted:

Assume grantmakers are continuing to operate unless you hear otherwise.

So far, we’ve seen a few deadlines shift, but not many. We recommend monitoring funders, updates, and deadlines closely, with a presumption that they’re still accepting and awarding grants.

Monitor emerging “rapid response” opportunities that FALL OUTSIDE standard grantmaking timelines or processes.

For example, the Greater Washington Community Foundation is working alongside the DC region’s largest philanthropists to establish an emergency fund and distribute rapid response funding to the organizations meeting the needs of communities most impacted by this virus — families who have lost needed childcare, low-wage, hourly workers, people experiencing homelessness, direct service workers, and senior citizens or people with underlying health conditions.

Get a clear picture of your finances.

Our colleagues at Your Part-Time Controller and 20 Degrees both highlight the importance of understanding the short- and long-term impact of COVID-19 on your “financial runway.” Ask your finance staff or consultants for more frequent financial reports, updated modeling for various contingencies, and even advice revising your annual organizational and program budgets. If you’re using our guidance on predicting grant revenue, consider adjusting your grant projections to reflect reduced likelihood of funding from prospective grantmakers to better understand how this will impact your grant revenue.

Tell your nonprofit’s COVID-19 story to your most loyal supporters.

The experts at Chronicle for Philanthropy note that global crises that affect all members of society can motivate significant philanthropic giving. However, the people motivated to give often don’t know where their giving will have the most impact. Clarify for your staunchest donors how COVID-19 is impacting your organization, staff, and stakeholders so that they know the value of their past and future contributions.

Take stock of your community’s needs and your response and align your outreach to funders accordingly.

While all organizations should remain in contact with your key philanthropic stakeholders, your approach should be tailored to the larger community context:

If you are expanding your services to address the community needs due to COVID-19, you can reach out to your long-term funders about these emerging and how they can help. First, review whether they have launched any specific funds so you can request support through those channels. If they have not created any designated funds, consider reaching out to your primary point of contact directly about the increased need you anticipate, how you are responding, and how a one-time gift might help.
If your services are not expanding, avoid soliciting new funding. As our society comes together around this issue, it’s important to acknowledge that new giving will be directed toward the causes that are most in need of support right now. However, you can request other types of support during an uncertain time from current funders, even if your services remain unchanged. Many grantmakers may be open to requests to extend report or proposal deadlines, adjust how or when a grant is paid out, transition restricted funding to unrestricted funding, or even convert an event sponsorship or ticket purchase to a simple donation that can help ensure sustainability for your organization.

Find creative alternatives to building and sustaining donor relationships.

We’ve seen remarkable ingenuity around the country regarding donor engagement that has historically happened face-to-face. Organizations are converting in-person fundraising events to virtual celebrations, holding performances via Facebook Live, or even phone banking to thank organizational supporters for their past gifts. Remember that the important part of any fundraising event is to connect with your donors and you do not necessarily need a venue or catering to do that.

Finally, times of uncertainty like this remind us that a diversified fundraising strategy is a pillar of organizational sustainability. Elevate has consistently found grant programs to be more stable than other forms of revenue in times of sudden change or economic downturn. We’re seeing foundations step up to fill some of the voids that appear from canceled events or individual donors who may be less able to give in an unstable market.

We’re Here to Help!

Elevate is committed to being a resource for nonprofits at this time.

Click here to register for one of three free grantwriting webinars we offer on a rotating basis!

Check back for future blog posts in the coming weeks and months, on planning for the longer-term economic ramifications of COVID-19 so your organization is prepared for the “new normal”.
If your organization needs extra grants capacity for any reason, reach out to us via our Hire Us form, for our comprehensive grant writing support or our short-term writing capacity support.
If you are a current client, please reach out to your team Director for support revising your annual grant projections, developing messaging for current funders, rearranging soft or rolling deadlines on your grant calendar, or strategizing emergency funding requests.

Additional Resources for nonprofits:

January 27, 2020

As fundraisers, we’ve all been there…

You have a big grant proposal to write to a long-time funder, but you can’t get a straight answer from your program team or your Executive Director about the goals for next year. Or, you just got an email from your Executive Director saying she had a great meeting with an important donor, but that they didn’t really discuss a specific project or initiative that needs funding. What do you do now?

These situations are more than just frustrating. They could be a key reason why the study “Underdeveloped: A National Study of Challenges Facing Nonprofit Fundraising” noted high rates of turnover and extended vacancies in Development Director positions. And it makes sense! Talented fundraisers don’t want to work somewhere that lacks the tools and resources they need to be successful.

But all nonprofit leaders and staff know how important fundraising is. They know funding pays their salaries and creates opportunities to do the work they care about. How can you ensure everyone is pitching in?

Elevate and our partners at The Collective Good believe the secret lies in creating intentional alignment between fundraising goals and activities, and organizational goals and activities. Too often, nonprofit staff, including Executive Directors, aren’t on the same page with organizational strategy and priorities, which makes it difficult or impossible to articulate them externally.

In a follow up report to the study referenced above, nonprofit and philanthropic leaders advocate for viewing fundraising as central to achieving an organization’s goals and mission rather than a necessary evil. This means fewer silos and more collaboration between development and programs, communications, boards, and executive staff.

But how do you shift the entire culture of your organization? How do you move from “I’m responsible for raising 50% more from foundations this year” to “we’re all in this together?”

To answer those questions, Elevate and The Collective Good teamed up with the Center for Nonprofit Advancement in March 2020 for a workshop.

Here are the recommendations we explored:

Step 1:

As Executive Directors, ensure development staff/directors are part of the leadership team and equal partners with other senior staff; they participate in all planning, strategy, financial and organizational meetings.

Tip: This is important on an ongoing basis, but even more important during strategic planning! If you develop programmatic and fundraising goals together, it is much less likely you’ll set an organizational strategy without resources or let your fundraising strategy pull your programs in the wrong direction.

Step 2:

As Development Directors, lead your organization through this shift in thinking and structure by developing tools, systems, and messages that everyone can use to cultivate greater community and donor engagement.

Tip: get comfortable with managing up and across so that your colleagues and bosses have the information they need to engage donors at least as well as you can. Check out our blog post on Clear, Collaborative Communication for more tips here!

Step 3:

Be patient and set realistic goals for adjusting how your organization integrates organizational strategy with fundraising strategy. Culture change does not happen overnight and everyone will need time to change how they think about fundraising in the context of more programmatic and operational goals.

August 9, 2019

THIS POST IS PART OF A SERIES ABOUT GRANT WRITING
DO’S AND DON’TS, STRAIGHT FROM FUNDERS!
READ PART 1 HERE

When it comes to winning grants, getting down to the numbers and making the ask is where the rubber truly meets the road.

But there are plenty of mistakes that even the most experienced executive directors, development directors, and grant writers can make when it comes to asks and budgets—mistakes that can cost their organizations significant grant funds.

Below are four strategies for getting the numbers right and making a winning ask. These strategies are based on survey responses from dozens of funders around the country who were willing to share their insights and experiences as grantmakers.

1. Do Your Research

Avoid asking for an amount outside a funder’s giving range.
To determine an appropriate ask amount, learn as much as you can about the funder’s previous giving. Use all available resources: websites, nonprofit/professional networks, foundation staff presentations/panels, Google News Search, IRS Form 990s, etc.
Never ask for budget items that are not eligible.
Foundation’s typically include funding parameters on their website or application guidelines. Typically, direct program expenses are safe bets (exceptions for staff, rent, equipment). If considering requests for indirect costs, check if there are restrictions. For example, some funders explicitly state that they will only fund 10 to 15 percent of a project’s indirect expenses When in doubt (and if you’ve made every effort to find out for yourself) ask the funder directly.If your program requires a cost that is explicitly restricted (like scholarships for a college access program, or computers for a robotics team), consider briefly mentioning in the funding request or budget narrative that your budgeted expenses include this item and how your org funds it (e.g. “Because tuition costs prevent so many students from pursuing a degree, we raise 100% of scholarship funds through our annual luncheon and dedicated individual donors”). This demonstrates your commitment to this specific intervention/expense while simultaneously assuring the reviewer that their dollars won’t be spent here. (Make sure this aligns with your program budget/request column as well.)
Do not present an ask for 100% of project costs.
Funders are not monolithic, so this point will vary on a case-by-case basis. But generally, you should demonstrate the sustainability of your program to reassure funders that your program isn’t wholly dependent on their gift. Similarly, funders also want to see community buy-in (everyone wants to be on the winning team), and multiple funding commitments demonstrate a broad base of support.
As a general rule, requesting funders to support 10% of a project’s overall costs is a safe bet. If you plan to exceed 30-50%, proceed with caution. You might even consider reaching out to funder for guidance. Avoid asking for 100% unless you are confident that the funder is open to it—whether you heard that information directly from funder staff, through the “grapevine”, or by looking at recent grantees. (e.g. a $60K gift to purchase 3 vans seems like a possible 100% gift.)

2. Be Transparent & Consistent

Reviewers look at dozens or hundreds of proposals/budgets every application period, so it’s unlikely you will successfully pull a fast one.

Don’t disguise an operating ask as a project ask (i.e. staff member salary). Or, relatedly, stay away from trying to include something like computers in a “Supply” line item, just because the funder explicitly prohibits requests for “Equipment.”
Don’t include things in the budget that are not referenced in the narrative. At best, a reviewer may assume incompetence—at worst, deceitfulness. Neither will set your proposal up for success.

3. Be Realistic

Again, funders review tons of proposals. Even if they have never led a particular program (and many of them will have), they have a broad perspective of the resources required to successfully run a similar program.

Cost-per-participant is not the only tool a reviewer may use, but it is a basic way to compare proposed programs that may appear apples-to-oranges. Depending on their org values, some funders may wish to stretch their charitable dollars to support the greatest number of people, period. Others will understand that deeper/longer interventions require more intensive resources. Either approach has pros & cons.

Regardless of which route your program takes, take time to explain WHY your afterschool program costs $2,000/student vs. a peer program that costs $1,000/student (year-round vs. school-year only; meal vs. snacks; transportation provided vs. using school/metro bus system; highly-qualified staff/MSW/clinical staff/Special Education accreditation vs. volunteers; etc.)

With this in mind:

Don’t ask for a large amount if you serve a small number of people without providing context.
Relatedly, use caution when asking for the maximum of a foundation’s funding range. If you have explained your program well, reviewers will have a pretty good idea of what it costs. While it might be tempting, never inflate your budgets to get to the maximum amount.

4. Check Your Math

This might seem like an obvious tip, but details can get lost in a complicated proposal with a lot of authors or sources of input. Double-check your work using a calculator or spreadsheet—and don’t forget to update/confirm Excel formulas if you’re using them.

Your budget and budget narrative present another opportunity to justify the appropriate costs of your intervention.

Never submit a budget that doesn’t match the proposal (a reviewer may think it was a mistake or will have questions about cost allocations).
Similarly, don’t submit a budget that doesn’t balance for a program. Don’t leave room for assumptions—if your program operates at a loss that’s made up with General Operating dollars, show those General Operating funds in the revenue portion of the budget.

May 23, 2019

In our previous post, Where Do I Start with Corporate Partnerships?, we spoke with longtime consultant Derry Deringer on why and how your nonprofit should go about forming strong partnerships with corporate entities.

In this second part of our interview with Derry, we dig deeper into what corporations want out of a partnership and how you can go about finding out these answers.

Elevate: Thank you again for sharing your insights from the decades of experience you have. I want to spend a little bit of time going over how to engage a corporation and what they are thinking of. In your experience dealing with corporations, what are the key considerations or factors that corporations care about when they partner with a nonprofit?

Derry: Here are questions businesses are asking when considering partnership:
• How well does it align with our business needs?
• How well does it align with our culture?
• How much do our employees care about this cause or nonprofit?
• What does the CEO or if a local decision the region head think about the opportunity?
• What is our budget this year and over the partner period and is partnership a priority with our community giving/affairs policy?
• What issues in the community are most important to us as a business and why?

Elevate: Two key metrics that are often measured in corporate partnerships are the marketing value and programmatic impact. In your experience, do you think corporations care more about impact or marketing value?

Derry: This varies from business to business. These are very good questions to ask business directly when you are in the very early stages of courting business partners.

Elevate: I see. Every corporation wants some form of marketing usually. Do you find that corporations prefer certain types of recognition or marketing when they engage in corporate partnerships?

Derry: Generally, interest in recognition on event programs and signage has decreased, while interest in recognition on digital platforms has increased. Recognition preference can vary. Survey or talk to your current business donors. If you don’t have business donors, identify areas, industries, or links to businesses that make a good match for potential donors (ex. the employers of loyal individual donors). Ask for their preferences (without asking for money). The questions will be appreciated and would count as a relationship cultivation touch point.

Elevate: Speaking of relationship cultivation, the question I think many nonprofits always struggle with is who is the best person to talk to or get in touch with when establishing a corporate partnership?

Derry: Good question. This varies. Imagine a half dozen possible contacts and a half dozen to a dozen giving possibilities from a large business. Understanding how to navigate the contacts and giving opportunities is the art of corporate giving. Here are some possible contacts. There are others depending on the industry and size of the business.

Assistant to or the CEO
Head or officer in Community Affairs
Head or officer in Community Relations
Head or officer in Corporate Foundation
Head or officer in Government Relationship
Head or officer in CSR (Corporate Social Responsibility)
Head or officer in Marketing

One just has to research, talk to employees and develop the skills to get to the right person. So talking to the right person is one important factor and another very important one is the decision -maker and decision making process. Asking these questions can save you time and frustration. This is where hiring a consultant/coach can help you build these skills and work with you to advance your relationships with your actual business donors.

Elevate: And just to clarify, what do you mean by the ‘right’ person to cultivate? How do you know when you’ve found the right person?

Derry: So, the “right” person or group is ultimately always the decision maker, right? Your goal is to have a direct relationship with that person or someone who is close to that person. Sometimes a group makes the decision. The art of corporate engagement is asking good questions and engaging with company staff in a productive way to learn about the inner workings of the program and decision making. For example: tell me more about how the corporate giving program works. Who heads that program? What’s the process for vetting nonprofits?

You might have different decisions makers for different giving programs in the organization. For example, HR might decide on workplace giving, whereas the CEO and executive team might decide on partnerships and the marketing head may decide on event sponsorship. A lot of knowing when you’ve found the right person comes with practice and experience. Be bold and keep pursuing it and asking questions.

Elevate: I’ve seen many cases where a nonprofit’s board consists of a number of their corporate partners. Is it a good thing for corporate partner’s representatives to be a part of a nonprofit’s board of directors or advisory board?

Derry: Yes, it helps. Good partnerships have shared culture, values and community interests so it makes sense for a partner to have someone on the board or advisory group somewhere. Also, the more ways that a nonprofit engages a business in giving cash, in-kind or services (time, expertise, network etc.) the higher the chance the business and its employees will continue to give.

Elevate: Can you give us some examples of innovative ways you have seen nonprofits engage corporations in their work?

Derry: I saw a regional technology company partner with a homeless shelter. They had a few executives on the board who provided management expertise and played a leadership role in successfully recruiting a new development director. In another case, a Fortune-500 food company gave cash and technical support to help a humanitarian NGO promote and grow entrepreneurship (food trucks and stands) and self-reliance in Bangladesh. I’ve also seen a small business donate computers and cash while the staff volunteer as teachers to low-income adults learning computer skills to secure higher paying jobs.

Elevate: Interesting. Sounds like there’s a quite a variety of partnerships out there. My final question for you today is whether you think it is a good idea to approach a corporation that does not have any sort of corporate giving or social responsibility program in place. Do you think this is an opportunity or a concern?

Derry: Good question. If the company doesn’t have any corporate giving program in place, you’ll want to see a lot of interest and motivation from the leadership. If you don’t have that from the start, likely not to be worth the effort investment. If they do have a program, make the case for your nonprofit being the better choice when they review renewing their partnerships or adding a new one.

Elevate: That’s a good principle to go by. Thank you so much for sharing your insights with us. This has been an extremely enlightening discussion that I’m sure many of our readers will find helpful as well.

Derry Deringer is principal of Deringer Consulting which was launched in 2011. Previously, Derry was Director of Corporate Relations at WFP USA. He brings twenty-five years of experience with nonprofit, business and international organizations. Deringer Consulting helps executives and teams grow faster with better fundraising and better strategic planning. His favorite work is helping clients accelerate growth through a unique blend of coaching, consulting and facilitation methods. And the best place to start with every new client? … right where they are. Schedule a call with Derry today! 202.494.9170 | derry@deringerconsulting.com

May 22, 2019

Corporate partnerships have become a subject of increasing interest to both nonprofits and corporations alike, with many economic and business arguments being made for why a business should incorporate social elements into their business strategy.

Nowadays, most large nonprofits have their own corporate affairs department dedicated to the sole purpose of establishing such partnerships.

Today, we are happy to have with us long-time corporate partnerships consultant, Derry Deringer, to share more about how you can set up such corporate partnerships and what goes into making a successful partnership.

Elevate: Hi Derry, thanks for joining us today.

Derry: My pleasure.

Elevate: Perhaps to start off, could you tell us why corporate-nonprofit partnerships have become so popular. What sets these arrangements apart from other avenues for giving to a nonprofit?

Derry: Today more than ever, nonprofits are seeking to diversify revenue streams to assure long-term sustainability. Corporate partnerships provide that additional source of support since many nonprofits start off or have traditionally grown through foundation grants and individual donations. What sets these partnerships apart from other avenues is that a nonprofit can benefit from many sources of support from a single entity, for example: employee giving, executive level board placement and straight cash gifts.

Elevate: That makes sense – there’s definitely a lot more diversity with how to engage corporate donors as opposed to private foundations and individual donors. And how should a nonprofit prioritize or decide what it wants or should be getting out of nonprofit partnerships?

Derry: Prioritizing or deciding what you want from a corporate partnership is identified by a mixture of what the nonprofit needs in terms of cash, in-kind and service resources, what your corporate donor audience wants to give and what is realistic for the nonprofit staff to implement over the partnership period. I would gather information in that order and refine the list as you go. A better question to ask during this exercise is – what the nonprofit wants to get out of the partnership and what the partner wants to get out of the partnership as well.

A common mistake of a nonprofit is to look to the business to define the partnership. You take the lead with very large dose of curiosity and empathy for what the business wants and needs.

Elevate: So what you’re saying is that it is better to be clear on the partnership parameters or conditions that your nonprofit will offer before engaging in talks with a corporate partner. How narrowly would you define your partnership parameters?

Derry: I’m a big fan of first being clear on partnership parameters before officially pursuing partnerships. But you can certainly engage your corporate donors and community as you are identifying and creating your parameters. Just be clear about the purpose of the meeting or call. Also important to have beforehand is your gift acceptance policy.

For partnership parameters, I recommend a timeline, minimum cash support requirement and the large building block activities and benefits. How broad and narrow to get with the activity and benefit parameters has a lot to do with what staff can realistically implement and what partners see as the most valuable.

Elevate: In your experience as a corporate partnerships consultant, what are the top 3 ways that corporations like to give or partner with nonprofits?

Derry: Businesses want to give in ways that are aligned as closely as possible to their business needs and that provide benefits that they are not able to get by other means. So, I’ll share a top three in that context and in no particular order:

Giving cash, in-kind or combination that allows product exposure with a new audience;
Employee engagement that increases fulfillment, loyalty and meaning to their day job. Types can be a volunteer day, executive on the board or technical advisory role; and
Long term (say 2-3 years) partnerships that blend a mixture of giving and benefits around a single nonprofit or cause that allows the company to get a deep and broad understanding and give a more meaningful contribution and impact over time.

One business may care a great deal for getting their employees involved in a cause. Another may only care about getting their product in front of a new audience. I start with my full inventory list of ways to give, then work on developing a good relationship with the right contact in order to ask open-ended and context questions until I get a clear view of what is most important to the business.

If you have a corporate partner program, you may only have a handful of partners. So we aren’t talking about dozens of business partners.

Elevate: That is very enlightening. Do you have any useful tools or resources for helping nonprofits to decide on these parameters?

Derry: I suggest the development director and Executive Director collaborate to do a brainstorming excise to develop a list of the most compelling and actionable partnership benefits the organization could provide within their gift acceptance policy. Consider having a facilitator lead a meeting to bring out the best from the group. Bring together select key staff and other stakeholders like donors and board members. Get 10 – 15 people together and have productive hour meeting to get down a solid list then refine it. I do have my own personal resources that I have developed that I am happy to share with nonprofits who approach me.

Make sure to read part 2 of this interview, where we’ll ask Derry for more on what corporations want out of a partnership, and how you can go about finding out these answers.

Is Philanthropy Changing for the Better? What Nonprofits Should Know