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Consulting for Non-profit Organizations

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De-Mystifying Capital Campaigns

April 17, 2023 by Sharon Danosky

De-Mystifying Capital Campaigns – Spring 2023
By Sharon Danosky, President

Probably nothing entices or scares boards more than the thought of a capital campaign. They are enticing because of the potential inflow of capital. They are frightening because they are unlike other fundraising efforts and require a structure and methodology that are unfamiliar to most boards. It also can be daunting because most development professionals, as skilled and accomplished as they may be, have never undertaken a capital campaign. So it may seem a little like steering a ship without a rudder…but, first things first.


Why do a capital campaign? Capital campaigns are undertaken when there is an urgent compelling need to raise significant funds for a specific purpose:

  • Urgent compelling need: leadership of the organization needs to identify and address one or more critical aspects of their organization in order to continue providing vital services aligned with its mission. This does not mean building reserves for operations or trying to make up for a budget deficit that has occurred over one or many years. It is a need that is forward-looking and visionary.
     
  • Significant funds: the organization needs to raise money above and beyond its annual operating revenue or budgeted revenue
  • Specific purpose: the organization needs to have a compelling purpose for which it is raising these additional funds and a thorough explanation for why it is necessary. This means having a clear vision, something you want to aspire to. In capital campaigns, we often speak in terms of donors giving to lofty visions, not needy organizations.  

How to begin a campaign?

To start a campaign you need to be able to articulate why you are raising funds and how they will be used. That is pulled together in something called a Case for Support (which we will review in an upcoming newsletter). Then you need to perform in-depth donor research and develop a strong prospect pool to support your initiative. 

Selected donors will be interviewed to gauge their interest and provide feedback about the reason you are raising additional money. They will also be asked whether they would be willing to support this campaign and the range of support they might provide, should you move forward. That interview process is called a pre-campaign study or feasibility study.

A feasibility study is usually performed by an independent consultant because of the objectivity it affords and does four things:

  1. Evaluates your organization’s internal readiness to take on a campaign
  2. Tests your case for support and your funding priorities – will donors support it?
  3. Assesses the funding potential – how much money can you raise?
  4. Engages your key donors early in the process.

There is an old adage in fundraising: “If you ask for money you get advise; if you ask for advice you get money”.”  A feasibility study is the ultimate advice-asking methodology.

If the feasibility study goes well – what next?

If the feasibility study demonstrates that you have sufficient support for your initiatives, then the campaign can move forward. The first order of business is to establish a campaign infrastructure which includes setting up a Campaign Cabinet, training your volunteers how to raise funds, drafting gift policies, creating naming opportunities if applicable, developing prospect lists, preparing pledge forms and donor tracking sheets, and solidifying board pledges. You will also want to do some kind of notification to your donors who participated in the feasibility study — they will be your first donors to the campaign. Danosky & Associates prefers to do this with a reception for the feasibility participants either in person or via zoom.

With the above in place – you are ready to enter the Quiet Phase of the campaign where over 60% or more of your funds are raised. This is the quiet, one-on-one solicitation of your donors. No publicity, no fanfare – just personal meetings asking your donors to support your initiative. The quiet phase may last 6-24 months, depending on how many donors there are to solicit.

The public phase is the last phase of the campaign – and some campaigns never go to a public phase because the funds are raised in the quiet phase – which, to me, is a wonderful thing! A public phase is right for a number of organizations, but not for all. At the end of the day – a campaign is about raising significant funds, not about generating publicity. And you don’t need publicity to raise money from your most generous donors – you really just need a compelling vision.

Should We or Shouldn’t We?

The decision to enter into a campaign is really dependent on whether there is an urgent, compelling need. There is no right or wrong time to enter a campaign. In 2008, many campaigns were shut down out of fear of not being able to raise funds. Those that did not shut their campaigns down did very well – a very valuable lesson learned – especially for those who delayed their campaigns. The same fear occurred during the pandemic, but that time most consultants advised against closing down campaigns and pivoted. I launched several campaigns during the pandemic – and all performed beautifully in a virtual kind of way. It really comes down to whether it is the right time for your organization.

One last thought – campaigns require an organization’s full focus. They are time-consuming and intense. They are also exhilarating and can transform an organization in a significant way and build lasting relationships with your donors that can impact your organization for years to come. 

If you are considering entering into a capital campaign, please call Danosky & Associates for a complimentary consultation.

Filed Under: Blog, Uncategorized

Making a Difference

April 17, 2023 by John Brooks

Making a Difference
By John Brooks, Senior Consultant


27 years ago, I would have never guessed that I would be in the development field and now, I can’t imagine myself doing anything else. I was fortunate enough to have worked with somebody who mentored and encouraged me to make the move to development work where I could combine the skills I had acquired over my career with my desire to make a difference in the world.

When I started as a development associate at Special Olympics Connecticut back in 1996, several of my friends asked me what I was doing for a living. I excitedly told them all about the fundraising events I helped organize, the meetings with donors, the national conferences I got to attend, the direct mail appeals and telemarketing scripts I helped create and the donor visits I lead at the Summer & Winter Games. They looked at me in a funny way and asked, “But what’s your job?” “That’s your volunteer work, right? Do you get paid to do that?” What other profession do you get to work in where you meet so many great people while at the same time helping to make the world just a little bit better? And right now, the world needs as many of us making a difference as possible!

A global pandemic, climate change, systemic racism, poverty, homelessness, drug addiction, immigration, clean air and water, access to affordable health care, human rights and so much more – these are just a few of the most serious issues facing society and we, as fundraisers get to be part of the solution. We are often the conduit to that change. We get to help people make a difference!

I’ve shared this story many times, but it really exemplifies the fundraising profession: I had a donor who I was working with for a few years. The family’s contributions steadily increased as our relationship grew and as they learned more about the impact our organization had on so many people in their community. Each year their contribution increased until one year they doubled their support over the prior year. It was such a powerful moment when I was handed a six-figure check and before I could say a word, the donor said something I didn’t expect – she said, “thank you.”

Imagine, I was handed a huge check and the donor thanked me. They weren’t able to volunteer, serve meals, join an advocacy committee, spend an overnight with our clients through their church or join the board. She thanked me for providing her family with the opportunity to make a difference in a manner most suitable to their situation.

That’s what we do every day. We connect people to the causes that they are passionate about. We help them make a difference.

As far back as I can remember, I’ve had a statement on my resume under my professional objective that simply says – “To Make a Difference.” I am proud to be in this profession and looking forward to working with Sharon and her team in our shared vision “To Make a Difference.”

Filed Under: Blog

Introducing John Brooks

April 17, 2023 by John Brooks

Welcome John Brooks to the Danoksy & Associates Team!

Danosky & Associates is pleased to welcome John Brooks to our team. John brings over 27 years of experience with nonprofits – especially in the area of fundraising, working with volunteers and building strong boards. “I am excited to be working with John. He has the donor-focused emphasis on fundraising that I share. The impact he has made at the organizations where he has worked has been remarkable. He is one of those rare fundraising professionals who has made an exceptional difference not just to the organizations where he worked, but to the nonprofit community,” notes Sharon Danosky.

If you would like to meet with John, please email him at jbrooks@danosky.com.  

About John

John has been working in the field for nearly three decades. During that time he has amassed a wealth of experience in every aspect of fundraising: major & planned giving, corporate sponsorships, foundation & corporate grants, fundraising events, direct marketing, volunteer management, community outreach, external communications, and media relations. In addition, he has extensive experience developing, training, and leading numerous volunteer and board committees to identify and solicit donors and to conduct fundraising events. “These are the skills that every nonprofit organization needs to excel today!” says Sharon Danosky. 

John is also a leader for the Association of Fundraising Professionals (AFP), where he has been a member since 1996.  In 2021 he was named AFP Outstanding Fundraising Professional in Connecticut   He has served on the AFP Board of Directors since 2006 and was the Chapter President in 2011-2012. He has held leadership positions on the Program, Nominating and Mentorship Committees.

John was most recently the Chief Development Officer for Columbus House, a New Haven based non-profit organization serving those who are experiencing homelessness and has served in that capacity since January 2004. Prior to working at Columbus House, he was Vice President of Marketing & Development for Save the Sound, a New Haven based environmental organization and was also Director of Development at the state headquarters of Special Olympics Connecticut.

He is the former Vice Chair of the Greater New Haven Chamber of Commerce’s Non-Profit Resource Council and served on the steering committee for Leave-A-Legacy Connecticut. He is also a graduate of the Greater New Haven Leadership Center. John is a volunteer instructor with the CT DEEP Connecticut Aquatic Resources Education program (CARE) and is a cycling coach, special partner and cycling committee member with Special Olympics CT.

John is a Philadelphia native and lives in Monroe with his wife, Monica. He has two grown daughters and just recently became a grandfather! When not involved in nonprofit work, John enjoys cycling, kayaking, fishing, and hiking.

Filed Under: Blog

A New Way of Thinking About Board Leadership

September 9, 2022 by Lexi

By Karen Greve Milton, Senior Consultant, Danosky & Associates

It seems as if I have been involved in governance matters with non-profit organizations throughout my professional life, and even before that, if you count serving as president of my college choral group.  At present, I serve as a volunteer director on a board of a national non-profit organization dedicated to promoting civic education to citizens of all ages, or “cradle to grave” as we like to think of our mission.  Our directors are located throughout the country from the West Coast to the East Coast with the Mid-West in between.  Our constituencies also are located throughout our nation, from coast-to-coast, including Hawaii and Alaska.

Due to the pandemic, we have only met virtually through the wonders of Zoom for almost three years.  During this time, our long-serving Executive Director retired, a new Executive Director was hired, long-serving Board members left and were succeeded by new Board members, new senior professional staff was hired to oversee programs, development and operations, new audit and financial investment firms were selected, and we re-drafted our by-laws and mission statement.  And like all of us, we handled all these matters without any face-to-face meetings.  We even held our annual in-person Board Retreat and Meeting last year by Zoom. 

Next month, our Board members and senior/executives will meet in-person for the first time since the pandemic.  Half the Board members have never met in-person since joining our organization.  Our senior/executive staff, including our Executive Director, has never met in-person with the full Board.  Although I only in the middle of my first term on the Board, I coordinated last year’s virtual annual Board Retreat and Meeting and am performing the same service this year.  Last year’s annual meeting focused on our organization’s mission and mission statement:  who we are as an entity and what we do in our jurisdictional area to affect that mission.

Our focus for the discussion at this year’s annual meeting will be different from last year.  This year, we intend to focus on our purpose or the reason we exist, rather than our mission.  As we prepare for this year’s annual Board Retreat and Meeting, I have been scouring various websites for articles to include in our Board Meeting packet.  In the Stanford Social Innovation Review, a March 2021 article, by Anne Wallestad, then-CEO & President of BoardSource, entitled, “The Four Principles of Purpose-Driven Board Leadership,” caught my attention.  In her article, Ms. Wallestad argues, rather convincingly, that today’s non-profit boards need to be purpose-driven rather than mission-focused with fidelity to the organization’s reason for existence in its ecosystem with an emphasis on seeking equitable outcomes in its decisions and ensuring that the community served by the organization has a voice, if not a seat at the board. 

With our new Executive Director, my Board colleagues and I invested significant time over the past year in re-thinking and re-defining our organization’s mission and redrafting our by-laws.  Through our new Executive Director, we reached out to sister organizations in our ecosystem—for the first time in our history—and began exchanging ideas as to how we all shared the same mission: promoting non-partisan civic education.  We also expanded the diversity of our Board membership geographically, racially and demographically.

In thinking about the strides our Board has made in these pandemic years, we seem to be poised to take up the gauntlet posed by Anne Wallestad in her 2021 article.  This year, as we gather together in-person, our discussion will focus on her four principles of purpose-driven board leadership:

Purpose:  defining the reason our organization exists in today’s world

Ecosystem:  gaining a perspective about our sister organizations and considering the effect that our decisions may have on them and their purpose.

Equity:  ensuring that our decisions create equitable outcomes and

Authorized voices & power: making sure that we give voice to the communities we serve and include them in our decisions.

I believe it is important for all non-profit boards to engage in this dialogue and embrace this new way of looking at their organizations:

  • their reason for existing,
  • how their decisions affect their ecosystem,
  • how they can continue to improve equitable outcomes for their actions, and
  • how they can identify better ways to engage the communities they serve.

Purpose-driven boards will be more engaged with the communities they serve. It is through this stronger engagement that their communities will help the board find new and innovative means to promote their organization’s purpose for existing.  By better defining their purpose, they also will develop a board member profile that promotes their organization’s purpose in multiple areas; thereby making their vision, their reality.

Filed Under: Blog

On The Horizon…

February 25, 2022 by Juanita D Manning

2022 has begun and what a beginning – depending on your perspective. So much has transpired in such a short time and there continues to be significant changes in the nonprofit sector. As so many of us like to do, we are reflecting on trends that appear to be on the horizon and would like to share our perspective.

• There is a new generation of nonprofit leaders emerging – younger, more diverse with a strong enthusiasm for innovation. They will shake things up in the future

• The upcoming generation of leadership is far more collaborative, willing to share power and create strategic alliances

• The future will bring greater expectation for community engagement and for community voices to be heard

• Boards will continue to explore their roles as the call for greater equity and inclusion in the sector increases

• Philanthropy will continue to be strong and those nonprofits who engage with their donors and demonstrate their impact in the community will thrive 

With these trends in mind, we have been planning our education and training programs for the year. We are excited to kick off our series in February during Black History Month with a panel discussion on Diversity and Inclusion – with Emphasis on Inclusion. In March, I will be hosting an interactive session on Conversations with Donors, and in early April, Susan Rosati will be providing a training for both staff and board members on financial reporting and the fiscal responsibilities of the board of directors.

Filed Under: Blog

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