RAISING MONEY FROM CORPORATIONS

FUNDRAISING WEBINARFEBRUARY 26, 201410:00 – 11:30 AM

ANGELA BARRAZA, CFRE

AGENDA

1. Corporate Giving Overview

2. Popular Ways to Give

3. Other Ways Corporations “Give”

4. How To Make it Happen

4. Recognition

5. Questions

CORPORATE GIVINGOVERVIEW

2012 CHARITABLE GIVING - $316.23 BILLION

Individuals 72%

Foundations

15% Bequests7%

Corporations

6%

Source: Giving USA Foundation™ / Giving USA 2013

Individuals 72%

Bequests7%

Corporations

6% Foundations

15%

2012 CHARITABLE GIVING - $316.23 BILLION

Source: Giving USA Foundation™ / Giving USA 2013

= $19 Billion!

FUNDS! FUNDS! Volunteers Expertise Awareness Advocacy

WHAT DO YOU WANT?

Social impact Customer loyalty More/better business Employee satisfaction Opportunities

WHAT DO CORPORATE DONORS WANT?

“Keep in mind that men and women don’t want to give money away.

They want to invest in great causes, in bold and exciting dreams. They want to feel they’re helping change

lives and save lives.

It’s your job to help them understand their money can make that happen.

- Jerold Panas

CHALLENGES

CASA has broad and compelling appeal Topic not “easy” to talk about Not the same clients Many companies serve broader area than

local program boundaries

TWO POTS OF MONEY

Philanthropic vs. Marketing Dollars Tax-Deductible Donation – restricted or

unrestricted Advertising Funds – generally unrestricted Combination of both Invoices

SIZE DOES MATTERLarge Mid-Size Small

Marketing and Philanthropic (CSR)

Mix of Marketing &/or Philanthropic

Primarily Marketing

$$$ $$-$$$ $-$$Clear, defined giving priorities

Broader priorities, if defined

Rarely focused on specific causes

Large, well-known causes (headquarters)

Regional, small nonprofits ok in business areas

Local community, small nonprofits

Corporate Giving Department &/or Foundation

Corporate Giving Person &/or Area President

Business Owner or Top Management

POPULAR WAYS TO GIVE

UNRESTRICTED DONATION

Small to mid-sized companies Repeatable, annual support Treat as individual donor(s) + recognition

Face-to-face ask PROS – everything! CONS – none

PROGRAMMATIC GRANT

Larger companies with specific corporate-giving department or corporate foundation

Formalized “ask” process Set project, budget (restricted), reporting Treat as any other foundation funding PROS – typically open, public info CONS – time commitment

EVENT SPONSORSHIP

Exchange of money for specific recognition Typically marketing/advertising Think name recognition – who wants it?

● Medical, Insurance, Financial, Services

PROS – good entry point, unrestricted $ CONS – high cost and time involved

IN-KIND SUPPORT

20-30% of all corporate support Documented discount on services or

products Donated/discounted goods or services Wish List of Items Fair-market value PROS – decrease org/event expenses CONS – not revenue

MATCHING PROGRAMS

Encourages employees to donate to their favorite causes by matching their contributions● 65% Fortune 500 offer matching gift programs

Some provide cash donations based on hours their employees volunteer● 40% offer volunteer grants, average $8-$15/hour

PROS – “free money” CONS – reactive, hard to keep track of programs

Source: www.DoubletheDonation.com

COMPANIES WITH MATCHING PROGRAMS

COMPANIES WITH MATCHING PROGRAMS

OTHER WAYS CORPORATIONS “GIVE”

VOLUNTEERS

“Gift of time” CASA’s Board members Volunteer Projects

● Short-term● Fundraising● Events● Office help

THIRD-PARTY EVENTS

Proceeds from participants, not company CASA doesn’t run the event (time or money) Want use of your logo and reputation Need a formal, written agreement/approval Careful not to appear as if you’re running it,

especially if it involves raffle, events, merchandise, etc.

CAUSE-RELATED MARKETING

Proceeds from consumers, not company Your logo on something (product placement

for a cause) Large, national brands Careful on possible taxation of proceeds Need formal, written agreement

WORKPLACE GIVING CAMPAIGNS

Proceeds from participants, not company (unless matched)

Vehicle for employees to give through their paychecks

Various Kinds● Independently-run (for matching purposes)● United Ways (designations)● Federated Campaign (SECC / CFC)

HOW TO MAKE IT HAPPEN

SOME BASIC PRINCIPLES OF FUNDRAISING People give to people Giving flows through involvement Enthusiasm and honesty inspire giving Personalization of an “ask” increases the

likelihood and size of a gift Communication with donors is CRITICAL!

THE IDEAL DONOR-CENTERED FUNDRAISING CYCLE

Stewardship =

MeaningfulCommunication

Receive Gift!

Stewardship

Stewardship

Stewardship

Solicitation

Identification &

Discovery

Cultivation

Solicitation

IDENTIFY – WHO ARE OUR PROSPECTS?

Prospects vs. Current Donors Board, Staff, CASA’s, current donors Events Speaking engagements Always keep your radar antenna up Who is giving to your peer institutions?

NEXT STEP… Preparation

PREPARATION – DO YOUR RESEARCH

Company Website Local Newspapers Local Business Journal Foundation Directory Online GuideStar Chronicle of Philanthropy “How America’s

Biggest Companies Give”

PREPARATION – SCOPE OUT THE PROSPECTS Alignment is KEY! Closer to home, the better your chances Do we fit in their defined giving priorities? If no set priorities, …

● Core values? Mission?● Who are they giving to in the past?● Overlapping interests or activities?

NEXT STEP… Discovery

DISCOVERY VISIT

Connect, connect, connect Face-to-face meeting Share about Program Ask Questions and Listen

Match? Schedule Follow-up

NEXT STEP… Cultivation

CULTIVATION PROCESS

Advances prospects and donors from:

Goal of process is to achieve a genuine relationship

Investment can grow over time

Awareness Interest Involveme

ntCommitmen

tInvestme

nt

CULTIVATION – HOW TO CONNECT/ENGAGE

Tour CASA office or volunteer training Coffee at the Courthouse Email / social media Host a coffee/lunch/meeting Invite a friend to a CASA event Ask professional advice

NEXT STEP… Solicitation

SOLICITATION – “THE ASK”

If a formal process, apply! If informal, get face-to-face Staff + Volunteer combo Make a pitch for investment Show clear benefits (social + recognition) Follow-up

NEXT STEP… Stewardship

PIECES OF THE STEWARDSHIP PUZZLE

Photo / Success Story

Facility Tour Ask Advice

VIP Friends

Briefings

Recognition

PersonalMeeting/Call

Volunteer

VIP Gathering

Announcement

Articles

RECOGNITION

EVENT RECOGNITION – SPONSOR BENEFITS Exclusivity (Tier or Field) Participation – Free attendees/tickets/entrances Pre-Event – promotional materials, press

release Day of Event – Signage, program, AV During Event – “shout out” or speaking role Branded items – goodie bags, favors

NON-EVENT RECOGNITION

Newsletters Supporter Listings Email Blasts Social media Website Annual Report In-person

BE CAREFUL OF LEGALITIES

Permission of using your logo/name/reputation

Making endorsing statements Giving TOO much in return (“quid pro quo”) Estimating value of goods/services Conflict of interests Seek professional counsel (legal, tax, etc.)

MOVING FORWARD

Stewardship Business leaders know each other ALL about relationships – examine your

existing network Develop prospect list and prioritize Assign a well-respected business board

member to help lead effort

QUESTIONS?

THANK YOU!

ANGELA BARRAZA, CFRECAPITAL IDEA

ABARRAZA@CAPITALIDEA.ORG512-485-9335