10 Fundraising Mistakes and How To Avoid Them

"Mistakes are the portals of discovery." -James Joyce

If mistakes are the portals of discovery, we are all seasoned explorers! Whether aboard or staff member, we can all tell stories about things we did that derailed a solicitation or embarrassed us (even if we got the gift). Over the years, I have learned that mistakes are inevitable, but that our awareness of them can reduce their frequency.

I have also learned that some mistakes are absolute (they are poor practice wherever you are) and some are relative to your community or cause. In that spirit, I offer these 10 common mistakes in the hopes that you can avoid making them the next time you participate in a fundraising strategy meeting, write a letter requesting funds, or make a solicitation call. They are drawn from 40 that comprise my book, Fundraising Mistakes That Bedevil All Boards (and Staffs, Too), published by Emerson & Church.

1. Tax deductibility is a powerful incentive to give.

While it is motivating for some, for most people it is not. Look at European philanthropy—there is little or no tax incentive, yet giving is on the rise. When Americans were asked to identify why they gave from a list of 25 reasons, tax incentive came in 16th. To avoid letting "deduction" language creep into your letters or conversation, remember these things: Any nonprofit can offer the identical tax advantage, but not every nonprofit can match the donor's values and dreams like you can. Find the donor's true motivations (love of choral music, concern for lack of music in the schools) and speak to it (or sing to it!). Don't lead off with discussions of deductibility unless the donor has said that is his or her reason for considering a gift.

2. Foundations and corporations are the biggest donors.

This is tempting to believe. Their gifts are publicized often and more widely. But, if you study the GivingUSA figures every year, you know that 85 percent or more of all gifts come from individuals (living and from estates) and the remaining 15 percent is from foundations and corporations. Individual giving requires the involvement of board members, and that is often the hurdle. Remember that individuals are able to be spontaneously generous (no committees to consult), are easier to access, and give more often to their communities.

3. People will give just because yours is a good cause.

You know yours is a good cause—who else can make our hearts sing? But, your chorus can be the best and still not raise money unless you involve the right people and convey concrete results about your impact on the community. You must continually refresh your commitment to mission and your ability to articulate it. Develop relationships with those who share your values and are passionate about your music. Run a tight ship that will stand up to the demands for transparency and accountability. And remember that "people give to people" as well as to causes—so get out in the community with your voices, your materials, and your opportunities to invest.

4. Donors are drawn to organizations in need.

Perhaps this was true once, but as long ago as 1989 Peter Drucker reminded us that "people no longer give to charity, they buy into results." The most successful fundraising organizations in America are its wealthiest universities, hospitals, and cultural organizations. It is often the small, needy organizations that struggle. If you are struggling, examine your development marketing. Are people being asked to invest because you meet needs, or because you have needs? Put away the tin cup and any messages of desperation. People invest in success. Over and over. They want to be on a winning team and supporters of a successful chorus.

5. Wealth is mostly what determines a person's willingness to give.

People give for many reasons, and we can distill them into three Cs: connection, concern, and capacity. Connection is the link people feel to people involved with your chorus, or can be based on another direct experience; concern has to do with people's interest in ensuring the future of choral music in our society; and capacity is the absolute or relative ability of someone to give. Of the three, capacity is the least important: Without at least one of the other motivators, all the capacity in the world will not turn someone into a donor. Avoid this mistake by looking for people who share your values, engaging them to link you to others, and by forging connections with those they identify. You will be heartened and surprised by your results.

6. You don't have to give in order to ask others to give—your time is your gift.

Once upon a time this was a chronic problem, and although it is disappearing, it still exists as a common misconception. The day is long past when time and money were interchangeable—outside funders expect boards to support their organization with 100 percent participation. You can't honestly ask another to give until you have given yourself (and at a stretch level). Be up front with board members during recruitment about the expectations related to giving, and be sure each board member is asked during a personal meeting with the CEO or director and board chair. When I worked with a choral group that was transitioning from a singer board to a community board, we made sure this expectation for giving was built in from the beginning.

7. Others are more comfortable asking for money than you.

Everyone thinks this, but others have your same anxieties. Asking for money is very painful for most people. We were raised to believe it is a sign of weakness to have to ask for money, and so we see ourselves as beggars. To overcome this mistake, look upon your ask as offering someone an opportunity to invest in a great community resource and wonderful music. Focus on the needs you meet, not the needs you have—the only urgency you convey should be the urgent need in your community for the music you provide. When training in asking for money is offered, participate. Ask for tools to be successful—fact sheets, materials, videos or DVDs of concerts, etc. Then, add confidence to this array of resources, and you will be successful.

8. Development staff, because it is their job, are more effective in asking.

Even though many sophisticated organizations (hospitals, universities) have gone to staff-only solicitation, that's not for you. While a development director may indeed be better trained and have more time in the field than a volunteer, there is no trade off for the special passion and perspective board members bring to a solicitation. You are more credible to many prospects because it is not your paying job to ask for money. In truth, you are probably every bit as effective and, in a team with the development officer, you are unstoppable. Get engaged in asks if you are a board member, and be confident that what you represent is important to the donor.

9. You need a powerful board to have a successful capital campaign.

If that were true, lots of campaigns would never be launched and fewer would succeed. People invest in a compelling vision to accomplish something important in the community. Belief in your mission, vision, and values is a special form of power that can lift your organization into a winning position. Form a campaign cabinet or steering committee with a few board members and more non-board members. Remember that power is a relative concept: Enlist the right people, even if they are not on your board. In doing so, you will find the power to be successful.

10. If a donor is contributing to an organization similar to yours, asking her to give to you is "poaching."

Philanthropy is guided by mission and values, not by organizations and their needs. Institutional loyalty is still important to some donors, but increasingly philanthropy is about issues people care about. And, if a donor cares about music, especially vocal music—and already supports three other music-related organizations in your community—that is evidence that she may also be interested in supporting your chorus. Convey a bigger sense of mission (not what you do, but why you do it—the need you are meeting) and how it runs across many organizations in your community. And develop a greater sense of how you can help people fulfill their dreams about music in your community by offering an opportunity to invest in vocal music. Finally, remember that the person being asked will ultimately make the decision about whether or not to give. Offer her the opportunity to make music with you. She just might add you to her list of musical investments.

These ten mistakes barely scratch the surface, but they provide what I hope will be stimulating ideas and strategies for how you can be even more effective in your fundraising.

"Once we realize that imperfect understanding is the human condition, there is no shame in being wrong, only in failing to correct our own mistakes." -George Soros

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This article is adapted from The Voice, Spring 2005.