You are starting a new fundraising venture; how would you go about it?

In the course of qualifying for a potential project, I was just asked to respond in writing to four essay questions. I decided to share this result with you because it's kind of an interesting question. (You should have seen the other three!)
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The possibility of starting with a blank sheet is intriguing. In my career, even when I have been brought in to create a new revenue stream, I have always inherited the history and culture of an existing organization with deeply embedded values and practices that limited what was acceptable within the environment. While I have spent a career creating change within such organizations, it is tantalizing to consider forming an organization from the ground up in its early stages.

Without hesitation, I would start with an in-depth conversation with the person or persons who initiated the new undertaking. First, I would seek absolute clarity on the endeavor’s justification, its raison d’etre. Whether it is organized as a for-profit or non-profit is beside the point. That’s the how, and right from the start, I need to understand the why. Or, said in another way, I want to know the void that would be created if the venture ceased to be. Surprisingly, not all organizations or founders are clear on this. They might be able to recite a mission statement by rote, but there’s no real understanding of the cause that is being championed or there is ambiguity about the unmet need that led to the creation of the organization.

At this early stage, it would acceptable, even desirable, if the direction of the project was not yet fleshed out. Nevertheless, I would attempt to discover the two or three driving forces behind the likely priorities of the organization, answering in broad terms the question: “How will the money be spent?”

Finally, I would query the founders on how they envision others being involved, answering the question: “What do we want others to do to support our cause?” This might range from lending expertise to being an ambassador in the community, referring us to others who might be interested, or opening doors to others who can influence the project’s outcome. Regardless, others would most certainly be invited to make their own commensurate investment in our work.

Following this exchange with the founders, I would cobble together a one-page tool for sharing the story of our purpose and our priorities, and presenting the opportunity to become involved. Later, this would evolve into a case for support and a formal funding plan or chart of gift opportunities. For starters, though, a simple plan for how much we need, over what period of time, and how we will get on our way is all that’s required to start the discussion with likely supporters. This plan might be as basic as declaring that we need ten angel investors at $x each. It might even entail approaching one benefactor to underwrite the entire project in its start-up phase. More likely, I’d draw a three-level pyramid (with one lead gift, several substantial commitments, and many moderate contributions, together totaling the start-up cost. Whichever approach I chose, I would make the total amount rational by framing it within the context of the vision. In addition, I would stamp the word “DRAFT” on the page.

Then, I would begin to find and single out a group of persons who are known to care (or are presumed to care) about the cause. In existing organizations with half-way decent fundraising records, the starting point is looking at people who are already giving to the cause or, failing that, identifying who may have benefited from past encounters and who might feel a measure of gratitude. Where no donor or beneficiary history exists, I would work to identify connections with the founder’s family, associates, friends, and acquaintances. I would seek out related or similar communities that have already organized themselves, both online and off-line, and that might share an interest in our issue. This process would not take too long, as the list serves only as a launching point for networking and conversation.

After that, I would work to personally visit with likely supporters, ideally one-on-one or, alternatively, in small groups. With each one, I would lay out the purpose and probable programs of the enterprise, and engage in a dialogue about the plan for funding. Knowing that they are being approached at the early stages of organization, I would ask for their response to the concept, and invite their involvement at a leadership level.

In a relatively brief period, a substantial amount of starting capital would be raised, and the program could commence. After some consensus has been built from early investors “buying in” to our plans, we can elaborate on the programmatic priorities and add detail to the development of additional supporters and revenue generation. We will, of course, continue to keep the early supporters engaged by updating them on what their investment has made possible and by finding opportunities for their ongoing involvement.
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So, how would you have answered this question?

Who Cares?

Well, it happened again yesterday. An organization sent me a solicitation. And they told less than half the story. As it happens, I know quite a bit about this organization. I've done some work for them (but either not enough yet or not with the right people!)

They have a story to tell, for sure. But they have the same blindspot many organizations have. It comes from assuming that, because you care passionately about your cause, because you eat-breathe-and-live your mission 24/7, others will automatically "get it." And from there, you're just one step away from feeling that the importance of your work is self-evident, even universally embraced. In fact -- everyone "should" know and appreciate our work.

So, copywriters get a little lazy in writing. In old marketing-speak terms, they write all the features but leave out the benefits.

In this case, the communication was blaring news: "We've just funded $xx million in research!" They went on to point out that this amount funded a certain number of scientists, and they listed the names and institutional affiliations of them. And I'm sure they're very proud of this accomplishment.

But unless I really understand your organization and how it conducts its work, this factoid will not pierce my consciousness. It will be almost impossible for me not to tune out before deciphering for myself why your work matters.

In an exercise I conduct in some trainings, I'll have participants name their most significant mission outcome of the past year. They'll say something like "We held our first health symposium and reached x,000 professionals by launching our RIP initiative." {And notice that the first reference almost always includes an internal acronym.}

When I ask, "So what?" the participant looks wounded or angry, as though I've questioned the sanctity of motherhood. But once they think and try to answer, they'll say, "Well, those health professionals will now present classes in workplace programs."

"So what?" I'll insist on asking. "Well, those trainers will each reach over x00 others, and they'll now know what to do in an emergency." And they'll be pleased with themselves.

Until I ask, "So what?" again. Sometimes it takes four or five iterations before they'll get to the benefit, which might be something like: "Our community is a safer place to live in!! Now that xx,000 people have been trained to know what to do in an emergency through our Really Important Program initiative, the chance that you'll be near help when you need it is increased dramatically, more than 100 fold than before the program."

This simple exercise can help you understand how others view your program and impact. When you challenge statements in your appeals with the "So what?" query, especially statements with metrics, you'll dig down to the core benefit that gives people the real reason to care.

It really gets down to reminding yourself of WHY you're doing the program (its purpose) and focusing less on HOW you're doing it or HOW MANY you've reached (at the tactical level of your plan).

End note: This advice is similar to the old saw, "Answer the question: What's in it for me." I find this a bit jaded, because it prejudges people as having no ability to appreciate a cause unless it personally serves them. The "So What?" alternative allows people to understand why your work matters -- why it counts -- even if they aren't personally affected.