Domain 2: Securing the Gift (23%)

Question 1

3 Key Case Elements

Answer 1

• Purpose
  
  • include org’s aims, purposes & mission. Present case for current programs & show how new programs will do good
• Content
  
  • centralizes info about a variety of subjects like org’s needs, goals, governance, budget, facilities, etc
• Focus
  
  • unrestricted
  • restricted for operations
  • restricted for special needs
  • or any combo of the above!

Question 2

Contents of a Case Statement

Answer 2

• The org’s services, programs, objectives
• how the goals of the fundraising program support the org
  
  • how funds will be used
  • why reaching gaols is vital to both society & those served
  • how success of fundraising program will strengthen org
• the ways in which the org will remain significantly productive in the future
• the difference a donor’s support will make to the cause
• what the organization must do to improve its activities & value to society

Question 3

Uses of Case Statements

Answer 3

• Obtain feedback and create ownership
• Recruit volunteer leadership
• Test the market
• Form a basis for case materials & related communications

Question 4

Key Elements of

Development Plan

Answer 4

• Statement of purpose
• strategic/financial development goals
• operational policies related to goals
• identified / targeted constituencies
• analysis of potential by constituency & strategy
• Cultivation & Solicitation strategies
• action plan & timetable for each strategy w/income benchmarks
• assignment of responsibilities for strategies & individual solicitations
• Marketing Needs, Budget & Funding for each strategy
• Indicators of success
• Monitoring of processes/systems

Question 5

Reasons why people give

Answer 5

• Social acceptance
• Gaining a position of influence in helping to shape the future of an org & those being served
• Dedication to the same general causes to which an org is dedicated
• Moral obligation or request to “be thy brother’s keeper”
• Direct personal benefits to the donor
• Benefits to the overall well-being of the community or region

Question 6

What a Well-Integrated Development Program Includes

Answer 6

• Basic annual income
• Capital funds needed for special programs, buildings and other physical plant requirements
• Planned gifts to provide a financial cushion for future

Question 7

Pyramid of Giving

Answer 7

• Planned Giving
  
  • wills, bequests
• Major Giving
  
  • personal contact
• Special/Major Giving
  
  • personal contact, letter, phone call
• Repeat Annual Giving
  
  • personal contact, letter, phone call
• First-timer Annual Giving
  
  • direct mail, online, telethon, events, media, door2door

Question 8

The Value of Major Gift Campaigns

Answer 8

• Secures needed funds for major endeavors
• Builds the major-gifts donor base that can be tapped for larger gifts
• Increases visibility & credibility of the org
• Elevates annual fund potential
• Builds volunteer leadership skills
• Hones skills of development staff
• Solidifies board-admin partnership
• Unites constituencies in common cause

Question 9

Institutional Readiness

Answer 9

Based on an org’s

• Reputation & credibility
• Urgency of the case
• availability & readiness of board/volunteer leadership to solicit
• A solid prospect database
• Operational readiness of office & systems
• Pre-campaign planning

Question 10

Internal Audit

Answer 10

• Organizational Planning (program plans for 5-10 years)
• Board Leadership (recruitment, committees, involvement)
• Administration & Finance (trends, projections, management understanding of the process)
• Development operations(staff audit, procedures, record-keeping, ack profess, research, supporting materials)
• Donor Base (# of donors, demographics, benchmarking)
• Volunteer structure & Involvement
• Public & Donor Relations (org’s image, marketing strategies)

Question 11

Pre-Campaign Activities

Answer 11

• Internal Audit
• Feasibility Study
• Preparation of Gift Range Table

Question 12

Rule of Thirds for Gift Tables

Answer 12

Top 10 gifts = 1/3 of total

Next 100 gifts = 1/3 of total

everyone else = 1/3 of total

Question 13

Phases of Major Gifts Campaign

Answer 13

1. Planning
2. Cultivation
3. Solicitation (both quiet & active phase)
4. Pledge or Fulfillment

Question 14

Major Gift Techniques

Answer 14

• focusing on donors who may be ready to move to larger gifts
• matching donor need with giving opportunities
• strong case/case statement
• personal contact by a peer and senior staff member
• follow-up
• acknowledgement & recognition

Question 15

Steps to Seeking Grant Support from Foundations

Question 16

Elements of the Development Process

Answer 16

1. Developing the case for support
2. Prospect research
3. Cultivation and constituency development
4. Solicitation strategies
5. Acknowledgment and recognition
6. Gifts management

Question 17

How to ensure success while writing a case statement

Answer 17

• Know about or collect organization information
• Talk to everyone
• Know the expectations/interests of the target constituency
• Relinquish pride of ownership
• Rewrite, rewrite, rewrite

Question 18

How a development plan interfaces with all aspects of the or

Answer 18

• Building ownership in volunteers and staff
• Obtaining information required for development planning
• A complete budget and fundraising goal
• Outcome (a written operational plan covering the organizational plan)

Question 19

Factors that impact a development plans success

Answer 19

• Organizations reputation and credibility
• The urgency of the case
• Availability and readiness of volunteers to solicit funds
• Well-researched prospect database
• Pre-campaign planning
• Operational Readiness

Question 20

Types of gift decisions

Answer 20

• spontaneous
• responseive
• deliberately planned

Question 21

3 Primary types of giving

Answer 21

• Annual giving
• Major Giving
• Planned Giving

Question 22

Benefits of Major Gift Campaigns

Answer 22

• Build familiarity with the organization
• Encourage donors to “think big”
• Push annual giving to new levels
• Build volunteer leadership
• Increase the org’s visability among stakeholders and community
• Enable donors to pledge over several years (give bigger gifts)

Question 23

6 Steps to a Model Solicition

Answer 23

1. Build Rapport
2. State case for Support
3. Encourage involvement
4. Summarize benefits & close
5. Be quiet
6. Respond Appropriately

Question 24

Types of Planned Giving

Answer 24

• Outright (current)
• Deferred

Question 25

Steps for starting a planned giving program

Answer 25

1. Board & Staff commit to the concept of planned giving 2. A committee is appointed to study the potential of a program and make recommendations to the board 3. The board adopts a plan and approves guidelines 4. The board approves a budget for planned giving (recognizing it will be a long time before the investment is returned) 5. Training programs for bard and staff 6. Identify prospects 7. Form planned gifts subcommittee within development committee 8. Prepare marketing plan 9. Start a mail-cultivation program

Question 26

Organization advantages of Planned Giving

Answer 26

* Establises a long-term relationship with the donor * Encourages donor to think about gifts of assets in additon to income * Often provides future funds to be counted on * Enhances oppertunties for charitable bequests

Question 27

Donor advantages of Planned Givign

Answer 27

* income and estate tax deduction * fixed or variable income * supplement retirment income * Avoid or lessen capital-gains tax liabilities * increased income compared to other investments * competent mangement of assets transferred as gifts * May allow donor to pass an asset to heir after established peroid of org use

Question 28

Annual Giving Techniques

Answer 28

* Recorded phone messages * Media advertising * Impersonal letter/mass mail (direct mail) * person-to-person * Internet-based appeals * Personal phone call w/ follow-up letter * Product sales email solicitation * Door-to-door * fundraising events * Personal phone calls

Question 29

Elements of a Grant Proposal

Answer 29

* A proposal summary * A problem (needs) statement * Project goals/objectives * Methodology * Evaluation * Budget * Supporting materials requested by grantor

Question 30

Integrated Fundraising Approach

Answer 30

An approach where cases are matched with constituencies and goals are set for each segment and each case or campaign

Question 31

Case for Support Components

Answer 31

* Mission Statement * Goals * Objectives * Programs & Services * Finances * Governance * Staffing Service Delivery * Planning and Evaluation * History

Question 32

Relationship between development plan & strategic plan

Answer 32

Strategic plan is a major source of direction for development plan

Question 33

Benefits of Annual Fund

Answer 33

* Inform, involve & bond constituents to an org * Establish habits & patterns of giving * Provide annual funding for operations & programs (unrestricted) * Expand the donor base by soliciting gifts from new prospects & constituencies * Assist with identification & cultivation of lead & major donors and volunteer leaders * Provide accountability & transparency through regular communications * Offer an annual review or of priorities, case for support, communication * Ensure improvement of cultivation, solicitation, and stewardship practices