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Fundraising 101 for Student Affairs Supervisors

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Kim Signoret-PaarDirector of Development, Student Affairs

November 21, 2008

Fund Raising Is More Than Raising Funds

Fundraising is a vital part of the comprehensive process of “development”

Development is a series of deliberate activities that engage and retain funders in a donor-investor relationship

Development is much more than solicitation as a series of approaches to prospects and donors (direct mail, telefunding, events, etc.) that yield revenues annually

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Philanthropy, Development, and Fundraising

Philanthropic behavior is motivated by values

Development is the process of uncovering shared values

Fundraising is the process of enabling people to act on their values (Grace 1997)

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PhilanthropyPhilanthropy

Based in ValuesBased in Values

DevelopmentDevelopment

Uncovers Uncovers Shared ValuesShared Values

FundraisingFundraising

Enables Enables People to Act People to Act

on Valueson Values

Development Perspective

Organizations meet needs, organizations do not have needs

The focus is on program results, not financial goals

The process of asking and giving is based in shared values

The goal is to engage volunteers and donors at all levels in a process that will convert them to donor-investors

All contributions become investments in the communities served5

Why Do People Give?

The top two reasons people make a charitable gift are…

1. BECAUSE THEY ARE ASKED!

2. THEY BELIEVE IN THE PROGRAM OR INSTITUTION!

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Why Do Corporations and Businesses Give?

1.TO BE GOOD CORPORATE CITIZENS (PUBLIC RELATIONS VALUE)

2.TO IMPROVE COMMUNITIES WHERE EMPLOYEES AND CUSTOMERS LIVE

AND WORK

3.QUID PRO QUO – TO RECEIVE A BENEFIT THAT AFFECTS THEIR BOTTOM

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Development Cycle

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Development as a Cycle

Identification: Looking for Linkage, Ability & Interest Cultivation: Increase involvement, discuss needs &

projects, identify donor intent, match donor’s interests with needs

Solicitation: Ask for a specific amount for a particular need to accomplish a defined project

Stewardship: Recognition, attention, thank you from all levels; inform where and how the money was used (progress reports, scholarship letters, annual endowment reports, etc.)

Our best future donors are our current donors!9

Development Constituents

Students Faculty/Staff Alumni Parents Friends/Volunteers Foundations Corporations

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What is a gift?

A gift is a voluntary contribution where the following conditions must apply:– Funds are given irrevocably.– The donor does not require goods or services in exchange

for the gift.

Corporate donor/sponsor recognition– Not advertising contract

Gifts are subject to 4% administrative fee– Not subject to overhead costs (up to 52%) or Unrelated Business

Income Tax (UBIT)

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Sources of Funding

Individuals 75.6%Foundations 12.4%Bequests 7.8%Corporations 4.3%

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Development Methods

Direct mail Telemarketing Personal solicitation Written proposals/grants Special events Planned giving

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Planned Planned GiftsGifts

Major GiftsMajor Gifts

Repeat/Upgrade DonorsRepeat/Upgrade Donors

Participation/Annual DonorsParticipation/Annual Donors

Siz

e of

Gifts

Siz

e of

Gifts

Number of GiftsNumber of Gifts

Face-to-FaceFace-to-Face

Estate PlannersEstate Planners

Face-to-FaceFace-to-Face

Personalized LettersPersonalized Letters

Personalized Personalized LettersLetters

Special EventsSpecial Events

Face-to-FaceFace-to-Face

Direct MailDirect Mail

TelemarketinTelemarketingg

Local/Annual Local/Annual EventsEvents

The Importance of Stewardship

Donors expect to be THANKED Donors like to see assessment and

accountability measures built into projects Corporate/Foundation program officers want

to take materials back to their board members

Current donors are our most likely future donors!

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UC San Diego Giving Societies

Chancellor’s Laureates                        This giving society honors UCSD's most generous donors, who have given $1 million or more, cumulatively, to the university. Formed in 2002, the Laureates meet annually for special recognition events hosted by the Chancellor.

Alumni FoundersFormed in 2003, Alumni Founders recognizes the first 50 distinguished alumni who have given $1 million or more, cumulatively, to the university.

BenefactorsThis group has provided leadership support to The Campaign for UCSD: Imagine What's Next through commitments of $100,000 or more during the life of the campaign.

Legacy SocietyFormed in 2004, this society recognizes and thanks those alumni and friends who make a future commitment to the university through charitable annuities, life income agreements, bequest intentions, or other planned gifts .

Chancellor’s AssociatesChancellor's Associates is a premier group of donors who are recognized for their annual leadership gifts of $1,500 or more to be used at the Chancellor's discretion to fund the univerity's greatest needs.

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How Can the Student Affairs Development Staff Help?

Creation of web online giving Assistance with Gift Processing Gift Acknowledgement Donor Recognition Donor Data Management Gift Proposal Writing & Solicitation

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Donor Identification

When you identify a prospective donor or want to work with a current donor, please call us

The Student Affairs Development Office has a process to assist you

With you, we will plan a strategy to bring your funding initiative to the donor’s attention

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Programs & Projects That Get Funded

Meet a demonstrated need, part of unit’s mission Have prospective donor constituencies Have qualified staff to manage Have built in assessment and measurable

objectives Leverage other funding sources Have strong partnerships and collaboration Can be replicated, but do NOT duplicate Model programs

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To Increase Probability of a Gift

Communication– University & External Publications, website,

newsletters, letters– Story ideas always needed!

Engagement – Involve donors and prospective donors

through volunteer activity, focus groups, activities

– Advisory Board - caution

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Engagement & Stewardship of Scholarship Donors

Hearts & Scholars Dinner– Underwritten by Undergraduate

Scholarship Council & Student Affairs

Fiesta de las Estrellas Alumni Scholars Reception Alumni Awards of Excellence Campus, Alumni and Special

Events and Receptions Publications & Website

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Stewardship of other Student Affairs funds

Stewardship model – Fund use– Reporting– Engagement

Unit examples– Intercollegiate

Athletics– ArtPower!

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Students – investing in the future!

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