Issue 33
January 13, 2005

NEWSNOTES is a monthly email newsletter published by Nonprofit Enterprise at Work. It includes items of interest to the nonprofit community in Washtenaw County and the surrounding areas, as well as resources available at NEW. Encourage your friends and colleagues to join over 485 other NEWSNOTES subscribers!

NEW would like to recognize the generous support of its Community Partners:

IN THIS ISSUE

LEAD STORY

The Ties that Bind: Effective Donor-Retention Strategies

Reprinted with permission from Nonprofit Agendas, June/July 2004 , a publication of KDV, a business advisory and CPA firm in Minneapolis, Minnesota.

Many not-for-profit organizations operate on the theory that the greater their needs and the more passionately they present their cases, the more support and money they’ll generate. The forgotten element in this theory is an understanding of the donors’ – as well as the organization’s – needs.

How can nonprofits motivate donors to give again and again? In today’s tight economy, keeping donors loyal is vital. Here are some suggestions that may help you acquire and retain donors.

Thank All Donors

When people give money, they want to feel involved and appreciated. Acknowledge all donations quickly – within a few days, if possible. Because we have become accustomed to instantaneous response and feedback, timeliness today means doing it immediately.

A simple letter or phone call builds loyalty. Try sending handwritten notes with your newsletter. This tells donors that their contributions are important and meaningful to you. For large contributions, have two or more of your board members send notes. Or invite donors to lunch or breakfast, a relatively inexpensive way to thank them.

Tell Them How They Helped

Stories about the lives changes – or even saved – by your organization provide the most persuasive appeals to donors. But stories about volunteering and giving can have an equally meaningful effect.

As donors learn more about the tangible and intangible benefits of giving, they are more likely to give and keep on giving.

Make Follow-up Calls

Think of a recent situation in which you were a frustrated donor. What did you need that was missing? Perhaps your name was misspelled or your address was wrong. Maybe the charity left you off its donor acknowledgment list or neglected to invite you to its major fund-raising event.

Develop the habit of continually asking donors for feedback, and take that feedback seriously. Donors want sincere apologies when warranted and reassurance that you’ll fix problems so the difficulties won’t recur.

Nurture Donor Relationships

Building long-lasting ties with your donors means developing mutually respectful relationships that both parties value. Some nonprofits neglect to develop a connection with donors, mistakenly assuming that a new crop is waiting to take up where old ones left off.

In reality, getting donations is an ongoing process of listening to donors, involving them in the organization and receiving their permission to solicit them again. The more connection donors feel to an organization, the better the chance they will remain loyal to its cause.

Communicate with your donors, and ask them how they might want to become more involved. Learn what keeps them interested in your organization. Can you share news about a program of interest to your donors? Can you invite them to upcoming events? These provide opportunities for contact throughout the year and keep your organization on donors’ minds. If they know that someone in your nonprofit knows them, they’ll be more likely to give when asked.

Understand Donor Needs

Keeping donors loyal to your organization involves understanding their needs. Donors want to be appreciated and acknowledged, and your nonprofit will benefit if you become adept at doing this.

Learn what donors want to hear and tell it to them. Communicate with them to keep the door open for continued giving.

FEATURED ITEMS

Spring Workshop Series

The Spring 2005 Managing for Nonprofit Excellence workshop catalog should arrive in your mailbox soon. All information is also available at NEW’s website. Scholarships are available to qualifying nonprofits; applications are due Monday, February 14. Check eligibility requirements and apply online.

Fundraising continues as the theme for the spring term. Take your organization to the next level with skills acquired at workshops on endowments, planned giving, and the inner workings of foundations. Encourage volunteers, board members, and staff to register for one or more of over 60 sessions taught by knowledgeable professionals.

Save Monday, May 23, 2005 for a special event: a full day featuring Peter
Brinckerhoff, an internationally known trainer, author, and consultant to nonprofit organizations. Nonprofit Stewardship is the title of his newest book and will be the theme of the day. Peter will explain how to think and act like a steward and give us specific applications to benefit our organizations and customers. Register online for this program and all other workshops.

Leadership²Go: Part Two of The Fundraising Machine

NEW’s Leadership²Go Series for executive directors presents the 2nd half of a two-part series on fundraising management. Part 2: Preparing for Breakdowns will be offered on Friday, February 4. Part 1: Building the Engine was held in early December.

Partner with your colleagues to share your experiences in overcoming the inevitable bumps in the fundraising road. In Preparing for Breakdowns we will confront the challenges of funder and donor relations, emergency gap-filling, how to make the case for overhead expenses, and other thorny issues.

All executive directors are invited to join us for these round table discussions at:

The NEW Center
1100 N Main St, Ann Arbor
Friday, February 4, 2005, 8:30 a.m. – 10:30 a.m.
$10 - Continental breakfast provided

Executive directors register today.
Save the date of April 22, 2005 for the next Leadership2Go session.

NEW gratefully acknowledges Dykema Gossett, PLLC for their generous support of the 2004-2005 Leadership2Go Executive Director Series.

Ann Arbor Area Community Foundation Grant Deadlines

Contact AAACF’s Martha Bloom (734-663-2173) before submitting an application to any of the following programs. More information is available on the foundation’s website. Applicants are encouraged to use the new online application form (see featured item below).

February 2 Deadline:

General Grantmaking Program. There will be only one grant cycle in 2005. The next chance to apply will be February 2006. This program accepts applications for projects focusing on education, social service, the environment, culture, community development, or health and wellness. In addition, the foundation has the Capacity Building Grant Program, which aims to strengthen organizations to improve service delivery.

February 9 Deadline:

Youth Council grants. The Foundation's Youth Council, comprised of teenagers from local high schools, awards grants from a separate endowed fund. Their grants focus on issues and problems relating to young people in our community.

March 2 Deadline:

Letter of intent for the African American Endowment Fund Grant Program. This fund provides grants to improve the physical, economic, social, and educational conditions of African Americans in the Ann Arbor Area. Selected organizations will be asked to submit a complete application.

Community Grants Online Application System

NEW is pleased to announce the first round of computer training for the Community Grants Online Application System. This system will enable agencies to submit grant applications online to the following Washtenaw County area funders:

Ann Arbor Area Community Foundation
Community Development - City of Ann Arbor
Community Development - Washtenaw County
James A. and Faith Knight Foundation
Pfizer Global Research and Development
Washtenaw County Human Services and Child Well Being

The first online grant application available through this system will be for the Ann Arbor Area Community Foundation (February 2nd deadline). Applicants must pre-register for trainings to take place the afternoons of January 14, 21, 24, and 25 at Washtenaw Community College. Please visit NEW's website for more information and to register.

Michigan Nonprofit SuperConference 2005

The Michigan Nonprofit Association (MNA) has announced preliminary plans for this year’s annual conference. Sustaining Mission is the theme -- combining the best elements of the Grantmakers-Grantseekers Conference and the Volunteerism SuperConference into one outstanding event. It will be held June 13, 14 and 15 at the Hyatt Regency in Dearborn. The conference will provide three days of learning, networking, and renewal for nonprofit leaders.

Features of this year's SuperConference include:

• a preconference day on June 13 co-sponsored by the Association of Fundraising Professionals, Greater Detroit Chapter
• outstanding keynote speakers, including long-time White House bureau chief Helen Thomas
• over 40 foundation representatives for roundtable discussions
• 40 nonprofit workshops covering a variety of topics, including an advanced track for more experienced leaders
• resource exhibits, bookstore and a cyber cafe

Consider being a presenter at the conference. Find the list of possible workshops and an application form on MNA’s website. The deadline for submitting an application is January 24. Please contact conference coordinator Mike Corbin (888-242-7075, ext. 2412) with questions.

MNA's Leadership Programs – Deadlines Extended

MNA's Emerging Leaders and Executive Leadership Fellows programs have extended their deadlines for application.

Emerging Leaders: applications are due Wednesday, January 18.
Executive Leadership Fellows applications are due Monday, January 24.

Find more information and applications at the online links above or contact Robin Lynn Grinnell with any questions.

Public Policy Forum – Michigan's Ongoing Fiscal Crisis

The Michigan League for Human Services is sponsoring a public policy forum on Friday, February, 18 to address Michigan’s Ongoing Fiscal Crisis: Six Years and Counting. This 2-hour meeting from 10 a.m. to noon in Lansing will provide an overview of the Fiscal Year 2006 executive budget and provide information about the impact of the state’s structural deficit on state programs and services. See the League’s website for a registration form.

Community Based Learning Project Fair

The Ginsberg Center for Community Service and Learning, Arts of Citizenship , and a host of other community-engagement initiatives at the University of Michigan will hold their third annual Project Fair on Tuesday, March 15, 2005. “Working Together for Change” will feature the many ways students and faculty of the University of Michigan engage with the local community. Over seventy projects were highlighted last year. Contact Syreeta Jemison of the Ginsberg Center if your organization has a project to share.

Legal services Offered in East Lansing

The newly-formed Small Business & Nonprofit Law Clinic at Michigan State University College of Law is now open for clients. Third and fourth year law students will counsel nonprofit organizations on such issues as incorporation, licensing, dissolution, contracts, and leases. All work is carefully reviewed by law school professors. See their website for services and fee schedules. Contact the clinic’s director, Nicole Dandridge, (517-337-4518) for more information.

NPower Michigan Tech Inventory Day

NPower Michigan is organizing a FREE day of service event called Tech Inventory Day. It will take place on Saturday, March 12 and will involve community volunteers who can help nonprofits assess the strength of their technology assets and gauge if they have what is needed to better achieve their missions. All 501(c)(3) nonprofits (except schools and places of worship) in the Metro Detroit area are eligible to participate. This event can help nonprofits get started on building a Technology Plan tailored to their needs. For more information contact Wendy Ernzen (313-237-8155) or toll free 1-866-41Npower.

IRS Service Center for Tax-Exempt Organizations

The IRS has a website featuring information specific to Charities & Non-Profits. An FAQ section may have the answer you are looking for, but don’t hesitate to call the IRS Service Center in Cincinnati 1-877-829-5500 and choose the “exempt organization” options to talk to a real person.

Reminders

Junior League grant applications are due January 31.

REGULAR FEATURES

Nonprofit Bulletin Board

Visit NEW's Nonprofit Bulletin Board to post and view notices about free resources, fundraising opportunities, and other items relevant to the southeast Michigan nonprofit community.

Events Calendar

Ann Arbor Area Convention and Visitors Bureau calendar of events. E-mail Nick Miller to request a password to submit an event.