diversifying your income

Diversifying your income

Tuesday 8th November 2016Lynn Kennedy, Fundraising Advice OfficerSandra Bailie, Head of Organisational Development

Objectives• Introduction to fundraising planning• Review current fundraising activities• Identify new ways of generating income• Overview of Code of Fundraising Practice

Exercise – where is your fundraising now?

Fundraising 101

What is a Fundraising Strategy?A fundraising strategy is a plan that sets out the funding need for

an organisation, project or event, alongside…..the identified actions, timescales and possible funding resources

to meet this need.

5 Minute Video https://www.youtube.com/watch?v=s3oVbU5A9Zs

“Developing a Fundraising Strategy Training”(NICVA - 2nd February 2017 10 am to 1 pm)

http://www.nicva.org/event/developing-a-fundraising-strategy-0

The Key Fundraising Principle

“The process of fundraising is the same for all groups but the mechanisms and scale are different”

Tobin Aldrich, Director of Communications and Fundraising at WWF, UK.

Proportional & Appropriate

Unique Selling Points (USPs)

• What is unique about your organisation and its work?• What do you do differently/better than anyone else?• Does everyone in your organisation know your USPs?• Do you communicate your USPs to all stakeholders?

Key Information

• How diverse is your income now?• Are you currently meeting fundraising targets?• How successful are your current

techniques/methods? ROI?

Reviewing your current funding sources

Market Share

Mar

ket G

row

th

High Low

Hig

hLo

w

Stars

Cash Cows

Question Marks

Dogs

What are your fundraising resources?

People ICT

Finance Comms.

Four income streams

http://www.ncvo.org.uk/practical-support/funding

Gifts Grants

Contracts Open markets

Fundraising Methods

Fundraising

Community

Individual Giving

Corporate

CrowdfundingGift Aid

SchoolsCampaignsGroupsEvents

Social Enterprise

Earned Income

Grants

Social Finance(Loans)

CommunityShares

One-offsCommitted Major DonorLegacy

VolunteeringSponsorshipEventCharity of the Year

Grants (Funders)

Finding funders…

https://www.grant-tracker.org

Contracts (Purchasers)• Tenders taking over from SLAs & grants for govt.

depts., agencies & arms-length bodies • Based on commercial principles (M.E.A.T)• Pros – cover full costs+potential for profit, better

cashflow, less monitoring and evaluation and helps diversify funding base

https://etendersni.gov.uk/epps/home.do

Open market (Customers)• Selling products or services or charging fees• Trading can directly further your mission or be

solely to generate profit. • Any surplus income is unrestricted.

www.socialenterpriseni.orghttp://www.hmrc.gov.uk/charities/tax/trading/subsidiary.htm

Gifts (Donors)• Community • Individual Giving• Corporate

Other sources of funding1) Social finance (Loans)

– UCIT http://www.ucitltd.com/#loans– Videohttps://

www.youtube.com/watch?v=KcHE6ejshDU&feature=youtu.be– Charity Bank https://charitybank.org/– Trust & Foundations e.g. Ulster Garden Villages

2) Community Shareshttp://www.coopalternatives.coop/

Gift Aid – Don’t Miss Out!• Maximises value of donations (25p in the £)• Covers money donations by individual UK

taxpayers (not companies)• Charities or CASCs only• Gift Aid declaration neededhttps://www.gov.uk/claim-gift-aid/overviewhttps://www.gov.uk/government/uploads/system/uploads/attachment_data/file/467898/Charity_GAD_Single_Donation.pdf

Online Giving

JustTextGiving by Vodafone

http://reasondigital.com/advice-and-training/ten-uk-charity-fundraising-websites-compared-2015/

Localgiving• Only not-for-profit online giving platform• Free membership for NI charities for one year• Offers #GrowYourTenner & other match funding

campaigns• One-to-one support, training and advice • Automated Gift Aid

https://localgiving.org/rdp/northern-ireland/

Code of Fundraising Practice

“The principle of self-regulation is to allow individuals and fundraising organisations to demonstrate best practice, eliminate poor practice and increase public trust and confidence in the voluntary and community sector”.

https://www.fundraisingregulator.org.uk/code-of-fundraising-practice/code-of-fundraising-practice/

Review of Objectives• Introduction to fundraising planning• Review current fundraising activities• Identify new ways of generating income• Overview of Code of Fundraising Practice

Useful fundraising links• NICVA: http://www.nicva.org/training• Directory of Social Change (DSC): https://www.dsc.org.uk/• The Guardian Voluntary hub:

https://www.theguardian.com/voluntary-sector-network• NVCO: https://www.ncvo.org.uk/practical-support/funding/• UK Fundraising: http://www.fundraising.co.uk/• SOFII: http://sofii.org/• Institute of Fundraising:

http://www.institute-of-fundraising.org.uk/home/• Volunteer Now: http://www.volunteernow.co.uk/

Useful fundraising links contd.• Charity Digital News: http://www.charitydigitalnews.co.uk/• Database Example - Raisers Edge https://

www.blackbaud.co.uk/notforprofit/fundraising-crm/products/the-raisers-edge

• Social Enterprise NI: http://www.socialenterpriseni.org/• Social Enterprise Hubs (11 across NI)• https://www.nibusinessinfo.co.uk/socialenterprisehub• Local Giving NI https://localgiving.org/rdp/northern-ireland/• Will to Give: http://willtogive.org/

Fundraising Advice Service

Tel: 028 9087 7777lynn.kennedy@nicva.org

@nicva_FRAdviceFundraising Advice NICVA

www.nicva.orgwww.grant-tracker.org