Funding
Funding and Fund raising: Remember money does not grow on trees. Even if a ‘donation’ is made to a programme or activity, it is done with an objective in mind – sometimes simply to get good karma. This is critical to understand when we approach a potential sponsor – why is he donating? What advantages can they obtain? What PR milage can they receive from the act?
It is equally important to maintain professionalism, within the NGO, to build adequate trust with the poptential sponsor or donor. Transparancy, accountability, communication etc. should be an integral part of the NGO. A good strategy is to create a working advisory group for each project or activity. This group will have two types of members – strategic members, who will give weight and legitimacy, (and will also bring in key non-financial resources) to the activity, and financial members who will make the actual contribution, based on the strength of the strategic members!
Fundraising plan
The fundraising plan includes efforts for exploring local avenues within the country, no matter how big or small the size of the prospective funding is, but should be only governed with the long-term sustainability factor. Considerable potential exists in community-based marketing approaches, collaborations with private sector, utilizing non-financial voluntary contributions and collecting individual donations. Several experiences and practices have taken place across the sub-continent, where NGOs are able to generate sources of income over a long period of time and at the same time, provide value-added services to the community in a sustainable fashion . A constant study and exposure to these efforts can earn valuable ideas and tap opportunities for NGO development.
The Objectives of a Fundraising Plan
The objectives of a fundraising plan can be:
- To explore and initiate resource mobilization activities at local and global-level for long-term organizational sustainability.
- To reduce dependency on foreign donor support and increase local opportunities for generating funds.
- To understand, develop and implement community-based marketing and entrepreneurship development approaches.
Fundraising Material
Organizational material is often considered to be the tools for raising funds. However, this has to be planned professionally, designed effectively and has to remain visually attractive. Brochures, calendars, greeting cards, posters, websites etc can be developed with appropriate messages. It is important that the fundraising material focuses on sensitive case studies, success stories and organizational achievements. NGOs may decide upon the kind of material they need to bring out and can be designed effectively. However, the cost recovery factor needs to be kept in mind here.
Communications and Appeal Letters
This task involves contacting and corresponding with both donor agencies as well as individual donors. Small donations can be received from individual donors inside as well as outside the country. A list of such individuals, especially from the Diaspora (which developing countries usually have to a greater extent), can be drawn up and contacted with appeal letters. Donors can be updated with organizational information and regular correspondence can take place.
Events, Workshops and Exhibitions
These have been identified as potential sources of income generation either through donor agencies or through the collection of individual registration fees. NGOs can jointly plan out events and request donor support and/or collect registration fees.
Collection Boxes
Collection Boxes can be used at various points to receive small donations, giving clear and positive messages on welfare and development. The boxes need to be designed well and must be placed at potential spots.
Consultancy Services
NGOs can begin offering expert services in social development such as conducting research surveys, studies, assessments and evaluations to donor organizations, government and academic institutions. For this, a list of experienced staff members and their available expertise can be developed and presented to potential clients.
Private Sector Collaboration
Working for a social cause is becoming increasingly popular in the private sector, especially among the private companies, banks and schools. The NGOs can start tapping collaborations where in private agencies are ready to share their resources for community development activities. Also, the long-term business collaborations, such as banks for micro-finance and insurance companies for micro-insurance, can be beneficial. Private agencies can be listed out and corresponded/contacted and meetings can be organized to initiate collaborations.
Voluntary Support
Volunteers especially from abroad can be a good resource to raise funds and provide other forms of support including documentation and promotion. Their assistance can be sought by contacting them via internet.
