Raising Money in a Down Economy

Eek! It seems like every tech vendor has a marketing piece these days about how we should spend more $$ on tech to raise money in a down economy. One vendor most recently argued that it is perfect time to get that integrated donor management solution and get more targeted asks out there, "fast"!

Well, if you are desperate, maybe fast is your only option. Then all you have left is to choose between cheap, or good. That's not a great place to be when overhauling your critical information management systems.

I would argue that a thoughtful evaluation of existing systems can often yield substantial bang for the buck, while leaping into new systems is fraught with peril. Five strategies that have worked for me in past down cycles:

(1) Talk to your networks. Revisit with your friends and close connections to reinvigorate opportunities on hold, or to discover new collaborations going forward. Call people!
(2) Reach deep into your contacts: Mail lapsed donors. Contact past clients. Reintroduce yourself to folks that have fallen off your radar.
(3) Increase internal collaboration: Discuss with staff opportunities for engagement that may reach across departments such as development, membership, volunteer management, etc. Are there collections of contacts that have fallen through the cracks?
(4) Avoid the "Hail Mary" project: A radical change in systems or focus is adding a lot of unknowns, work and risk in an already uncertain time. Examine your strategies based on longer term trends and in general, stick to what works.

Which leads me to #5. One recent donation solicitation I received had a picture of a crumbling office building, and staff outside with tattered shirts. Having recently visited them, I remembered that everyone seemed to be well clothed. I called them anonymously, and asked about the photo and whether they were accepting donations of used clothes for the staff. They assured me that all was well internally, and that it was the "cause" that is losing its shirt in this economy. I wondered out loud if maybe illustrating the cause might have been a better way of fundraising for it...

(5) Try not to sound desperate: Continue to solicit dollars based on the great work they will support.