If you are going to have a FUNDRAISER, make the most that you possibly can

Posted on April 14th, 2009 in Non Profit Management

One of the things that causes me great concern is organizations that focus all of their fundraising on events. Events are great for growing membership, generating pr, and partnering with the community. They have the potential to introduce you to a new pool of donors. Events are GREAT!
If an event is to be used as a fundraiser, which would mean the purpose of the event was to raise money overhead has to be kept under 20%, ideally 15%. I have seen organizations that routinely have 60% cost associated with an event. Let’s be honest, if you net only 40% how effective is your organization? Once you subtract your overhead of the entire organization how much of what you are raising is going into your mission and how much of every dollar is spent just having an organization.
There are some fabulous ways to further monetize fundraising events. I consider it leaving no stone unturned and no dollar left on the table. To best explain this I read an article about a Fundraising event to be held by the Holliston Education Foundation, a non profit which provides grants and services to the local schools. Their fundraiser is a spelling bee and it raised last year $8,000.
Details on the spelling bee can be found here, apparently they raise money by the entrance fee which is $300. “It’s one of our biggest fundraising events,” foundation board member Beth Sherr said in the article in today’s MetroWest Daily News.
So with 22, three member teams they will make approximately $6,600. Now I do not know anyone involved with the organizations however I would be willing to guess a few tweaks would raise the revenue quite a bit. For example:

Keep cost low be hving space, trophys, awards etc donated.
Sell advertising in the printed program, 1/2 page, 1/4 page, full page, business card sized. Every person participating probably has a loved one or employer who would want to wish them luck or get their name out. The “Joe’s Harware Wishes Bob Smith good luck!” for $100. Again with 66 people participating that is easily an additional $6,600 in revenue for the cost of more paper.
Have commemorative tee shirts, bags, or hats that are available for sale.
Have an awards ceremony dinner where participants are free however friends and family have a charge.
Run a silent auction or raffle with donated prizes during the awards ceremony
Since the event is televised how about additional sponsorship opportunities

These are just a few ideas off the top of my head which do not increase the work for an event much just the revenue. As long as you are going through the work of having an event make it worthwhile. Do not leave any money on the table.

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