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Why is it hard to ask for money?

by Social Edge last modified 2007-07-06 12:41

Hosted by Kim H. Erskine, Philanthropic Advisor, University of Oxford’s North American Offices (November 2006 - Closed)

hardtoaskformoneySo You’re Afraid to Ask for Money

By Kim H. Erskine, Philanthropic Advisor, University of Oxford’s North American Offices

“I could never do that!”

“I’ll do anything but ask for money.”

Those of us who do various forms of fundraising hear these comments a lot, but when the head of a non-profit organization said this to me, I realized it was worth looking into.

There are many reasons why people are afraid to ask other people for money, including the fear of someone saying “no” or of finding out that the person doesn’t want to support the cause. Another common roadblock is timing. A friend of mine describes “the ask” as awkward. He would rather take the time to tell the prospect about the cause and why he’s interested, but he hates flat out asking.

Just as there are many people who are afraid to ask for money, there are others who actually like fundraising. These people have developed different attitudes toward asking people for money. The best fundraisers I know realize that “the ask” is not about them. A “no” is not a statement about self worth. By asking people to help a cause, these fundraisers feel they are offering the opportunity for others to invest in the project.

They are helping people become philanthropists. This work does not come out of a scheme to get money, but rather out of a belief in the project or organization the fundraiser is working to support.

Another reason some people actually enjoy fundraising is that asking for money can also be about developing relationships. Once you realize that you are not asking for money for yourself, you can spend your efforts introducing the prospects to your organization. At the same time you are developing a relationship with them. People give to people. Donors are the people who feel a part of your organization and want to support the cause.

When making introductory visits and calls it is very important that you are upfront with people as to why you are calling. If the prospect is aware of the purpose of your visit, some of the awkwardness of the conversation is eliminated. For example, “I’m calling from ABC Organization and I would like to come to talk with you about our plans and about your involvement / support of them.”

By using an opening line like this you can weed out those who are not interested without putting a lot out there. You will know that the people you are meeting with are interested in your organization.

You might not be able to figure out why you feel uncomfortable about fund raising, but the more committed you feel about the cause, the less difficult it is. Dig deep and appeal to the philanthropist in yourself. Help others see and buy into your cause.

When first time donors are asked why they made their first gift, many times their answer is “I was never asked.”

Questions? Comments? Join in the conversation.


Keely Stevenson - Nov 7, 2006 4:55 pm (# Total: 25)
Acumen Fund

remote asks

Thanks for hosting an important discussion.  It is a great topic-- something that I find hard to do actually.  As part of the training for the Acumen Fund fellows, we have to raise US$10,000 this year.  We will be living in developing countries and will have to do much of the "asking" remotely...through phone and email.  Any tips on how to establish relationships for fundraising well when not face to face?  Especially if we do not have an existing network of potential donors now?



goalguy - Nov 7, 2006 6:04 pm (# Total: 25)
Marc A. Pitman

re: remote asks

Kim: Great discussion!

Keely: Are you planning on starting to raise the money before you go? Or will all of it be raised remotely?

Marc Pitman



mfidelman - Nov 7, 2006 6:22 pm (# Total: 25)
Center for Civic Networking

re. remote asks

It sort of depends on what you're going to be doing while living in developing countries. If the work is sexy, or can be made sexy through good photography and reportage, then you might consider maintaining a blog that gives a running commentary on your work - and, of course, include a visible request for support, and an easy-to-use donation mechanism (e.g., PayPal or Amazon). You'll need to do some work to get the word out - but if you can capture and hold a reasonably sized audience for your work, $10,000 is a pretty small amount to raise.

Miles Fidelman


phdgmourey - Nov 7, 2006 7:17 pm (# Total: 25)

In case

Hi keely:re. remote asks

The warp speed 7 way to raise money in your case?:

http://www.fundable.org/examples (interesting)

http://odeo.com/about (join for free, do a podcast and see what does happen)

http://www.fundraiserhelp.com/free-fundraisers.htm

Au revoir

Pascal Gillon infogatherer.com


Kim Erskine - Nov 7, 2006 9:26 pm (# Total: 25)
Oxford University - North American Office

Re; Remote

Dear Keely; 

First of all good luck!!  And you might think that raising money is about you but it is really about the project you are working on.  Really great suggestions about getting the word out there, blogs, podcasts etc.  The more you can involved people in what you are doing the more they will want to support your efforts.

If you are like me and challenged by blogging you might want to think about starting a "newsletter" which you can send via e-mail to everyone you know. it might be dailiy, a couple of times a week, weekly or monthly, depending on your own style.  You might give people the option to opt out, but you never know who the people you do know know.  Someone may have a conversation that resonates with something you wrote and pass along your newsletter, and the new person might just be interested.

Also you may wish to think strategically about building your contact base.  You have already added 4 new contacts from here. You might also be interested in checking out a networking site.  www.linkedin.com has worked really well for me in identifying people who may have an interest in what I am doing.  It relies on people introducing people they know and respect to others with in their network. Check it out.

Hope this helps.

Kim



tutormentor - Nov 8, 2006 7:19 am (# Total: 25)
Cabrini Connections Tutor/Mentor Connection

Using Linked In

I've been doing fund raising for the non profit I lead for the past 14 years. While I believe passionately about the cause, I get paid from the money I raise, which always makes me feel a bit guilty in asking. Many people seem to think that charities should be led by full time volunteers who don't get paid and mysteriously raise their families on no income.

I come from a corporate advertising background in which we used weekly print, radio and TV to tell about 20 million people that we had merchandise they might want as affordable prices and at stores near them. Those who were looking for tires, shoes, jeans, etc. and lived near one of our stores were likely to respond if we kept sending ads every week, and if we lived up to our promises when they came to our stores.

This is a direct exchange of goods and services for customer support. I've applied this same thinking in building a database of more than 12,000 people, and an Internet network of many thousands.  By telling people of our services and pointing to web sites that show what we do, we're advertising for customers (donors and volunteers). This has helped us raise over $4.2 million over 13 years. 

Yet unlike a business who keeps a customer once that customer begins to shop at his store or buy his services, the non profit donor keeps changing his mind about where to give and how much to give, based on social/emotional factors not related to the quality of my products or the location of my non profit. Thus, each year we constantly need to find new donors to replace retired donors. This is what makes the work frustrating.

Most of the fund raising guides I've read show that volunteers need to be the ones raising money, and making the asks, not the paid staff. One reason may be that volunteers have no personal gain (salary) from the process.  Thus, I've built a network of volunteers who are involved in telling our story and expanding our base, and I support this in a variety of ways.

Since I'm always looking to expand this network of volunteers and donors Kim's use of Linked In is of interest. Can  you describe how much time you spend on Linked IN and what steps you take to find potential contacts? 

 



Kim Erskine - Nov 8, 2006 9:13 am (# Total: 25)
Oxford University - North American Office

LinkedIn

When I first heard about LinkedIn I was hesitant to join... I was not sure it wouldn't sap all of my time!!! I love to fiddle!! But when someone I really respect asked me to join I signed up. I had it scour my outlook contacts for those already on... There were quite a few. I also invited several people who joined.

Now when I am looking for funding in a specific area... say Biomedical engineering I just plug in a few keywords and get a listing of folks who have an interest in this area. Also people who are angel investors and philanthropists also list themselves as that. If appropriate I will follow up with the person thorough my other connections.

I has proven itself to me.


Keely Stevenson - Nov 8, 2006 9:41 am (# Total: 25)
Acumen Fund

good advice

Thanks-- that was all good advice.

There are 7 fellows and we will be working on pretty exciting projects realted to social enterprises... for example, I am working in Tanznaia with a social enterprise called AtoZ which is making 7million long lasting bednets to prevent malaria.  There are some distribution challenges on how to get the products out to the market in a sustainable way. 

I will try to use photos and video as a good tool and market it through the blog and newsletter options...

Thanks for your help! 



Patrick O'Heffernan - Nov 8, 2006 4:09 pm (# Total: 25)

very intereting use of LinkedIn...and why not

Most of my professional friends are in LinkedIn for job and sales contacts. Most of NPO friends are in Omidyar and Care2 for fund riasing contacts. Working with people in your networks, een if you don't know them personaly (you soon will) makes it easier to ask also.


goalguy - Nov 9, 2006 12:10 pm (# Total: 25)
Marc A. Pitman

re: remote asks

Keely,

The photos and video will definitely help you tell the story!

You may find some helpful info in the "ask" section of my blog:

http://fundraisingcoach.com/blog/category/asking/



Keely Stevenson - Nov 12, 2006 7:02 pm (# Total: 25)
Acumen Fund

nice blog goalguy

goalguy,  i luv the blog and passed it onto some friends.  thanks for the link.  I especially liked the Aug 23 entry on using stories.

also, Kim, good news:  I went to a party this weekend and made a few "asks" which were successful.  Closer to my goal already.  



tutormentor - Nov 13, 2006 8:49 am (# Total: 25)
Cabrini Connections Tutor/Mentor Connection

Goal Guy - Rainmakers

Thanks for pointing us to your blog.  Lots of good advise.  I'd like to expand on the concept of rainmakers. 

Traditionally, this concept is applied for building business or raising money for your own company or non profit.  Those organizations with exceptional rain-makers do very well. The others don't. 

In the competitive, for-profit world, this is just fine. However, in the non profit world, this means some charities doing needed work in some locations are well funded, as long as the rainmakers stay involved, while others doing similar work in different locations, may not be funded at all.  This means the people who need these services in some places are not likely to get them because the non profit is not good at recruiting rainmakers.

I posted a message on my blog last week that is intended to teach corporations to "adopt neighborhoods" rather than just schools, or single agencies.  http://tutormentor.blogspot.com/2006/11/principal-for-day-should-focus-on.html

I use maps to point to all of the places in Chicago where tutor/mentor programs are needed, based on demographics of high poverty and poorly performing schools. I provide an on-line data base of existing programs, that you can search by zip code, to determine what programs exist in the areas of high need. The goal is to draw donors to all programs, not just one or two with good rainmakers.

I use my blog, and a conference that I host every six months (http://www.tutormentorconference.bigstep.com) to inivite program leaders and those who care about tutor/mentor programs, or who want to end poverty, or improve their workforce, to come together and think of ways they could increase the pool of money available.

In this concept, I'm trying to recruit rainmakers who don't focus on a single program, but instead focus on many program within the same geography.  At http://www.lend-a-hand.net you can read how lawyers and judges in the Chicago Bar Association are beginning to take this role. Since 1995 this group has awarded more than $500,000 to one-on-one tutor/mentor programs in Chicago.

My goal is to recruit others who will blog this concept during the next six weeks, with a goal of recruiting more rainmakers who will focus their ability on funding all programs doing needed work in a city, not just the one or two programs they support.

My vision may seem a bit crazy, but it's beginning to have an impact.  If we can recruit champions from every industry, who each duplicate what's happening in the Chicago Bar Association, we can increase the flow of resources into tutor/mentor programs in every neighborhood, and keep that flow more consistent so that over time, these programs have greater impact on helping kids to careers.

I believe this concept can be duplicated in every city, and every social sector. It just needs someone to build and maintain a master database of everyone doing similar work, so that rainmakers can shop and choose who to help based on where the need is greatest, and who is doing this work.



tutormentor - Nov 13, 2006 1:24 pm (# Total: 25)
Cabrini Connections Tutor/Mentor Connection

Telling the story via YouTube

One of our volunteers has created a video that interviews tutor/mentor program leaders who have participated in Tutor/Mentor Conferences in Chicago. You can view it at http://www.youtube.com/watch?v=f8pqrFrhjUc



surya prakash.Vinjamuri - Nov 14, 2006 6:50 am (# Total: 25)
Life-Health Reinforcement Group

WYWTD is WYWBA

WYWTD is WYWBA - meaning > What You Want To Do  is What You Will Be Assured

Its seventh year of my work from the organisation I initiated - Life-Health Reinforcement Group.

The above statement comes from the experience I gained.

Initially for the first three years I just hesitated to ask,reasons:

  1. As I felt the money I get/recieve is the money earned and it has to be used in such a way that yields results.
  2. My organisation when it entered many established NGO's were trying to withdraw.
  3. I didn't have needed completion time for getting elgibility such as FCRA.
  4. Being from Medical profession many felt I was wasting time.
  5. When I needed many had lot's of reasons for not supporting.
  6. I was not falling under stated categories of funding - such as issue based,context based........... as my organisation was trying to understand - why so many resources around, why people are still suffering for want of basic needs?
  7. None of my family members or known assosciates had taken up social intervention as purpose of Life.
  8. SO, initailly until and unless you demonstrate (in my case) you will not get needed response.

These are my quick thoughts emerged out of the subject initiated by Kim.

I should say my hesitation costed many things -

  1. I had to borrow to do what I wanted to do.
  2. I couldn't support my family.
  3. I had many situations, which I could have avoided, but still - I couldn't come out because of passion what I am doing and thus inability to come out of it.

So, I learned hard way and I stand by what KIM made it straight in his introductory remark -“I’m calling from ABC Organization and I would like to come to talk with you about our plans and about your involvement / support of them.”

Today I started asking and I am able to move forward.

So - ASK if you want to SERVE for life.

 

 



Kim Erskine - Nov 14, 2006 8:53 am (# Total: 25)
Oxford University - North American Office

Thanks for your story Surya

What a great story.  Many people hide behind excuses, fears, and ignorance, instead of just going out and doing, and many just don't even know where to start... They can face hard lessons, as you have done.  I am sorry you had to go through those, and I wish you all the success in your endeavor.  Hopefully by talking about the process we can help others move through the process of feeling more comfortable with the ask and out to the other side quicker.  In this area as in so many others, knowledge is power...

Kim



surya prakash.Vinjamuri - Nov 16, 2006 1:06 am (# Total: 25)
Life-Health Reinforcement Group

Continuation of WYWTD is WYWBA

Kim,

Knowledge I do agree has the power but I realized power has more value if beholders understand that " Life we hold now may not hang for long" as being said by one of my well wisher yesterday - "prakash just imagine 100 years from today none of us here, today, will not be their".

After hearing this I feel even more commited for today for better tomorrow.

I have inumerous things to share and I see very few have time & energy to face & understand the only certain thing of life i.e death.

So, ASK to realize when you are alive.

 



Barbara Lamb Hall - Nov 17, 2006 1:37 pm (# Total: 25)

Keeping focus where it should be!

HI all,

It's nice to see Keely online.  I remember you from your early days working at Skoll!  I think the main focus needs to be on the cause, as various of you have mentioned and much less on the ask.  If you introduce the cause, the mission, the results of your organization, or the one you represent, you can test the waters and see if it resonates with the person to whom you're speaking.  Just like any sort of relationship (think of meeting a new person, moving on to dating, etc.), you start with small bites (or bytes!) and then move the conversation from there.  If the person tells you upfront they are definitely NOT interested, you move on.  If there's at least a little interest, you continue.  I do lots of "touches" of a prospect, to email updates, offering "goodies" as appropriate (tickets to an event, e.g.) so they get used to hearing from my organization.  Farther down the line, you can ask them to support the cause.  If they are really interested before you get to the ask, you can move up your timetable for asking.  Once they become contributors, then periodically (often annually) you can meet and the ask will become a smaller part of your conversation/interaction, as they will now have become involved.  I would be happy to speak more with anyone on this subject.  I think the fear is misplaced about "the ask" -- it's like imagining the wedding before the first date!

Barbara Lamb Hall

KCSM Major Gifts Officer

(formerly of Village Enterprise Fund)



tutormentor - Nov 17, 2006 2:15 pm (# Total: 25)
Cabrini Connections Tutor/Mentor Connection

Keeping Focus. Getting Lucky. Getting Results

In a message I posted on Nov. 13 I mentioned the work I've been doing with the Lend A Hand program at the Chicago Bar Association since 1994.  On Wednesday of this week the Chicago Sun Times donated $2 million to the Lend A Hand, which will be distributed over the next few years as grants to volunteer-based tutor/mentor programs in Chicago. The impact of this will be to increase the annual grant pool from $30,000 this year to more than $300,000 next year.

This is what's possible if you focus on the cause, and focus on all of the agencies in a city doing similar work, rather than just your own.  If I had tried to launch this partnership by just asking the Lend A Hand to focus on my small Cabrini Connections program (and in 1994 it was only in its 2nd year), they would not have responded. But I focused their attention on the entire map of Chicago, and on the nearly 200,000 kids living in poverty who would  benefit if they were in a well organized tutor/mentor program.

This is what I mean by a "rainmaker" working as a third party, or intermediary, to raise resources to support a charity cause.  If many leaders of similar organizations take this role in a city, state or country, I feel this success could be duplicated more often, and in more places.

It's taken lots of luck, and the work of many people beyond myself to make this happen. But this demonstrate's what is possible.

I wrote about this in my http://tutormentor.blogspot.com blog.



mfidelman - Nov 17, 2006 4:20 pm (# Total: 25)
Center for Civic Networking

re: Keeping focus where it should be!

Barbara, Well put!

This is similar to any sales situation. First you get to know your prospect and help them get to know you. If you're doing things right, you never have to ask - they ask you how they can help.

Miles Fidelman


Kim Erskine - Nov 18, 2006 4:52 am (# Total: 25)
Oxford University - North American Office

Keeping Focus

I couldn't agree more with you Barbara and Miles.  By knowing and believing in your organization, you are well on you way to finding the financial, as well as the emotional capital you will need to succeed.

There are times however that unless asked your prospect may never give what you ask for.  This can be especially true when what you need is money.  There can be assumptions on both sides, from the organizations' side "If he knows us as well as I think he does than he knows what we need help with.  He has seen our budget, deficit, whatever and knows how he can help." to the prospects side "Since they have never asked me to help in a monetary way, I will keep on helping as I have, and introduce them to people and push the organization with people I know.  When they need my help or my money they will ask."

In relationships too we can forget that the other person cannot read our minds, and this can and does lead to misunderstandings.  I do believe we get the help we ask for, we just have to be clear what it is we need help with, and for, and to let others know as well.

Kim



Barbara Lamb Hall - Nov 20, 2006 10:00 am (# Total: 25)

Asking

Yes, Kim, I agree.  There are instances where you need to directly ask for the financial support. Sometimes your prospect will be direct and ask what you need or what they can do.  If so, make sure you walk through that door!  If they don't, then, yes, go ahead and ask ("Yes, we need $5,000 to start the XYZ program").  Then hush up and wait for their response.


surya prakash.Vinjamuri - Nov 20, 2006 8:52 pm (# Total: 25)
Life-Health Reinforcement Group

A Case study

Kim & Friends,

I like to share about my work & the situation I live in -

 "Couple aspiring to become pregnant are coming to our clinic > their wish is being heard and they are blessed with a child > child grows and some reason gets deviated and lands in a situation where in there is nobody to take care > with power bestowed on us in implementation of Child Care & Protection Act we are able to take care of them and give them direction > Meanwhile whoever comes for clinical help we are able to guide them and treat them, at times save lives > As women moves into her menopause we are able to back them up and improve their quality of life > People who are aged and who are residing in our area are personally taken care and we are able to meet their basic needs.

While all the above situations and interventions are going on, one thing which is standing out is our approach to food -- from production i.e. from protecting farmers who produce food to attending to people who are hungry (which is done through open house) is what we are able to do.

All these activities are carried out with thorough reflection on Life, which is done under banner - Life-Dialogue"

With rapid urbanisation in villages & cities - process lost its space, where in service is understood as responding to demands - with sort of population explosion & inadequate public infrastructure & increase in, for profit private sector - service with a process based appoach has less space for understanding.

The expectation from the society is mostly to responding to their medical demands rather than understanding "how they could play major role in preventing themselves from situations of deviance of physical health, mental trauma & indebtedness".

Friends what I like to submit here is that, most of my work doesnt fall under any 'fundable category/ies'. As I see unless they understand interconnectedness of my various activities, it is unethical for me to ask.

Friends, I see their is need to have dialogue on this & I see our work is a good case study for the people who thread a " road less travelled" & help how we can ask, to move forward.

-surya.

 



Good Life Centre - Nov 21, 2006 8:51 am (# Total: 25)

GOOD LIFE CENTRE - ORPHANAGE, TAMIL NADU, CHENNAI

Good Life Centre is a registered NGO, serving the people with disabilites and deprived women of our society... presntly we run a residential care centre for mentally challenged and orphans, total strength is 90.

we are depending on donations from public and as such there is no international support.

we need support and guidlines to develop our activities and to provide a better standard of living to our kids....

We are authorised by Govt.of India, to receive foreign contribution towards development of our society..Reg.no.075820335

Good Hearted well-wishers could contribute/donate for the cause of mentally challenged orphans and women.

you may also kindly transfer your donation to our bank account: In India: ICICI BANK , A/C No.603701147662 and In abroad : ICICI BANK a/c no.603701147663, Chennai - 600073.

our home address: GOOD LIFE CENTRE 12 LOGANATHAN STREET WEST TAMBARAM, CHENNAI - 600045 goodlife1996@yahoo.com www.goodlifecentre.org 044-22264151 / 52

kindly visit our web; www.goodlifecentre.org

Looking forward to your valuable support to our dear children.

With respects and thanks

K. BASKARAN Director

Attachments:

Goodl Life.pdf (700 KB)



goalguy - Dec 12, 2006 8:24 am (# Total: 25)
Marc A. Pitman

RE: keeping focus

Kim: I love your comment "In relationships too we can forget that the other person cannot read our minds, and this can and does lead to misunderstandings."

In ANY relationship that's true...I <i>still</i> try to read my wife's mind. After 12 years of doing it wrong, I should no better but I still do it!

That's also why I'm a BIG proponent of an "ask" not being an "ask" if you haven't mentioned a specific dollar amount. The donor has virtually no way of knowing what you're asking unless you say it clearly.



wellygambe - Jan 9, 2007 9:36 am (# Total: 25)

looking for donor

am looking for a donor who can donate money to me in order for me to purchase even second tractors and ploughs.i need to carry out a farming project that will help old peoples homes with food and money for their upkeep. anyone willing to help shall be thanked from above. the estimated money that is needed is US1000000.00 or any one can donate tractor(s) and plough(s) in kind.

thank you

Yours Faithfully

Wellington Gambe
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