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Impact without Grant Funding

If you have applied for grant funding and haven't won a proposal, please don't be discouraged. I understand all the time, effort, and money invested without an expected result can be frustrating. However, please understand it's nothing personal, and most foundations look at it as a return on investment. The first three-four years of your organization will be focused on showing impact. You have to show how many people you have served (data) and how the funding can help you make more impact.

Fundraising is a great way to expand your network while promoting your organization; it can also help you learn about different communities, issues, and challenges. Most importantly, it can help you build relationships with those who may help you in the future. This post will provide some tips on how to fundraise and give you an overview of some of the organizations we served and experienced. I hope that this will help you get started with your fundraising efforts and inspire you to go out and help those who need your help!

1. Determine a Funding model

A funding model is a methodical and standardized approach to building a reliable revenue base to support an organization's core programs and services. Nonprofit organizations are the heart of the community. The Primary Purpose of a nonprofit organization is to solve a social issue. Which in turn will create a positive impact on the community. Yet, funding strategies and administrative requirements are often overlooked, especially in small/medium organizations. More focus is on seeking grants and events. A nonprofit needs a strategic funding approach in place to effectively IMPACT the community.

Next week we will dive deeper into the types of funding models. But here are a couple of examples.

  • Membership-driven: The YMCA is a great example. Its mission is to enrich the lives of thousands of children, families, and individuals through programs that build spirit, mind, and body. The Y charges community for gym memberships, programs, and workshops to fund their mission. Their funding model is in alignment with the action needed to fulfill their mission. (Build spirit, Mind, and Body)

  • Contract for Service: These organizations work with government organizations to provide social services, such as housing, human services, and education, to communities in need for which the government has previously defined and allocated funding. Example: Food banks, HUD, etc.

  • Resource Recycler: This type of funding model receives donations/in-kind donations and resells them at a discounted price to the community. Goodwill is an excellent example of this. Their mission is to enhance people’s dignity and quality of life by strengthening their communities, eliminating their barriers to opportunity, and helping them reach their full potential through learning and the power of work. In addition, they provide career training to those looking to provide for their families. In 2020, sales reached $171.3 million, a 22% increase compared to the previous year. Now, this is just another example of how having a strategic approach can generate funds. As a result, nonprofits do not have to struggle on a shoestring budget.

2. Collaborate with Purpose

As stated earlier, Foundations are investing in impact. If you partner with a similar organization, for-profit or nonprofit, you can serve more people. For example, a photographer reached out to me because she wanted to host a community photoshoot "Black Men Matter" for a local newspaper and raise funds for the organization lined up with the audience. I suggested a wonderful organization, The Program inc., with a vision of “Helping Boys Become Men.” During the shoot, they raise $800. Now there weren't any overhead or expenses, and The Program gained community support/exposure. The Purpose of the shoot was to celebrate black men, right, so the audience matched the mission to connect with potential volunteers. If you'd like to learn more about The Program Inc., visit their site and watch the replay of the Leaders of the Color interview we had last year with founder Tramain Rayford in the Collective Impact App.

3. Earned Income:

Last week we had an #IA Live with the owner of African American Expressions, Greg Perkins tells us how to fundraise and sell their products and earn 40% commission. You can catch the replay here. From programs like AAE to AmazonSmile, many programs are available for nonprofit organizations to earn income. We created an eBook filled with a few in-kind donations and made income programs that can fund your organization's mission until you get more funding. You can access the ebook in the Collective Impact App under Impact Toolkit for more programs and opportunities.

4. Understand both the donor value proposition and the recipient value proposition.

We discuss the four market segments more in detail in Impact Academy's Market Research & Strategy" course. Understanding what brings the donor and the recipient values will create a lasting impression that will inspire them to be a part of your organization. For example, Texas Pit Crew is a nonprofit whose mission to eradicate animal cruelty to all breeds in Wichita and surrounding counties. They seek to promote the bully breed as the loving and loyal animals they are. So...A couple of years ago, I had to go to Sheppard AFB for three months to get trained for my latest military job, Data Analyst. This base also had other jobs training, and some were there for over a year.

This photo speaks volumes of the impact they made on every Airman that day.

The Texas Pit Crew understood the recipients (military) are away from home, missing family and pets. They brought some of the rescue pups to the base park. Bringing us together was great for the dogs and us. That experience still gets me emotional. I missed my babies, and it gave me the extra push to finish out my training strong. I bought so much merch that day, one of which is my favorite hoody. Every time I wear it, people come up to me and tell me how much they love pit bulls, and I tell them about MY Experience with Texas Pit Crew. To this day, I still donate to their organization. So it's much more than posting your website and Paypal on socials asking for donations. They took the time to create an experience that brought value to hundreds of Airmen and Is still reaping benefits today. Again the background needs to be in line with your mission.

It doesn't have to take a lot of money to make an impact. PLEASE DO NOT THROW TOGETHER A FUNDRAISER AT THE LAST MINUTE! It's ok to take time to plan, research so you can execute with excellence. My prayer is this blessed you and got your creative juices flowing. Feel free to tell us your most significant takeaways on the community wall in the Collective Impact App. Next week will go deeper into Funding Models. Blessings!

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