Donor Relations

Building a financially generous and loyal base of individuals is essential for most nonprofit arts organizations. Not only will this group become a major income source, it will also provide opportunities for expanding your audience. In other words, most happy donors will also be happy audience members and will invite friends to become happy donors and audience members, and so on. So your relationship with individual donors has to be about more than just money and meeting your revenue goals. You have to excite them about your programming, offer them ways to become part of your inner circle and ways for them to bring in their friends and colleagues.

The range of contributions from individuals can be vast - from contributors who give little over the ticket price to major donors with deep pockets. One key strategy to remaining financially viable is to diversify your contribution sources optimally so that if one or two individuals drop out each year it won't be disastrous. On the other hand, you don't want time-consuming processes for handling a ton of small contributions so that all your income is eaten up by contribution maintenance.

Prepping the Organization

In fundraising, you don't usually get what you don't ask for. A lot of beginning nonprofits, often founded by artists, find it hard to solicit individuals for support. If that's you, remind yourself that if your work is good enough for your sacrifice, it's worth the support of others. Your passion can capture people's imaginations, you need only share it. The trick is to find the right language, focus, and means.

First prepare. Make sure you are ready to manage key information about your potential donors. Be ready to keep accurate, thorough records of each contribution and every contributor. Buy or create a database or filing system that lets you know how much and how often someone gives, what shows they attend, where they live, where they work, what other organizations they help and who they know. Many fundraising software programs are costly, so you may want start with a simple spreadsheet, and use the Foundation Center's Prospect Worksheetas a guide. And always (always!) keep track of your correspondence and contributions. The fastest way to lose a donor is to solicit him for a contribution he already promised on a previous call. Or to not return her call that is asking who to make a check to.

Indentifying Potential Individual Donors

First look to your current audience. These guys are already contributing! They like what you do. Now it's just a question of letting them take more ownership of your success.

• Make every program activity an opportunity for an individual gift – make it easy to give: put a contribution envelope or a link to your website contribution page in each program book; have a donations box at the entrance 
• Make it easy for every audience member to give you their contact information – put out a raffle bowl for business cards or contact slips, let them vote online for a preferred show in the next season. Use your imagination.
• Get to know your audience. Use questionnaires – hand out with tickets or send to your email list. Beyond demographics, ask about favorite cultural activities, area restaurants, and what they go to with their children. Your questions should reveal ways in which your contribution campaigns can be more appealing and effective. They may reveal ideal peer organizations or businesses to partner with. And, in aggregate, what your typical audience profile is. Is it the one you thought it would be? What do you need to do to bring in a different profile?
• Your very first audiences are usually your closest family and friends. It's ok to ask them for support and you may be surprised by how much they can and will give. If they do give now, don't take it for granted – take care of them as you would any donor.

Cold Calling

There are two ways to make cold calls. First, there’s the shotgun approach: If you have a ton of outreach money or a ton of volunteers, you can buy a huge list of names and start calling or emailing away. You already know that a three-percent conversion rate is worthwhile. You’re not afraid of having mass emails junked as spam before they even reach their targets. This, however, is not likely to be you. You have little time, little resources, and little patience. Your calls need to be to select individuals with some known disposition to your mission or your community. These should be prospects capable of larger contributions. You need to be a marksman.

• The key to making a successful cold call is to heat it up –learn more about the person you are calling. (There should be a compelling reason you’ve chosen the prospect in the first place.) Is she someone’s colleague, is he on another board? Are they on the donors list of another organization’s event or website? Try to figure out what motivates the prospect to give. If at all possible, get an introduction from someone you mutually know.
• If you need to, practice your ask 'script' on people you know, get it right beforehand. Can you state your mission in one breath and still leave them breathless? Can you connect them to the organization without using verbal handcuffs? Can you talk with them about anything they are likely to ask? Are you ready to make a specific ask? Are you ready to send them more information? Prepare for a real conversation not a monologue!
• The first 'no' does not have to be the last word. Ask them if they would like to receive your program schedule. Get the necessary additional information. Tell them about your next event and invite them, maybe put them on a 'comp' list – make them feel valuable to your organization. 

Keep in mind not to violate or abuse any applicable cold-call laws.