2/21/2012 10:04 AM
With continued downward pressure on reimbursement rates, many not for profit organizations are looking to other sources of funding including capital campaigns.
A capital campaign is generally defined as fundraising from private sources, particularly from individual donors. However, small organizations or those that serve low-income communities usually need to include all possible sources of funds in their capital campaigns.
Those organizations seeking to develop and implement a capital campaign should first engage in a thorough planning process to ensure the best possible results. Information gathered in the planning process can also be used to improve your annual campaign even if you decide not to pursue a capital campaign.
Below are a few key points to consider before starting a capital campaign.
1. When determining its capacity a smaller organization first must describe its fundraising history addressing each of the following donor constituencies and then include these constituencies in its capital campaign plan:
• Board of Directors
• Corporations and Small Businesses
• Other constituency specific to your organization
2. An organization of any size should complete an analysis of its organizational strengths and weaknesses in the following areas as well as access its level of experience to determine the strategy for its capital campaign plan.
• Fundraising History (see #1 above)
• Board and management capacity, including previous fundraising experience, connections to potential donors, engagement in
the organizational efforts and attitude toward philanthropic giving
• Community Relationships with business, government and other nonprofits.
3. The organization should develop a case statement which includes the following elements:
• Project Description
• Demonstrated need in the community using the best possible data
• The organization’s mission, vision and values, and identifying how they will be furthered by this project
• Community Impact or expected outcomes which directly address the identified community needs
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