What’s it going to take for your capital campaign to succeed? Here are the top things we look for when assessing an organization’s readiness to embark on a major fundraising effort:
1. Clearly articulated goals
The first thing you need is a real vision for the kind of change your campaign will make in the world. What’s the impact you’re trying to have, what are the specific programs or facilities that will enable that change, and how much money do you need to make it all happen?
In our experience, this is one of the most difficult things for our clients to wrap their arms around. Moving from a phase of “we need a new building” or “we want to raise $10 million for our 10th anniversary” to a well-defined set of objectives and a budget might take longer than you think!
2. Qualified prospects
A traditional campaign requires very large leadership gifts. For example, a $10 million campaign requires a lead gift of at least $1 million (preferably more), two $500,000 gifts, and five gifts of $200,000 in order to realistically expect to reach campaign goal. If you can’t identify in advance where these gifts will likely come from, you should think twice about launching a campaign!
3. A compelling case for support
In order to engage donors of all levels, you’ll need inspiring language that creates excitement and urgency. A well-written case statement is not only helpful in motivating donors, it is also a way for your organization to reach consensus on the campaign components and story.
4. Due diligence on case and prospects
Once the case for support and the lead prospects are identified, a “testing” phase is essential. This is commonly achieved through a feasibility study conducted by outside consultants and consists of sharing the case with leadership gifts prospects and gauging their interest in giving.
5. Adequate internal systems and infrastructure
No campaign can be run without dedicated staffing, a functioning database, solid policies regarding gift processing, and the support of your communications, finance, and information technology team. In addition, you’ll need to develop the systems to report on work made possible by the donations. You’ll also need a budget. The cost of most campaigns runs anywhere from 8% to 15% of the campaign total goal.
6. A favorable external environment
The economic climate and the presence of other campaigns in your area can have an affect on your campaign success. Know what’s going on around you and position yourself accordingly!
7. Enthusiastic leadership
Bottom line…you need leadership from the chief executive and the board of directors. The development staff cannot initiate and maintain enough momentum to succeed in a campaign. Trust us on this!
8. A willingness to take the leap
All the planning in the world can’t totally erase the element of risk in embarking on a major capital campaign. Even after all the previous elements have been addressed, there’ll be a point when you must simply forge ahead. Start by soliciting those leadership gifts. If they don’t pan out, reevaluate.
If your board or CEO are thinking about a campaign, share this list with them to get everyone on the same page right from the start!
