Should all Board’s Fundraise?
As we enter the last quarter of the fiscal year (for many NPOs) and the biggest fundraising season of the year for all, pumping up the board for raising funds is top of mind. We know from experience, and we see it now among our clients, that coaxing the board into garnering individual donations is difficult. And isn’t really successful. So, the question becomes, should all board members be responsible for fundraising?
We don't think so. This is a departure from our previously held opinion. We’ve had a change of heart! Or, more specifically, our opinion on the board’s involvement in fundraising has evolved :)
Allow me to explain…
It’s generally understood that while the Internal Revenue Service (IRS) does not explicitly require nonprofit boards to engage in fundraising activities, the expectation is that board members will participate in fundraising. What does that mean? For most it means contributing personally and helping to cultivate donors, supporting events, and networking/outreach. And all of these tasks are great and appropriate for some boards, but not necessarily all boards, or all individual board members. This is a shift for us. We have always been pretty adamant that board members should fundraise, and, if they can’t/don’t, then maybe they shouldn't be on the board. Afterall, there are plenty of other volunteer roles for people who want to contribute their talents.
This seemed like a reasonable expectation, but as we further our training in Appreciative Inquiry and increasingly view governance from a strengths-based perspective, we have determined that this previously held belief no longer seems productive or equitable. And honestly, who really has success “making” their board fundraise?
Most NPOs feel it is a legal duty for board members to fundraise. And while the IRS does have certain rules and guidelines in place regarding nonprofit fundraising, which includes that the board as a whole is responsible for ensuring the financial sustainability of the organization, nowhere does it say “and board members must raise money”. Before all you Executive Director’s start cursing me - consider the success your board has had raising funds in the past. If they are awesome at it, GREAT! Keep doing what you’re doing! Stick with the “give or get'' if that is working for your organization. But if you are like most EDs - there is often little success, even after spending countless hours trying different ways to engage board members in fundraising. So stop doing it! I’m giving you permission!
Instead, why not focus on the strengths of individual board members? What are they great at? What expertise do they have to give? What do they want to do? The more nonprofits play to the strengths of the board the more engagement and success they will see.