Guest: Pat Considine and David Winslow, Winslow-Considine
Host: Sean Bailey, Philanthropy-Journal

Part Two

Back to Part One

Gordon:

My experience in Boston leads me to try to gain corporate sponsorship for the annual auction of a coastal environmental group in Maine. So far, however, donors have not seen the event in ways I am used to. That is, they will offer in-kind gifts for us to auction but are not easily thinking about allying themselves to our members, using the event for public relations, offering product sampling, and so forth. Any thoughts on starting up a "sponsorship mentality"?

Pat:

You need to first sit down and be able to articulate the attributes your organization really brings to the business . . . are you the best, the biggest, the most compassionate . . . attributes that you can lend to the potential corporate sponsors. And then figure you how to make it apparent to them, for their customers, their employees and/or trading partners. Headline: Figure out who you are and then go talk with them. And build upon the good work you have already done in in-kind support.

Liz Kane:

I am trying to find corporate sponsors for the Children's Festival, now in its 11th year, which provides affordable theatre for children pre-school-8 years. Our annual attendance is 30,000 for a 5 day Festival. We seem to fall below the required number both on site and off site through the media even though the demographics are good. Since we can afford only public service announcements in the media, we cannot guarantee name mention in our ads, for example. I am now beginning to wonder if this event can raise money through corporate sponsorships, or if we should be looking elsewhere. Another problem is that the Board/Artistic Director are not willing to make changes to the event which would make it more attractive to potential sponsors. Last year, I did bring a corporate sponsor on board who in turn was able to bring their clients on site but the Director resisted this change to the established format which resists anything "commercial". In summary, to attract potential sponsors, an event must offer certain benefits. In your experience, what are these benefits?

Pat:

This reminds me of a volunteer activity in which I am involved, the Samaritan Ministries (soup kitchen. Faced with the same dilemma two years ago, I revamped their sponsorship program and we realized a 5-fold increase in support. What I did was go to their existing media partner, a local TV station.

Through conversation with them, we determined that their new anchor needed "introduction" to the community. So, we appointed him "honorary chairman" and chief spokesman. Which, in turn, gave the station more impetus to work with us.

Then we persuaded them to help us approach other media partners -- we identified two more and they in turn got great play through the TV station. Everyone won. Re: your artistic director. His is a common fear. Ultimately, what you are selling is your organization's good name and integrity. Any plan that you devise which undermines that good name, undermines the sponsor's investment in you. And you have to stand up for what is right on that front. There is a famous story, about a national environmental organization and major corporate sponsor from a few years ago. The sponsor, a major shoe manufacturer, was willing to come up with tens of millions of dollars to sponsor a concert tour in partnership with the non-profit. Some lower level marketing type came up with an idea which involved combining the corporate logo with the environmental organization's logo. There was lots and hand-wringing on the part of the non-profit, which eventually decided that doing so was simply going too far and they decided that they just had to say "no". Even at risking tens of millions of dollars. They went back to the corporate sponsor and told them "no", that by doing so they thought they'd risk some of their image. (I'm sure they found a nicer way to tell them this.) In any event, the corporate sponsor immediately understood that was a big part of what they were "buying" and THEIR interests would be harmed by harming the non-profit. Happy ending to it all in the end. Watch for some later discussions we'll be having on "entitlements".

B. Carr:

Hi, My name is B.Carr, I manage corporate relations for a museum, garden and library. I am interested in knowing what cultivation activities are being used to successfully cultivate corporate management in order to achieve a larger donation? How do you recommend balancing contact with the staff person who may be overseeing corporate giving vs. getting top executives involved.

Pat:

Smart question. You really need to be sensitive to the role of both staff and volunteers in cultivation. A lot of staff (and sometimes, even consultants! lose sight of the fact that THEY are NOT the peers of the corporate leaders. Rather, done right, their volunteer leadership is. Everything should be focused toward enhancing that peer relationship.

Carol DeMent:

We are an innovative liberal arts college in the Pacific Northwest seeking corporate sponsorship of an initiative to expand the use of digital arts technology across the curriculum in colleges throughout Washington State through faculty training and industry mentorship. We are looking for funds to underwrite summer faculty institutes in digital art curriculum development, and a national conference on the topic. Your suggestions will be greatly appreciated!

Pat:

Regarding winning sponsorship of your digital arts technology . . . you are in a great state to be doing what you are doing! It should work. Again, start with thinking about what you might have to offer and how you might leverage that for someone. Here, Wake Forest University has done a great job in working with IBM.

Every freshman who now enters has to buy an IBM laptop, practically as part of their tuition. They get them at a discount. In turn, they have now developed a great relationship with IBM and IBM has now developed brand loyalty with thousands of teachers and students, which in turn will multiply many fold. Ponder how you might do the same thing . . . be it through product loyalty OR some other meaningful relationship building.

Michelle Sell:

Hi. I'm the Public Affairs Coordinator for Thorn Americas. We considering a national sponsorship with the Literacy Reading Rally in 1998. Has anyone participated with this foundation at this type of a level? If so, would you share your experience and possibly some tips for setting up a partnership. Our organization has over 9000 coworkers throughout the U.S. and Canada and we are wanting to develop a program that is simple to execute and requires limited time from our coworkers. We are in the Rent-to-Own business, the largest in our industry and we feel it is important for our coworkers to be active in their communities and feel good about what they are doing. Any feedback is most appreciated.

Pat:

Great idea. Some words of caution (you might want to call me to talk more about this, 910- 722-7982 . . . but be real certain that you are defining EXACTLY what is expected of your co-workers. To the degree that there is no ambiguity. Involve them in defining those expectations. Also, consider how you might involve not only your co-workers, but the families of your co-workers as well. By achieving the latter, you also can enhance the relationship of work and family for your co-workers, which is a very important objective. I don't know anything about the organization. Anyone?

Bruce Rosenthal:

What are the primary features and benefits that corporations are looking for in exchange for sponsorship? Has this changed as funding has become more competitive in recent years? A related questions: how do corporations assess features and benefits ... number of column inches of news-clips, number of people who attended an event sponsored by the corporation ... ? Thanks.

Pat:

Look in the coming days on some stuff we're going to post on features and benefits. Sponsorship development is a growing field (projected at 9% this year alone) and growing more sophisticated. How do they measure benefit? It really varies depending upon the company. As you negotiate your relationship, that is one of the most important questions to ask.

Laura Weinbaum:

I have recently become responsible for development for a small Philadelphia-based non- profit which provides Internet access, training, and support for non-profits and low-income persons in our area. I am a complete fund raising novice. What tools would you recommend for us to determine which corporations would be likely to sponsor our efforts?

John Veltri:

fund raising $40,000. for completion of Documentary for TV and education sources on a Native American elder and group preserving traditional cultural knowledge and spiritual ways. Shooting has been completed, need funds for on-line edit and distribution. We have Non-profit sponsorship.

David:

I've always found video very challenging to raise money for, to be honest. But, the bottom line is that I would not go to anyone until I knew how and to whom the video was going to be distributed. For the most part, that's the real value from a corporate point of view. Define that -- assuming that you can do so in a quantifiable manner -- and you should be more than half-way home. Also look at the connections between the non-profit sponsor and other for-profit entities out there.

Gene C. Wenner:

There have been a number of questions about writing grants for sponsorship and/or support of programs in The arts. There is no doubt that the writing of the grant is the last part of the process, after you have done your "homework" on what interests the sponsor and what doesn't. However, even after that, it is important that how you phrase your request - even the selection of a title for the grant is often the difference in getting the funds.

Any further ideas on this?

David:

You are right. And I hope I didn't imply that one shouldn't spend quite a bit of time carefully crafting the request. It's just that I sense that many miss the point, or fail to recognize the importance of the process which proceeds submission. So, by the time one submits a request, they should have all of the nuances scoped out, including how to "frame" the request, name the request, and making sure that the request is written in a language that is understood. Would it be helpful to talk about that process? Or maybe that is another topic for another day.

Bill:

What methods should be used to establish an annual campaign? My agency provides services to elderly and disabled adults. There is not a United Way in my county but it is possibly becoming somewhat over burdened with various campaigns and walks. We were thinking of tying some type of event to a specific need during Older American's Month in May.

David:

We have a lot of experience in working with aging programs -- Pat started a council on aging and worked with it for about 8 years before he got into capital campaign/sponsorship development. And we have just finished two highly successful capital campaigns for aging programs. Rather than an annual campaign, what you seem to be talking about is a "signature" event for your organization . . . one which you do every year and is identified with your organization. (For me, an annual campaign is the systematic solicitation of unrestricted operating dollars and is not event driven.) Not sure how elaborate you want to be with your event, but seems to me awfully late to be pulling together a major, money making event for May of this year. Using "Older American's Month" is good of reason as any to plan for the event . . . but making THAT the real focus might prove less than exciting to the public you'd want to target for dollars. The Philanthropy Journal published a series of articles on "special events" a few months back (October or November). One of the pieces outlined a pretty good calendar and the steps for putting an event together. I suggest you see if you can find that piece in the archives. (Sean Bailey: You all do keep an archives on line, yes?) Good luck.

Sean:

Later this year our archives will be available online. We also intend to get that timeline posted soon. Bill, contact me and I'll ship you a copy of that paper.

Thomas A. Carder:

To David. Thank you for your response to my plea for help in finding funding for a nonprofit Christian 501(c) (3) ministry. In your response you asked "Where are you?" We are located in Granbury Texas (USA) about 35 miles south west of Fort Worth and about 70 miles west-southwest of Dallas. You also asked if I had done any foundation research. Yes. I spent hours in a library with the foundation books looking up data on funders who give to our cause. My error was only to submitting proposals to the funders who have big bucks so I would not have to prepare so many proposals -- the Sid Richardson Foundation, the Davison Family Charitable Foundation, and the Meadows Foundation. And I agree that while conversations with these groups yielded "Feel free to send us a proposal" I believe your assessment that foundations don't typically give to 'religious' (I don't like that term - we are Christian organizations is accurate. While I am ignorant in fund raising, I do know that if we cannot find funding very soon, the CAP will go belly up. Thank you, David. I pray you can still help us find funding. You are welcome to visit our site to if you need detailed info about the CAP.

David:

I'm familiar with all of the foundations you mention, having even visited the Meadows people on one occasion. They are all great foundations with wonderful staffs. And they are doing exactly what they are supposed to do when they encourage you to apply. But these are the precisely the kinds of foundations that I think would NOT necessarily gravitate in your direction. That's why I counseled looking at some of the smaller, family-run foundations. Even then, I think it's a bit like looking for a needle in a haystack in that yours is a very sophisticated concept . . . as the marketplace is telling you, its appeal is very narrow. I'll check out your site and see what other ideas I might get and post them. David. Hilary House:

Who do I approach within a company about sponsoring a local arts organization? for example, I will be looking at companies like Starbuck's Coffee and Nordstrom.

David:

There are normally two or three points of entry. One, is the direct approach to the local store. The second is the ad firm that handles their account (usually we find that these franchises have to "contribute" a portion of sales toward marketing . . . and more often then not, they engage a firm for that particular media market and they are always looking for angles. The third point of entry is with the marketing arm of the main company itself.

At first blush, it would seem that your demographics and theirs would match up rather nicely, assuming they have not reached saturation with your constituencies yet. Remember, you are looking to create a benefit for them that goes beyond community service . . . or else you are like every other organization which comes to them with their hand out offering intangible return. Smaller, local based arts organizations are sometimes a more difficult challenge to sell to these guys. In assessing what you have to offer (remember, the marketing people are charged with moving product at the lowest cost possible, consider how you can leverage both print and electronic media for them. Going back a pervious example -- the Samaritan Ministries model -- ponder ways to build off the public service (PSA) component as one means of building value for them. Explore other partnerships as well . . . with other companies that might add both value and synergy to the sponsorship. It's a very creative process. When you talk with them, listen carefully to what they are trying to achieve. Chances are they have given a lot of thought to their situation -- with very specific goals and objectives. They know more about what they need than we could ever dream up. And only they can assess how your idea will help them. (Not to say, you can't "help" them understand the value you bring too). Normally, before we go too far with conversations with these entities, we are able to boil down the "request" or pitch down to a simple one-page document. Nothing elaborate. But, very much to the point and understandable. Hope this is helpful.

Kirk Holbrook:

I am the Dean of Digital Imaging at the Creative Photographic Art Center of Maine, Lewiston, ME. We are a non-profit photographic educational institution. We recently entered an agreement with the International Freelance Photographers Organization to provide their members with continuing photographic education.

We also have an agreement with the State University to provide photo classes to their students.

We cater to both local and students from around the world. We are developing a digital imaging curriculum and are seeking approximately $75,000 to $100,000 in funding to establish a new computer lab.

Obviously the first step is to narrow our goals, but once that is accomplished, should we initially seek funding only from large sources that could fund us entirely, our go after several smaller sources? Also, should we approach computer, photographic, or other sources like environmentally conscious funding sources (digital imaging uses much fewer toxic chemicals than traditional photo techniques? With so many possible sources of funding we're not sure which type of funding may be the most lucrative and which spin we should put on our new endeavor. Any thoughts would be greatly appreciated. Our start up grants were city grants to help fill up the old mill - a part of which we occupy; we have very little fund raising experience, but organizations such as the Philanthropy Journal are helping us immensely. Thanks. Sorry so long winded!

David:

Whether you should approach a handful or many potential sponsors or contributors is difficult to say without more information. I"m not sure whether you are a relatively new operation or old, but I sense the former. One can argue the more the merrier if you are new as strategically, you probably need to broaden your base of support at this stage of your development and get as many "investors" involved as possible.

But, the real bottom line is get it funded, one way or the other. Good thinking re: the environmental aspects. With digital cameras starting at c. $500, some of those suppliers of equipment and periferals could benefit. The real problem though is that it seems that the major photography equipment makers -- not to mention Kodak -- seem to be the major players I kind of doubt that they are ready to harm their existing markets with such an argument. And other related suppliers probably have other relationships with the big boys . . . so they would be reticent to upset that applecart. Send us an email (Winslow@ols.net) and we can talk more.

Bernard Kelly:

To sean pat and david - this is more of a comment. I am Bernard Kelly, national executive director of the Nonprofit Management Institute in Australia. we are a regular business to business nonprofit, the management support agency for the 22 dominions that comprise the nonprofit sector. surely the solution to most of the queries raised to date is a matter of the mind-set. we have found that the solution to most problems with nonprofit organisations is to "think like a business'. regards.

David:

You are right on the money. I've been preaching your kind of approach for almost 20 years. But I'm become increasingly careful about criticizing non-profit executive directors on this count as I have witnessed too many boards (more often than not comprised of successful business people) who seemingly "check" their brains out at the door before they enter a non-profit board meeting.

I tell them a non-profit is first and foremost a business . . . and would YOU allow YOUR business to operate in this manner?

But yes, about half the battle on corporate sponsorships would be won IF the non-profit side would put themselves in the for-profit's shoes. What do they want and need? What do we have to offer? What added value can we bring to the table? What's tangible and measurable and what's not? How can we touch as many facets of their business . . . customers, vendors, employees, etc . . . as possible? Can we do this is a way which genuinally benefits US and them?

Thomas A. Carder:

David. BLESS YOU, SIR! I would love to have the benefit of your expertise, even if only an opinion. Wow! I took your advice and am emailing all the local churches with websites and offering to present the CAP to their congregation in hope of contributions. While out of about 50 I have only one promising to check out our services. And regarding your assessment of the staffs at the three foundations, I quite agree. Everyone I've talked with was very personable, especially the Richardson Foundation.

Again, BLESS YOU for offering to take a looky-see at our site with intentions to see if you might get other ideas. Your time cannot be plentiful and I thank you for the sacrifice. Feel free to leave you comments/assessment/etc at any of the email links scattered all over the site. BLESS YOU!

Gene C. Wenner:

This may be a bit late, but I was waiting for a response from Pat about the problems of United Arts Funding and approaching companies for sponsorship.

Renee Beauvais:

Hi. I'm the sole Director for TILT Dance Company. We are a new (formed in Oct.; incorporated in Nov.) small,fledgling in fundraising, Modern dance, performing arts organization. We are located in Hawaii (one of the worst business climates in the US.) How do I deal with the fact that we have no track record when approaching corporate donors? How do I instill confidence in the prospective sponsor? We've been performing and teaching with volunteer instuctors and dancers, but that can not continue. Any insights are appreciated. Thank-you. Aloha.

David:

Take some heart in the fact that you are not alone. And a lot of dance companies started from nowhere. You are smart in recognizing that the business environment in Hawaii is not the best right now because that's what you are doing . . . starting a new business. Taking the new business analogy one final step, you are probably terribly undercapitalized as well, which makes your task even more difficult. One final zinger: During the '60's and '70's, such entities as the Rockefeller Foundation and NEA were literally doing everything they could to support the formation of new dance companies -- policies changed in the '80's to such a degree that even established dance companies became endangered species. (I know, because I was brought into hold one together until they could find a new manager in 1985.)

All that said, in absence of capital and a track record, perseverence and creativy will prove to be the tools which ensure your survival and future growth. I'd be very careful in putting together your board, making certain that you have a good balance of wealth and wisdom; I'd be scanning the environment to see how you might respond to the overt, perceived needs of the community -- such as k-12 education -- and do so without compromising your reason for being. I'd be networking with some of the more famous (mainland? names and exploring ways of getting them involved and hence, helping to establish your credibility with the press and the donor community. Eventually, assuming that you are not only a modern troupe, I'd be building toward some major cashcow, like "Nutz" -- or at the very least some "signature" event.

In fact, I'd be putting together a carefully crafted, conservative business plan -- with the guidance AND participation of some smart business and philanthopic leaders -- which leads you to fulfilling your larger vision over a period of time. I'd be exploring means of broadening your base of support at every turn, getting many people to write even small checks for you at this point. I'd recognize that you probably are not a good prospect for "business sponsorship" at this point -- until you have more name ID, product, reputation and hopes for a signature event, but are more likely to win support on the basis of your personality and vision. With out knowing more about what you are up to, I can only offer the above advice and even that might be stretching it bit. Go back to the Philanthropy-Journal home page (www.philanthropy-journal.org) and take our test . . . the results might help me to guide you a bit more. Good luck.

Sean: Okay, that does it for this edition of Nonprofit Web Talk. Many thanks to those of you who asked a question and many thanks to David Winslow and Pat Considine.

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