It’s August! So let’s mix things up a bit with an Ask Me Anything roundup. I solicited questions from my network and had a great time answering questions about fundraising, work, and small businesses.
Fundraising
How can organizations attract fundraising talent in a tight market?
High turnover and stiff competition for top performers are chronic issues in fundraising. Before thinking about how to attract talent, address retention. Turnover is expensive; are you doing everything you can to retain existing staff? Transparency is crucial for both retention and attracting talent. Make sure that you are upfront about expectations and goals, and that these are shared during the interview process. Unrealistic expectations—especially surprise ones—are a huge driver of turnover.
You can’t meaningfully address fundraiser recruitment and retention without examining compensation and benefits. Make sure your salaries are competitive, and also consider benefits that go a long way toward attracting and keeping employees such as summer Fridays, flexible and/or hybrid work structures, and investment in professional development. Even if you have good practices in place, turnover is a reality. Earlier this year, I discussed how to increase organizational resiliency and minimize the impact of turnover in a two-part series here and here.
How should/can leaders handle the wide pay range among development team members, especially at big organizations?
It is definitely true that glaring gaps in pay are more visible in big development shops. The first step is to ensure that all salaries are competitive and within typical ranges for your area. In my experience, many junior level positions are well below market rate. This especially stings in a large, well-resourced organization, and will drive dissatisfaction and turnover.
Do your best to make pay equity a top priority, and think about how you can free up funds for salaries. Fair and equitable compensation is a huge driver of employee satisfaction. Often leaders think that they can’t afford salary increases, but the reality is that turnover is much more costly, especially in this relationship-based industry. For organizations where funds are truly scarce, acknowledge this reality to your employees and think about what else you can offer. Can you increase paid time off, retirement contributions, or offer bonuses? Years ago, I managed a highly successful administrative assistant who worked well beyond his job title and made significant contributions to our team. We were limited by the organization’s three percent merit raise so I offered him seven additional days of PTO and encouraged him to schedule them. He was immensely grateful for the time off and I felt good knowing that I was able to offer a meaningful recognition of his hard work.
How do you feel about asking outright for money vs. offering the donor something in return for their gift (e.g. a raffle, a prize, or an experience)?
The most effective fundraising is relationship based, not transactional. Asking for money with an incentive or add-on is, in my opinion, transactional. While this may inspire a single gift, it’s unlikely that the donor will give again in the absence of good stewardship and relationship building.
My approach is to engage donors through prompt acknowledgment, ongoing personal communication, and tailored stewardship. To build this culture in your organization, check out my thoughts on uncovering your donors’ stories, guiding conversations with supporters, and creative retention tactics that you can use to deepen relationships.
How can you create a philanthropic culture at an organization that may not yet have one?
This is a great question, and one that I love to explore with clients. Let’s start with the most basic thing that fundraisers can do: talk about your work. Share why fundraising matters, and how it helps the organization achieve its goals. Also, if you want colleagues to understand and support your work, take the time to get to know them and the importance of their roles. This helps to build important internal relationships and break down silos.
The next step is to share how fundraising is an organization-wide responsibility. Many people who aren’t familiar with our field think that fundraising is just asking for money. It’s our job to educate and share how our work is focused on treating stakeholders with respect, ensuring excellent customer service and follow through, and maintaining consistent communication. Showing how these processes help donors deepen their relationships with your organization demonstrates how everyone has a role in creating a culture of philanthropy. A concrete way to bring this home is to invite a donor or board member to speak with staff. Hearing directly from a supporter about the reasons why they got involved and why they care about your organization’s work resonates across roles.
What are the most impactful roles for board members to play in advancing development goals?
This is one of my favorite topics. In short, many board members will shy away from directly soliciting donors, and that’s okay! I think that the most impactful roles that board members can play are often in stewardship and relationship building. Late last year, I spoke about this topic in depth—take a listen! In the podcast, I encourage fundraisers to think strategically, find out where their board members shine, and make the best use of their talents.
I’ve also written about deepening board member engagement. I covered recruiting with clear expectations, cultivating relationships between board members, and thinking holistically about fundraising responsibilities.
What is the ideal way to engage with a development strategy expert? What role should the consultant play (vs. board and staff)?
First, it is critical for the organization to have a clear vision of what it needs, and to seek out a consultant who can fill those needs. A good consultant will share what they can and cannot do—respect those boundaries. I’ve tried to clearly and specifically spell out Little Bean Group’s services on my website. This helps prospective clients determine if my work is a good fit before they invest too much time.
The consultant, staff members, and board of directors should all be partners. Ideally, when an engagement with a consultant begins, the scope of work will address many of these points and offer a roadmap for collaboration.
Work
How is work-life integration different from work-life balance?
This is an ongoing challenge for so many of us! COVID-19 illustrated the tremendous burdens that many workers (especially women) were shouldering in addition to their professional responsibilities.
Balance implies an equilibrium or an even distribution; I don’t think that exists between work and life. Personally, I feel that work-life integration is a more achievable goal. Integration implies bringing work and personal responsibilities together and ultimately figuring out systems and processes to achieve your goals in both areas. It’s not easy and sometimes you need to focus more of your attention on one area to the detriment of the other. I find that there are natural ebbs and flows that I try to anticipate and then manage.
The fundraising profession is dominated by women, yet most of the top positions are still held by men. How can we change this? What steps can we take to increase the number of women in leadership roles?
The dearth of women in leadership is not unique to fundraising, but it is especially glaring considering the composition of the workforce. There are a few steps to address this problem. First, women should be encouraged to apply for top positions even if they do not meet all qualifications. Especially in larger organizations, promising internal candidates (who, considering the nature of the workforce, are likely to be women), are often overlooked in favor of external hires. Secondly, mentorship needs to be a priority. If you don’t have access to a formal mentoring program, I’ve written about the value of fundraising peer networks. While these networks are valuable at any career stage, they can be particularly good for identifying women in senior roles to serve as mentors.
Small Businesses
How can I, as a small business owner, be strategic with my philanthropic impact?
Focus on causes and activities that align with your business and/or its leadership. Philanthropy is more impactful when there is a personal connection, so spend some time looking deeply at your own values, experiences, and what drove you to start your own business. If you have employees, ask them about causes that they connect to, and how they would like to contribute to the company’s philanthropy.
Think about how your business can donate money, time, and skills. Many non-profits, especially smaller ones, can benefit from dedicated skills-based volunteering to help with particular projects. This can be a really rewarding opportunity for your business to make a tangible contribution.
I also believe that you should publicly articulate your values and take actions that align with them. I post my values on my website and share how I support organizations through pro bono work and charitable contributions.
What’s the biggest misconception when starting your own business?
When I started Little Bean Group, people assumed it was because I wanted to work less or have more flexibility. This was not the case—I started my own business because I wanted to use my skills and experiences to engage in work that I find meaningful and enjoyable. Two years into my journey, I described my reasons for launching LBG.
More generally, people often believe that you have to invest a lot of money to start a business or have everything perfectly set up when you begin—you don’t. It’s an iterative process, and I’ve written previously about some of the top considerations for new entrepreneurs.
What is the biggest struggle you see that women entrepreneurs have?
In some ways, the struggles of women entrepreneurs mirror those of women at work in general: we are all just trying to get everything done and juggle numerous personal and professional responsibilities. However, I do think that women entrepreneurs internalize this conflict more. It’s our business; there is a sense of ownership and work is more intimately tied to our identity. It can be even harder to create that separation and maintain a boundary. I think women deeply feel this challenge.
I also see bias expressed towards women entrepreneurs. People make assumptions that women start businesses to have a lighter and/or more flexible schedule. While that can be a benefit of owning a business, women are motivated by the same factors as men when it comes to starting a business. Many of us want to disrupt the existing marketplace in our field, we want to create new products and services, and we want the challenge and stimulation of running a business.
What do you see as the distractions that keep folks from setting themselves up for success when starting a business? How can we, in the early stages, catch ourselves from veering off course?
To maintain your focus, don’t try to be all things to all people. Focus on your strengths and unique value proposition, build your business around that, and be clear about what you don’t do. I’ve shared my thoughts about what to do once you’ve launched a business. As you gain experience, you’ll be able to refine your strengths. For me, I’ve learned what tasks are outside of my skill set, and I outsource those in order to move my business forward and focus on my core client work.