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Your are here: fundsforngos.org » Featured Articles » Seven Things Donors Don’t Tell You

Seven Things Donors Don’t Tell You

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NGOs around the world may have preconceived ideas about what makes donors tick. Debunking some of the myths can help NGOs understand and build a great working relationship with donors. It will also advance your fundraising, as understanding what donors want is an important first step in fundraising success.

They need you

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Large donors typically have a specific problem they want to solve. Donors themselves are not implementing agencies so they need to find, work with, and fund NGOs who do the on the ground work for them. Without NGOs donors cannot achieve their mission! This means that NGOs are not just recipients of money, but true partners without which donors could not achieve the goals they have set out to reach. When you discuss funding with a donor the initial topic of conversation should be on how you can help them achieve their goal. You are not there to beg for funding, but rather to offer a solution as a partner.

They are open to negotiation

Donors are looking for NGOs that can deliver programming with high impact in a cost effective way. If you are the NGO that can do this for them then you are in a good negotiating position. If conditions a donor sets are impeding your ability to do the job, or causing challenges for your NGO, make sure you do not blindly accept their contract terms. Explain the challenges you face and the requirements (financial and otherwise) you have as an NGO, and negotiate an outcome that is equitable for both parties.

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They often accept unsolicited proposals

When donors indicate they do not want to receive unsolicited proposals or that they only fund pre-selected NGOs, this does not mean you can’t get funding. It only means that you have to find another way to be part of their inner circle. The best way to do this is to contact the donor, asking for an opportunity to discuss their goals and to present ways in which your NGO can help achieve those goals. If they are interested in a discussion, a solicitation for a proposal can sometimes follow. Your proposal now goes from unsolicited to solicited. The other NGOs they currently fund had to start somewhere as well!

They may be experts themselves

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Many donors have experts reviewing proposals and monitoring programs funded. A foundation’s staff often are recruited from NGOs and development agencies involved in the causes they wish to fund. For example, many staff at Gates Foundation have decades of experience in health, education and/or water and sanitation. These donor experts will be eager to discuss technical and program issues instead of starting with the budget.

Some donors may even be envious of you as an NGO worker. Many donors might miss being involved in the day-to-day operational side of programs and working directly with beneficiaries. Make sure you involve donors in your program development and ask for input on implementation, as this will both create buy-in as well as strengthen the relationship.

“No” often means “not now”

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Rejection does not mean the donor did not like you or your program. The reason for rejection more often has to do with the donor running out of budget, not being interested in your country or issue area, or for reasons of timing. Ask for feedback on why you were rejected and use it as an opportunity to learn and to develop a relationship. In many case ‘no’ means ‘not at this time but try again later’.

They want to travel

Donors are people too, and who doesn’t like to travel, visit new countries, and gain new experiences? You can invite a donor to visit you in your country and visit your program. Donors will appreciate the invitation and many look forward to visiting a program site. While many will also decline or have no budget to travel, some will say yes and that can be the start of a stronger funding relationship.

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They may not like risk

While a small number of donors are willing to bankroll high-risk, high-reward innovative and untested programs, this is the exception rather than the rule. Donor staff have a reputation and career to think about, and high risk programs that can end in disaster (e.g. no discernible impact or with resources being misappropriated) can damage a person’s future prospects. Sometimes donor staff are more comfortable picking the tried and tested methods just to ensure there are no surprises.

Erik Detiger

About Erik Detiger

Erik Detiger is the Managing Director of Philantropia, Inc and Fundsforngos LLC. As an independent consultant and trainer Erik has nearly two decades of experience working in the field of international philanthropy and fundraising. Erik has raised over US $150 million in the non-profit field for numerous international projects from a wide variety of government agencies, foundations, and institutions. He has been successful in raising funds from a range of international institutional donors. Erik has lived and worked in Africa, Asia, Europe and the US and has in depth knowledge of donors around the world.

Comments

  1. Avatarpramod deshmukh says

    December 9, 2015 at 11:23 am

    Good opportunity for the development sector in the third world .

  2. AvatarSAMSON MACHUI says

    November 23, 2015 at 4:46 pm

    I have learned alot and am gonna use this knowledge to run my young organization. TIA HOPE ASSOCIATION.

  3. AvatarMonicah Mutuba says

    November 21, 2015 at 5:22 pm

    Thanks so much your tips they will assist many. People should understand that they have to show what they have done with the funds. something that will assist people in different ways. I would request for your Email address I have a personal query. Thanks & God bless.

  4. AvatarJoseph Omoding says

    November 19, 2015 at 6:06 am

    This very good information that i have not being knowing. I am sure if use it in our NGO we will be able to get funding.

    Thank you for sharing.

    • Avatarchristine lusasi otido says

      February 2, 2016 at 7:34 am

      which is your Ngo.I would like to join.A based in Kisumu.

      • AvatarDeepika Singh says

        February 2, 2016 at 10:15 am

        Hi Christine,

        Fundsforngos is not a funding organization and we do not provide grants. We are a social enterprise that provides fundraising guides, resources, and the latest funding opportunities to help you fundraise better and secure grant funding.

        Please check out the many resources available on our site.
        https://fundsforngos1.wpengine.com

        Thank You!

  5. AvatarPatience Ndifor says

    November 18, 2015 at 3:04 pm

    Thanks for sharing these tips with us. I am very happy and will make use of them.
    Regards
    Patience

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