How to Raise More Money: A 7-Step Framework

Every school leader I have met would like their school to be better resourced. They would like more money for programming support, faculty hiring, professional development, tuition assistance, and campus expansion. For two schools with comparable programs, quality of teaching staff, extracurriculars, and campus, additional funds can mean the ability to differentiate from your competition.

Those dreams of extra resources can feel farther from reality when you lead a school with a small fundraising team or "shop." When I think of a small shop, three or fewer people are dedicated to development efforts at the school. But I also know that the term "small shop" is subjective. When I lead workshops for development professionals on this topic, I will have people attend who work in a development team with 8 or 10, or 12 people, but it feels small or feels under-resourced for the workload they have.

I'm going out on a limb and telling you my hypothesis: The thing that differentiates a school from its peers is the commitment to a successful advancement program. Not fundraising per se, but wide-angle, comprehensive, deep strategy advancement. You won't get there with candy sales or your spring auction as your primary source of fundraising income. Here are seven generative questions that I ask my prospective clients. Each question helps me and my client decide where to begin our work together.

One: Is the Annual Fund healthy?

The basis of any development program is the annual giving campaign. As a school gets ready to raise money for a large capital project, for example, the success of that capital campaign can be indicated by the ongoing management, progression, and successful stewardship of the annual fund program and its donors. The annual fund should grow each year, and the team should cultivate a solid pipeline of new leadership donors each year.

Two: Are there Cases for Support for key program areas?

Every year the development team should work in tandem with the Head of School, the CFO, and program leaders to decide what the needs are within the key program areas of the school. Some parts of the program have line items in the operating budget, and some might be wish list items. Still, these Cases for Support are essential for facilitating more significant conversations with potential leadership donors.

Three: How much time is spent identifying, cultivating, and asking potential leadership donors for gifts? What about stewardship after the gift?

Assess how the team spends their time. They should be able to schedule and conduct a certain amount of discovery meetings, ask meetings, and stewardship outreach each month. If they don't have time to do those things, the team might need professional development, and there might be pieces of the current development program that should not be their responsibility.

Four: Is the development program being cannibalized?

At many independent schools, the current parents give the lion's share of donations to the school. In others, the alums are the key giving constituency. But, if the parents at your school are being asked for money for all sorts of things at all times of the year, it's challenging to raise money for the annual fund from them, and it's even harder for parents to understand what the tuition covers. They will assume the school cannot afford the basics or, worse, cannot manage its budget.

I consider cannibalization to be things like: athletic booster club sales, small-scale parent association fundraisers like the sale of candy, plants, or wrapping paper, asking parents to buy supplies or costumes for the play, field trip expenses, sports fees, and the worst offender of cannibalism is when the school decides to raise money for another organization. If a school feels the need to raise funds for another cause or crisis, stop, and decide if this is an issue for your school to take a position. If so, then decide how best to support your school community during this crisis or concern. Can the school further the discussion surrounding this issue? Can families send needed supplies? Can students volunteer in some way?

Five: Does every development event have a goal that will translate to cultivating leadership gifts?

Getting rid of all your events isn't necessary, and for many schools, they are very popular and do build community. But, only have the number of events your team can use as springboards for individual conversations afterward with attendees that they've identified as potential leadership donors. If there is no follow-up or progression for some of the donors, then the event fundraiser is like a treadmill. The gifts are more transactional at an event, and it's back to square one after each event, and there is no real advancement of the program or relationships with your donors.

Six: Is the board of trustees giving and helping you fundraise?

At schools in the US, it is generally part of a trustee's duty to make the school a priority among their annual charitable contributions and actively advance the school. Unfortunately, I hear over and over that trustees are not participating in the way the development team and Head of School would like. All parties are frustrated and annoyed. The school leaders stand by, waiting for trustees to jump in, start raising money and connect the school to fantastically wealthy people.

It rarely works like that. That's because most trustees need help figuring out what to do. It's up to the development director and the Head to lead the trustees to help them understand their role and how to work with the school to the best effect. The school leaders need to be responsible for the trustees' professional development so that trustees know how to be helpful and can be held accountable for their role in development efforts of the school.

Seven: How are the development program goals set and results benchmarked?

Development does not operate in a vacuum and should not be a stop-gap for school budget shortfalls. Sadly, sometimes the Head and board set a goal for development that is not based on donor capacity or prior fundraising history but rather the need to bring in money to float an educational program that might be struggling due to declining enrollment or increasing costs. But, those budget decisions need to be made holistically and consider why the shortfall is happening and what are realistic development goals based on several key levers and indicators.

By increasing your commitment to the advancement of your school beyond the fundraising events, the vision you have for your school can become closer to reality.

The author, Jill Goodman, is a consultant working with independent school leaders to advance their school's mission, enhance their processes, and bolster their skills. Learn more about all services here.