Forging Strong Foundation And NPO Relationships!
Rachel DeMatteo, a Director at Your Part-Time Controller (YPTC), discusses the importance of forging strong relationships between nonprofit organizations (NPOs) and foundations with effective communication, understanding, and collaboration. YPTC is a company that provides financial services to nonprofits and has recently launched a foundations vertical to specialize in working with foundations.
DeMatteo highlights the significance of being audit-ready for nonprofits. She explains the difference between external reports, such as audits and 990 forms, and internal reports. Foundations often request audits and 990 forms to gain confidence in the financial information provided by nonprofits. Dematteo suggests that foundations should consider the capacity of nonprofits and the level of financial information they can provide. She encourages foundations to have open conversations with grantees to better understand their financial practices and explore ways to support them in improving their back-office operations.
The discussion also focuses on the challenges nonprofits face when dealing with grant requirements and templates. Dematteo acknowledges that foundations use templates to ensure consistency but warns about the potential for errors and the need for interpretation. She suggests that foundations consider using the categories from the 990 form, which is a more universal language for financial reporting in the nonprofit sector.
The interview touches upon the changing landscape of philanthropy and the increasing emphasis on trust-based relationships between foundations and nonprofits. Dematteo mentions that some foundations are reevaluating their grant requirements and seeking feedback from grantees to streamline the application process and make it more cohesive. Both the foundations and nonprofits are encouraged to have open communication and build partnerships to achieve their . . . . . . . . .
Engaging Donors Where They Are Now! (Blackbaud Giving)
The Blackbaud Giving Fund is a 501(c)(3) sponsor of a donor-advised fund that supports workplace giving and peer-to-peer fundraising. They distribute funds to nonprofits based on donor recommendations. Matt Nash, the Executive Director of the Blackbaud Giving Fund, discusses the importance of engaging donors “where they are now”, with insights into engaging donors effectively, adapting to changing donor attitudes, and leveraging technology and data to improve donor communication and relationships.
Nash highlights the need for nonprofits to be more intentional in their approach to donors. He explains that donors today want to be more involved and understand the organizations they support on a deeper level. They are looking for alignment with their values and want to have a meaningful impact, presenting both an opportunity and a challenge for nonprofits to effectively communicate and connect with donors.
The discussion also touches on the issue of donor contact and communication. Nash suggests that nonprofits should be where their donors are, whether it’s through physical or virtual platforms and emphasizing the importance of telling impactful stories and providing information about the purpose, outcomes, and impacts of nonprofit work. Nash also mentions the use of technology platforms and databases to identify and target specific groups of donors, allowing for more personalized and effective communication.
The conversation then shifts to the attitudes and behaviors of the next generation of donors and how younger donors amplify the existing trends seen among donors today. They are even more interested in getting engaged and want to know more about the causes they support. Nash highlights the potential of these younger donors . . . . . . . . .
Inside Successful Corporate Sponsorships!
An excellent primer underscoring the shift towards partnership-focused relationships between nonprofits and corporate sponsors. Heather Nelson, President and Lead Consultant at BridgeRaise.com, shares insights on successful corporate sponsorship strategies. She emphasizes the importance of building value-aligned and relationship-based partnerships with corporate sponsors.
Nelson highlights the shift from purely transactional sponsorships to more purpose-led partnerships. While marketing elements still play a role, companies are increasingly focused on making a joint impact with nonprofits and engaging employees. She encourages nonprofits to ask questions and understand what sponsors are looking for, as it can vary from company to company.
The conversation also delves into the significance of long-term sponsorships and the challenges of budget uncertainties, suggesting setting up multi-year agreements with a base commitment and adding on additional elements annually. The key is to establish a strong relationship and align business goals to make multi-year partnerships more appealing to companies.
The discussion touches on the value add that corporations seek from their partnerships, including employee engagement opportunities and a “frictionless relationship” with the nonprofit. Nelson advises nonprofits to simplify their mission and impact to make it easier for sponsors to understand and engage with.
This episode also explores the topic of exclusivity in partnerships, elaborating on how exclusivity clauses can work in certain situations, but it is essential to consider the intentionality and specifics of each case. Being transparent and finding ways to give each partner a unique experience can help navigate exclusivity concerns.
Heather makes a particular emphasis on the importance of year-round communication with corporate partners, rather than just focusing on the event . . . . . . . . .