HBCU FUNDRAISING: CREATING A CLIMATE OF BUILDING NOT BEGGING BY R. WAYNE WOODSON
A strong fundraising plan is critical to the success of any nonprofit organization. Historically Black Colleges and Universities rely heavily on donations to implement their missions. Although HBCUs receive income from tuition, it is extremely important that they maximize support from alumni, faculty, staff, students, families, corporations, foundations, friends, and other organizations. With such a vast network of potential funding sources, it is interesting that there has been an increase of HBCUs experiencing challenges securing the necessary funding to ensure fiscal stability. Why does a fundraising challenge exist at some HBCUs? This question is frequently asked and the answers are not simple. There are a number of factors that might impact current funding. Although it is understood that fundraising is important, HBCUs are often focused on meeting immediate budgetary demands. Each of them is trying to secure every dollar possible for the institution. This task is being completed in a climate that in many cases is presenting an inaccurately negative narrative about HBCUs. This narrative hinders successful fundraising efforts. In many cases, HBCUs are attempting to meet fundraising goals with Institutional Advancement offices that are understaffed and underfunded. There are instances in which the entire Office of Institutional Advancement has less than four full-time staff people. Some of these offices have budgets that are significantly less than the amount necessary to meet the expected goals. For these offices, the idea of spending the time necessary to successfully cultivate a major donor is hard, because they have to maximize every minute for the greatest return on investment. Although that donor might give a large gift at the end of the cultivation process, the staff member working on the solicitation may have missed out on 10-20 smaller gifts that could have been used to meet immediate needs on the campus. In addition to offices being understaffed and underfunded, HBCUs do not have a history of creating donors in their current students. Many students feel that fundraising is something that is
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done by the administration. There is often a lack of connection between the current student body and the institution’s fundraising plan. A great deal of energy is spent instilling in students the school’s history and spirit, but that same effort is not regularly put into creating a student-centered giving program. If students are molded into givers from the beginning of their connection to the institution, then they will more than likely continue that behavior once they become alumni. Alumni giving is critical for institutional longevity. The success I have experienced throughout my 20 year fundraising career can be attributed to a three tier approach to giving. The process focuses on cultivating, securing, and acknowledging every donor (unless they have requested to remain anonymous). In the nonprofit sector, a great deal of resources are invested in cultivating and acknowledging. The investment creates a significant return, because it cultivates long-term donors who have developed a connection to the mission and work. The expectation is that this connection will motivate them to give more consistently without the need for such a great investment of resources in the future. Acknowledging donors and gifts creates a sense of value. Events to thank small and large donors impacts the securing of future gifts because donors see the importance of their investment. In many cases, donors who gave smaller amounts encouraged friends and family to contribute, which increased the donors pool and overall giving rates. In some cases, those small donors over time increased their own giving amounts. Cultivating and acknowledging are critical for fundraising success. When I started working with HBCUs, it was surprising that acknowledgement was not viewed as critical in the fundraising process as it was when I worked for arts and social service organizations. In some cases, HBCUs only follow-up with a thank you letter. Some donors did not hear from the institution
