With the Covid-19 pandemic, we have talked a lot about strengthening your relationship with your donors – something we believe that should be going on all the time. I must admit this pandemic has reminded me of a colleague and his approach to planned giving. Let me share his story with you and how to start a planned giving program, no matter the size of your staff or organization.
Most nonprofit organizations, regardless of size or location, can and should have a planned giving component as part of their overall resource development program.
Your organization should look at every possibility to raise funds in support of your mission. Planned Giving is as equal to your special events, annual membership or fund drive, or a direct mail program in its importance. All of them are merely tools in your toolbox. Your overall resource development effort should offer your donors multiple ways to support your mission. How they choose to support you is up to them. And you want to offer choices that are appropriate for all points along their lifetimes ─ from acquisition to annual support, to perhaps a major gift or capital campaign contribution, to a planned or ultimate gift.
I am often amused when I attend the myriad of planned giving conferences and workshops across the country that promote the next best technique that maybe, on a good day, one out of hundred of us would ever use. Nevertheless, it seems that there is always the “technique” of the day. Meanwhile, no one talks about the power of relationships ─ until today.
Twenty years ago, I had an opportunity to mentor an accomplished senior fundraising executive on planned giving in his new role as vice president of planned giving for a hospital in Northern California. While I was preaching the accolades of charitable remainder trusts, gift annuities, and bequests, he spent the next few years making friends.
He directed his attention to caring about his donors and their estate planning needs and those of their families first, and not his hospital’s needs. By focusing on his donor priorities, he was able to establish relationships that few of us could ever match. Let me share some examples of the things that my friend Rick has done for six different donors:
Lorraine: helped her find a retirement center to move to and physically coordinated the move ─ much more than she could physically handle.
Mel: took on a backpacking trip ─ something he wanted to do but had never done during his 80 years of life experience.
Paul: earned confidence and respect that led to overnight stays in his home and shared motor home trips.
Dick: became his caretaker when his health began to fail and he had no family or friends to help him.
Mike: said goodbye to him on his deathbed assuring him that as executor, his wishes would be carried out.
Jay: was included in our family festivities and was on call 24/7 to assist him when he received a call for a lung transplant.
Now I know that many of us send letters, brochures, birthday cards, and annual reports, and we may be even make an occasional telephone call. But when was the last time you left your office, got in your car, delivered your latest brochure, and spent the afternoon really getting to know your donors and their family members? When was the last time you picked your donors up at their homes, brought them to your organization, and introduced them to your CEO? And when was the last time that you gave them a tour to show them how “they” were making a difference for so many others? How about when you just drove them to their favorite market or restaurant because they could not easily get around as they once could?
Yes, this takes time a lot of time. But I believe that time well spent is time that will pay a multitude of dividends for your organization and for you personally. When I heard what my friend Rick had actually done for a variety of his donors, I could not help but to tear up a bit, as I am sure you would have. Honest caring and friendship make for a powerful bond.
Does this approach really work? Well, it seemed to work for Rick! When he started in his position, they had no planned giving program and virtually no endowment. Upon his retirement, fifteen short years later, they had more than 50 trusts under management that totaled more than $74 million and nearly $50 million in current and future endowment commitments! Oh, by the way, those six earlier donor examples accounted for more than $23 million in gifts.
Remember philanthropy, and especially planned giving, are all about the relationship you have with your donors. So my advice to you is this: the next time you have an opportunity to go off to some fine hotel for a few days to learn about the benefits of a charitable annuity lead trust funded with an alpaca ranch or stay home and spend some quality time with three of your donors, choose the donors a little more often. Your donors and your organization will be glad that you did.
I guess it is safe to say that the mentor in this story has become the mentee. Thanks, Rick, for the great example on how to give back while doing your job.
If you are considering starting a planned giving program, please download The Huddleston Group’s “8 Things to Consider before Starting a Planned Giving Program.” Enjoy.
Please join me and Brent Hunter, Executive Director of Planned Giving for North Orange County Community College District in October at the Community College CASE Conference in Anaheim. Our session will be on how to establish a planned giving program in a one or two-person shop.
Good Luck
Ron Huddleston, FAHP, CFRE
President
