I hope everyone has had a fabulous Thanksgiving!
I have been doing consulting now for more than 30 years, and my partner and I have worked with more than 500 charitable organizations throughout the United States and Europe. The one thing that we find in common with our clients is that those who have an updated case statement (case for support) are successful, raise significant charitable dollars, have engaged leadership, and employ an organizational “culture of philanthropy”! Those that do not have a case, pull off a shelf a notebook dated several years earlier or hand us an old capital campaign brochure are usually struggling in their fundraising. Even more disturbing are those who do not even know why they should have a case statement!
Harold J. (Sy) Seymour, the dean of fundraising, has said, “To have a successful fundraising organization, you need three things: a compelling and urgent case, leadership, and an informed constituency.” He went on to say, “The case statement is an orderly compilation of those arguments that may be expected to influence a prospective donor to give or to act affirmatively and generously in behalf of a cause or an institution seeking aid.”
An effective case statement is more than just a brochure for prospective donors. It is the rationale for the very existence of the institution as well as for its growth and strengthening. It shows the institution’s productivity and demonstrates how the organization benefits society. It presents clearly the ways in which the organization wants to improve its service and highlights the new resources required.
To quote the venerable sage of the profession again, Sy Seymour, “Those who read this piece will actually want to read it and will really need to know what it says…as the basis for their own understanding.” Before a community leader–who is perhaps not involved with your organization or is involved only in a superficial way–can make an intelligent decision to become a fundraising leader, he or she will want and need the information contained in the case statement. Often, such leaders are used to making significant corporate decisions after attaining all of the facts available. Without these facts, they will delay or avoid the decision. When dealing with peers, they may not want to ask questions or may not know what questions to ask. Hence, the case statement will provide complete information, prevent misunderstandings, and give a clear impression that “the homework” has been done by your organization. With a properly prepared case statement in the hands of the right individuals, boards, and committees, enlistment in your fundraising operations should proceed as planned.
Donors who can make important gifts are routinely besieged with requests for money. They will not support projects considered to be “fly by night” or unworthy of their affiliation. A properly prepared case statement will do much to show the sincerity and value of the organization and will help to establish favorable consideration. Much as a banker demands full disclosure of a loan applicant’s personal and financial status before making a loan, the important donor demands full and complete knowledge of the projects he intends to support. The case statement provides that information. With such preparation and the right solicitor, securing the hoped-for gift should also proceed as planned. The informed and motivated donor is a generous donor.
Hopefully, by now, you will begin to appreciate the value of a thoroughly prepared case statement. The case statement truly is the foundation upon which the success of every development program rests.
So What Are the Elements of a Case Statement?
I. The Mission of the Organization
Donors are mission-oriented, and the first section of a case statement should define the mission of the organization. Prospective donors want to know why the institution was founded. What is its role in its community? If it were not in existence today, would it be founded? What is its philosophy of purpose? Finally, what is there in its heritage and present organization that must be preserved and strengthened?
II. The Organization’s Service, Achievement, and Productivity
Mission and purpose are important factors in obtaining support. Action, productivity, and achievement are also vital. How does your institution serve? How has it grown–in programs and in meeting the needs of your constituents, the community, and society? What kind of alumni have you produced? How has your institution grown in physical facilities, an endowment, and in philanthropic support?
Even more importantly, what are the measurable results of your institution’s programs and services? Many business executives are asking pertinent questions about measurable achievements of philanthropic institutions–such as the comments of Frédéric Lissalde, president and chief executive officer of Borg-Warner Corporation: “Philanthropy is not expected to show a profit, but it is supposed to have results. Inefficiency and unclear purpose can develop in both profit and nonprofit sectors. But in business, we are held to account: if less money is available, we must cut costs and do things better. In the future, businesses will be asking for similar accountability from philanthropy…. Frankly, the more we are asked for, the harder we must look at the requests. Grant seekers must go beyond simply asking in the name of a good cause… Philanthropic or business organization, we face the same rule: become more productive or be prepared to fade away.”
III. NEW Directions–How the Organization Wishes to Improve Services and Realize Its Full Potential
What are the long-range plans of your organization? What is the thrust the organization wishes to embark on? What are the objectives, new programs, and changes in current programs that will enable it to fulfill its mission in today’s world? What facilities must be improved or obtained? What financial support is required? In other words, what does your organization want to do that it is not now doing?
IV. What Are the New Resources Required?
What will it take in new resources to make possible your organization’s new thrust or continued programs? What new construction must be provided? What remodeling is needed, and what renovations are required? What equipment is needed? What endowment is needed for general operations, for support of faculty salaries, and for faculty development opportunities? How about for scholarships and financial aid? And what about for the library, for research facilities, or for just making ends meet? What is the level of current operational support required? And lastly, what are the priorities?
V. The Plan to Obtain the New Resources –The Development Program
Describe the major development program–its theme, goals, and length of duration. What are the goals for expansion and/or improvement of the physical plant, for equipment, for endowment, for current operations, and for estate planning?
What is the organization, leadership, and timetable? What public officials will be contacted, and when and what are the goals for each? What is the range of gifts needed? Are there opportunities for memorial gifts and with what price tags? What are the ways in which gifts can be made–such as cash, pledges, or estate planning?
VI. What the Success of This Program Will Mean to the Organization
Emphasize again what will be done with the funds sought, and what will success mean to your institution, to the community involved, to all constituencies, and to society.
VII. Volunteer Leadership
List the leaders of the development organization, the board of trustees, associates, alumni and parents, boards, the church constituency, other sponsoring and advisory groups, and other volunteers involved in the program.
The Process of Creating the Case Statement Is as important as the Final Document
A consensus will be reached through various drafts of the case statement, revision after revision, that will incorporate ideas from many key groups, such as trustees, faculty, administrative staff, patients, community leaders, donors, alumni, and parents. This process will give the program credibility, a clear sense of direction, and a definite plan that is not likely to change. A case statement also provides direction and a means of institutional communication, particularly during the important and formative days of planning and setting goals. Your case statement needs to engage the prospective donor. As such, you should describe how a prospective donor might participate in addressing the community problem or opportunity. Moreover, talk about how you can help the prospective donor achieve his or her own goals and dreams, and describe donor acknowledgment and recognition opportunities. Furthermore, you should focus on target audiences and the key messages for each audience.
Your case will not be acceptable to your donors if it does not answer these questions in their minds and every donor’s mind:
- Why should I invest in your organization? Does your mission align with my objectives?
- Why should I invest in this project? What will be the results?
- Why should I give now? With so many other worthy requests, how urgent is your cause?
- Why me? What’s the reason why I’ve been selected to give?
The informed and motivated donor is the generous donor!
Hopefully, by now, you will begin to appreciate the value of a thoroughly prepared case statement. The case statement truly is the foundation upon which the success of every fundraising program rests.
Next month, we will talk about the mechanics of writing your case statement. I hope you have found these ideas useful. If I can be of any further assistance please give me a call. To learn more about how The Huddleston Group can help you and our “special approach”, unique in the industry, please visit our website at www.TheHuddlestonGroup.com or email me at ron@thehuddlestongroup.com
Good Luck,
Ron Huddleston, FAHP, CFRE
President
The Huddleston Group
