Mastering Capital Campaigns: Sidestepping Common Mistakes

Here at Fundraising Sol, we’re veterans of nearly $1 billion in campaign results, and we’ve seen, heard, and learned a lot. We’d like to share with our readers a few things we’ve learned that may help and guide your campaign plans and gain even more successful results. Here’s some practical advice on how to avoid some campaign pitfalls.

Keep Your Annual Fund Going Strong

As you plan, incorporate annual fund planning too. Ensure you craft clear messaging for your annual fund, campaign staff, and volunteers. Campaign gifts are to be considered and pledged in addition to, not instead of, gifts to your annual fund. As obvious a point as this may be, there are organizations that don’t prepare for this, resulting in an annual fund that becomes static or even diminished. Actually, there’s a great opportunity to use the visibility and excitement of a campaign as a stimulus to broaden your pipeline of annual donors, particularly at the base of your giving pyramid while your campaign seeks leadership and major gifts.

Crunch The Numbers (And Then Crunch Them Again)

Whether your capital campaign is focused on new/renovated spaces or new/enhanced programs, there will be new costs associated with new endeavors. These costs must ultimately be absorbed into your annual operating budget. Work with your finance director to develop projections that incorporate these increased costs. This may mean forecasting expenses over a long enough period of time to show the impact on your operating budget beyond the impact of the campaign. Additional revenue will need to come from growth in both earned and contributed revenue streams, and your organization will need thoughtful planning to accommodate projected expense growth, ensuring future fiscal health.

Make A Campaign Plan That Works For Your Organization’s Size, Reach, and Budget

Each organization has its own unique “ecosystem.” There is no one campaign process that works for all. As soon as thoughts of a campaign emerge, begin to consider what resources you will need in order to conduct it, and begin to incorporate the beginnings of a campaign plan into the organization’s overall strategic thinking. Begin to think about who might lead your campaign, and what resources (human and financial) might be required to support early steps forward. If you will be engaging counsel, preliminary planning in advance is crucial. The more and better prepared you are, the more productively and effectively your consultant(s) can guide and assist you. Identify what you need and don’t need; it will inform your relationship with counsel and any temporary campaign staff. If you don’t have existing funds to cover early campaign planning costs, think about patrons and donors who might provide support just for early planning that takes place before campaign pledges begin to flow.

Plan For The Campaign Responsibilities Of The CEO And The Development Director

We know of organizations that have projected the time required of the CEO and development director for campaign activity and placed that required percentage into her/his/their position descriptions. If you are the director of development, it will be your responsibility to manage and triage the CEO’s time commitment to the campaign. You will want to incorporate this into your own position description, in addition to other campaign management responsibilities. This will impact your time and augment your workload, necessitating consideration of either “offloading” certain responsibilities or adding staff.

One Last Piece Of Advice: Have Fun And Enjoy The Journey!

While campaigns are intense and demanding, sometimes straining resources and patience and competing for time with other important priorities, they can also be fun and joyful. Be sure to allow for celebration of the successful milestones you are sure to achieve. A well planned campaign will stretch and grow your organization’s capacity, and – as it does – you and your colleagues and volunteers will also stretch and grow in experience, skill, and knowledge of your community and its priorities. That’s a huge win!

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Francie co-leads Fundraising Sol’s capital campaign clients, bringing decades of expertise in fundraising, governance, and campaign strategy. She has helped lead fundraising initiatives generating nearly $500 million in support for education and cultural institutions. She relishes in time with her English Springer Spaniel, Arthur, and all things spaniel-related.