Fundraising improves, but gains less than hoped

In addition to getting to know their donors, local organizations that said their fundraising is holding steady or increasing said they’ve been trying to help their donors get to know the charities better.

Easter Seals Arc increased its fundraising in part through a focused endowment campaign, Arc Foundation Executive Director William Andreas said. A small, committed group of donors gave more than $500,000.
And when government support was cut, Easter Seals Arc appealed to its patrons, who in turned stepped up to help to bridge the gap, Andreas said.

If you have some neat, new and exciting visions of the future, donors want to make an impact, he said.
Kay Ostrum, executive director of American Red Cross of Northeast Indiana, said she has optimism for her organization’s fundraising development.

But that doesn’t mean it hasn’t been a difficult time.

Holding steady is good, but when the need increases, you really need to grow, Ostrum said. We are going to focus on individual donors and educating the public.

In the local American Red Cross case, that involves more outreach stressing what the organization accomplishes within potential donors own backyards. People donate to Red Cross when there is a major disaster, such as the recent earthquake and tsunami in Japan, she said.

But they don’t always realize the local chapter does its own work, more than just the omnipresent blood drives, and must conduct its own fundraising.

It provides food and shelter to families after floods and tornadoes, and in northeast Indiana, assists families after house fires an average of every three days, Ostrum said.

Focusing on public education has been enlightening; Ostrum has encountered the misconception that the 130-year-old American Red Cross is a government agency.

Despite its success, the chapter has faced shortfalls in some areas. Foundations have taken a major hit, and because the American Red Cross is supported by some foundations, that hurt is passed on in the form of fewer and smaller grants.

And it relies heavily on the fees it takes in for providing training to businesses, such as disaster-preparedness and first aid. As the recession took its toll, many businesses cut back.

The Nonprofit Research Collaborative survey showed smaller organizations – those with expenditures below $1 million – didn’t make the same gains or even hold steady as well as larger ones.
ARCH, northeastern Indiana’s non-profit historic preservation organization, would be classified as a small organization by those terms.

Executive Director Angie Quinn said her organization suffered from the decrease in grants available last year but managed to keep sponsorships steady for the events it holds to raise money.

That came in part by recognizing many local businesses are hurting, too. Quinn said ARCH asked for smaller amounts of money for sponsorships and also tried to provide the sponsors with greater visibility by including their logos on signs and event paraphernalia.

They feel like they get more from it, she said.