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Ten Tips for Securing Corporate Funding

By Blythe Campbell

Many nonprofit organizations seek corporate funding as a part of their revenue mix - sometimes at the expense of developing more sustainable sources of revenue, but that is a topic for another day.

Corporate funders have some similarities to other donors, and some significant differences. Here are ten tips to give your organization a better chance to secure corporate funding:

  1. Understand the company's giving focus. Corporations have limited contributions budgets, so they often focus their giving in specific areas. Request their contributions guidelines, look at past news releases to see what type of organizations the company supports, and talk to the company's contributions manager.
  2. Personalize your request. Try to learn the name of the person who makes contributions decisions. If you do not have a name, address your letter directly to that company. At Northrim, we receive so many requests that we no longer reply to "Dear Supporter" form letters.
  3. Show how your organization or program fits the company's giving focus. Use words and phrases from the company's contributions guidelines so the contributions manager can quickly see the fit.
  4. Understand the corporate budget timeline. Many corporate funders work from an annual budget. Determine when they will make budget decisions for the year and submit your request close to that time - if you are too early, the contributions manager may not save your request until the next budget cycle. If you are too late, the budget may already be set for the year.
  5. Learn how the company's budget is allocated. Some companies budget a line item for each organization they intend to support. Others budget by focus area or geographic area. Budgets may or may not include discretionary funds that could support your request after that year's budget has been approved.
  6. Request a specific dollar amount that is within the company's normal giving levels. Ask the contributions manager the amount of their typical contribution. It is unlikely the company will give a substantially larger sum to your organization, particularly if this is your first request to them. And, asking for a much smaller sum may also result in a decline letter because processing many small dollar requests takes too much staff time.
  7. Get the contributions manager to make a site visit. You may have to be both persistent and patient, but if your program is a good fit, and the contributions manager sees your organization in action, you are more likely to get funding.
  8. Tell the organization how they will be recognized. Most companies want to be recognized for their contributions, but they do not want you to spend a lot of money and time doing it. Save the money you would spend on a plaque or a thank-you ad, and send a personal thanks to the company's president, acknowledge the company in your newsletter and on your website, and mention their name at special events.
  9. Report on your progress. Let the company know how their funds were used. A combination of hard data and storytelling help the contributions manager justify continued contributions to your organization.
  10. Maintain the relationship. Once a company decides to fund your organization, keep in touch with the contributions manager, put them on your mailing list, and do not forget to ask for their continued support. Some organizations are surprised when we stop funding them after a number of years - in most cases, it was because they did not ask for the money.

 

Blythe Campbell is the VP of Corporate Communications for Northrim Bank. Northrim's giving focus is 1) Community and Economic Development, 2) Higher Education, and 3) Disadvantaged Youth.

Northrim does not fund sports groups or activities or travel, and they do not make contributions to individuals. Their typical contribution is $1,000 and they only give in geographic areas of Alaska where they have facilities. Northrim budgets for specific organizations, with a very small discretionary fund for mid-budget contributions.raven

Their budget is developed from October through December of each year for the following year. More detailed contributions guidelines for Northrim are available from Blythe - you can email her at campbell.blythe@nrim.com for a copy.