Board Member’s Roles in Nonprofit Fundraising According to Nonprofit Research Collaborative Report

Reports and research are important tools that allow fundraising professionals to stay informed on the nonprofit fundraising landscape and emerging trends. I often write about the latest studies on various aspects of fundraising like the latest Blackbaud Index, How America Gives Report and the 2012 Nonprofit Communications Trends Report to name a few recent ones. Today I’m writing about a report released by The Nonprofit Research Collaborative which is comprised of the Association of Fundraising Professionals, Blackbaud Inc., Campbell Rinker, Giving USA Foundation and The National Center for Charitable Statistics at the Urban Institute. The Engaging Board Members in Fundraising special report was based on research conducted in early 2012 that examined board members in more than 1,700 nonprofits in the US and Canada and I found some of the information particularly insightful.

The report provided a great overview on the role of a board member (which can be extensive) and how they fit into an organization’s fundraising plans. Aside from helping to establish and manage the organization’s credibility, integrity and compliance, they also oversee the financials and monitor the strength and effectiveness of its fundraising programs and support services. The following are 5 things I learned about board members and their involvement with fundraising.

1. Board Members Value to a Nonprofit – In addition to some key responsibilities that I listed above, the value of Board Members to a nonprofit includes giving the organization access to new perspective donors. They also promote the nonprofit’s value to the community by their direct association and publicly show their commitment to the organization and what they represent.
2. Board Size – I was surprised by the size that boards can be with an approximate 41% having between 11-20 board members. Interestingly the larger the size of the board does not necessarily translate to better results. 68% of nonprofit respondents with a board of 21 to 30 members met their fundraising goals in 2011 while only 62% of respondents with more than 30 board members did. On the other side of the spectrum, smaller (those with less than 10 members) may have too much on their plate to actively participate in fundraising as only half of these respondents met their goals in 2011.
3. Member Contributions – I didn’t realize that so many nonprofits require their board members to make a minimum contribution to their organization. 57% of all respondents make this a requirement with the average contribution in this study being $4,977. As I continued reading the report, it made sense for this to be a requirement as it motivates board members to pay closer attention to the organization’s financial viability and credibility as they would have a vested interest. Furthermore, potential donors may shy away from contributing to organizations that don’t have boards that are also donors.
4.  Fundraising Committee – Implementing a fundraising committee can add to a nonprofit’s fundraising success as 63% of nonprofits that had a fundraising committee met their fundraising goals, versus 52% that did not have a committee. The committee is responsible for outlining fundraising initiatives while setting and monitoring goals. Having board members as part of the committee will ensure that they take an active role in the organization’s fundraising efforts.
5. Board Engagement – There are numerous methods for boards to engage with (potential) supporters and on average nonprofits used between 5-6 methods with the most popular being: providing a contact list (79%); allowing use of name (79%); asking a friend or associate (78%); and making an introduction (76%). Other engagement methods included board members hosting events, making personal visits and participating on the fundraising committee. Almost all methods provide the nonprofit access to a group of potential supporters they would not have had otherwise without the board member.

It’s evident that the role of a board member in a nonprofit organization is critical to the success of their mission. However beyond their regular duties, fundraising is clearly a critical responsibility that each member must undertake. The Engaging Board Members in Fundraising special report is very extensive in its findings and it will be interesting to see how this report develops over time and expands to include social media amongst other details.

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