Endowment Fundraising in a Challenging Environment

Transcription

1 Endowment Fundraising in a Challenging Environment United Church Funds Investor Conference January 17-18, 2014 Charleston, South Carolina Don Hill donhill@donhillconsulting.com

2 Agenda Challenges to Endowment Fundraising Strategies for Success Gift Vehicles Planning an Effective Endowment Fundraising Program Discussion 2

3 Challenges in Endowment Fundraising End of Perpetuity Challenges to Traditional Understandings of Stewardship Changing Views of Legacy Primacy of Impact The Changing Landscape for the Church Articulating a Compelling Vision 3

4 Strategies for Successful Endowment Fundraising A Comprehensive Range of Gifting Options New Engagement and Recognition Strategies Emphasis on Outcomes rather than Institutional Health Transparency A Compelling Case for Support 4

5 The Fundraising Process Building Strong Relationships with Prospects An Organizational Infrastructure that facilitates giving An Unapologetic and Compelling Case for Support An Appropriate Solicitation 5

6 Making the Case for Support Values Vision Outcomes What are the values that animate the life of our community? How do we define success? What specifically do we hope to achieve? What are indicators of our success? 6

7 The Case for Support Strategy Witness Invitation What is the strategy for achieving success? What barriers are to be overcome? How are we uniquely qualified to do this work? What are the stories of our success? How do we participate? 7

8 Questlove -- NYT, January 12, 2014 on Amiri Baraka... In another essay from around the same time, Milneburg Joys (Or, Against Hipness as Such), he [Baraka] worried that the avant- garde had been co- opted to the point where it was in crisis. People were pubing on the costume of rebellion and change, speaking what he called code words to appear credible, jumping on the bandwagon without any interest in its destination People sniffing around art that s trying to change society, and then dabbling on the scent of that art so that they, too, can seem like they re part of the solution... 8

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10 Gift Vehicles Planned Gifts Planned gifts are transfers of assets that, in addition to having a charitable dimension, have financial planning and/or estate planning impacts and are for long-terms support of an institution. Deferred Gifts Deferred gifts are those whose impact are not fully realized until some future date, generally at the death of the donor(s). Life Income Gifts Life Income Gifts are irrevocable transfers of assets creating vehicles whereby donors receive income for themselves or their designees, favorable tax treatment, and provide support from their assets to a charity of their choice. 10

11 Gift Vehicles Deferred Gifts Bequests Retirement Assets Retained Life Estates Life Insurance Life Income Gifts Important Additional Gift Types Donor Advised Funds Outright Gifts 11

12 Donor Advised Funds Irrevocable gift, Immediate tax deduction Charity must demonstrate decision making / control of funds Minimizes estate tax liability Avoids capital gains tax on the sale of appreciated property Provides continuing engagement for family members Assets may be depleted Less costly that other vehicles to donor and to charity 12

13 Planning an Effective Endowment Fundraising Initiative Visioning and Case Development Feasibility Fundraising Ideally the culmination of an on-going fundraising process Focus on long-term support of ministry / vision Promote the stewardship of assets by individuals and families Feasibility study as cultivation Integration with annual stewardship campaigns 13

14 Resources Mega Gifts, Jerold Panas "The Art of Planned Giving: Understanding Donors and the Culture of Giving, Doug White Wealth in Families, Charles Collier Endowment Policy Handbook 14

15 Contact Information Don Hill Don Hill Consulting Lynne Hansen Associate for Legacy Gifts United Church of Christ