Tips to Avoid Common Fundraising Mistakes

Implementing an effective, profitable fundraising event takes work….a lot of WORK!  A successful fundraising event requires extensive planning, strategy, budgeting and coordination.

The size of the organization is irrelevant; RAISING MONEY is the common theme.  Although, it is impossible to prevent all mistakes or foresee every problem that could occur; the following tips may help you avoid fundraising mistakes that can be the difference between a successful event and one that is not!

·         Mistake #1: Crisis Mode Fundraising

Avoid THROWING TOGETHER a fundraiser to address an immediate financial emergency. Hosting a fundraising event requires extensive planning. Allow a minimum of four to six months for planning.

·         Mistake #2: Failing to Research Conflicting Fundraising Events

The goal of a fundraising event is NOT to simply attract dedicated supporters of your cause, but to attract new donors and volunteers. It is imperative to thoroughly research Community Calendars and Similar Organization Website to help identify conflicts, ultimately increasing the likelihood of greater attendance and funds raised.

·         Mistake #3: Failing to Prepare a Budget

Failing to create and follow a strict budget can drastically and negatively impact profit potential.  Be mindful of expenses, large and small. 

·         Mistake #4: Dependence upon In-Kind Donations

Donated items are a key component for the success of a fundraising event and the planning process should include a strategy for requesting In-Kind donations; the danger lies in DEPENDING upon them. These items should be included in the budget and when (if) they are actually donated, then the profit margin is increased, but a loss can be prevented.

·         Mistake #5: Lack of Back-Up Planning

A back-up plan is needed in the event of inclement weather or unforeseen emergencies. Although, preparations can be made to move an outdoor event indoors, it is important to note that severe weather can negatively affect overall attendance. 

·         Mistake #6: Failing to Abide by Local Laws and Ordinances

Verify that the event is covered under an existing insurance policy or inquire as to whether or not an umbrella is necessary. Obtain ALL required permits and be aware of ordinances that have the potential to interrupt or shut down the event. (Example: Noise, Traffic and or Parking Ordinances.)

·         Mistake #7: Lack of Marketing Strategy

Social media (Facebook/Twitter) are great tools; however, this resource should never be relied upon as the ONLY source of marketing. If people are not aware of the event, they will not attend. Again, the budget should reflect a minimum amount for advertising costs.

·         Mistake #8: Professional Fee/Contract Misunderstandings

Read contracts CAREFULLY regarding payment, equipment and fees for speakers, musicians, etc.

·         Mistake #9: Equipment Issues/Security

When at all possible, have extra equipment or qualified staff that can correct or repair equipment or resolve an issue. Problems with sound systems, refrigeration units, air-conditioning/heating and electric outlets/problems can RUIN a fundraising event.  SECURITY is vital for the protection of attendees, workers and facilities.

·         Mistake #10: Failure to Form a Fundraising Committee

ALWAYS form a fundraising committee of dedicated volunteers who are willing to take charge of certain tasks. Never tackle the challenge of putting together a fundraising event alone or with minimal volunteers.