by Dr. Kevin Dean, President & CEO, Tennessee Nonprofit Network
The Unspoken Expectation
There’s a persistent myth in the nonprofit sector that fundraising is solely the purview of the development staff or the executive director. This belief often leads to a critical disconnect, especially when board members express discomfort with the idea of “asking for money.” While their volunteer status is important to acknowledge, it’s equally important to understand that serving on a nonprofit board comes with inherent responsibilities, and among the most crucial is the commitment to financial sustainability.
Consider a board member who says, “I’m not comfortable asking for money.” While seemingly benign, this statement, when translated, reveals a concerning lack of understanding regarding their role. What they are missing about the role of boards:
- Every dollar raised directly fuels programs, services, and operational capacity. A reluctance to engage in fundraising is a reluctance to ensure the organization’s continued existence.
- Board members are often chosen for their networks, influence, and connections within the community. These relationships are invaluable assets in identifying potential donors and advocates. To shy away from leveraging these connections for fundraising is to undervalue a key benefit they bring to the table.
- Governance and financial oversight are fundamental duties of a nonprofit board. Financial oversight extends beyond just approving budgets; it includes actively contributing to the generation of the revenue that fills those budgets.
The Double Standard
You wouldn’t accept such a statement from any other critical role within your organization. Imagine your program director declaring, “I’m not comfortable managing programs.” Or your finance director saying, “I’m not comfortable with budgets.” What about your executive director stating, “I’m not comfortable with strategy”? Such declarations would rightly be met with concern and a need for immediate intervention. These individuals are hired and compensated precisely for those core competencies.
Yet, somehow, board members, who hold ultimate fiduciary responsibility for the organization, are often given a pass on the one activity that makes everything else possible: fundraising. This double standard is perplexing and detrimental. It allows board members to sidestep a fundamental duty, placing an undue burden on staff and hindering the organization’s ability to achieve its mission.
The Reality of Reluctance
When a board member expresses discomfort with fundraising, it often boils down to a desire for the prestige of leadership without the accompanying responsibility. They want to govern an organization they’re not willing to actively help fund. This is a strategic impediment.
Meanwhile, the organization and its dedicated staff are left scrambling. They may hire consultants to teach board members skills they should inherently understand or be willing to learn. They might make awkward excuses to potential donors about why their own board hasn’t fully invested in the mission, creating a perception of a lack of commitment from within.
Fundraising is Not Just Asking for Money
It’s important to clarify what “fundraising” entails for a board member. It’s not necessarily about becoming a full-time solicitor. Instead, it encompasses a spectrum of activities that contribute to financial sustainability:
- Identifying Prospects: Board members often have extensive networks and can identify individuals, corporations, or foundations that might be interested in supporting the organization’s mission.
- Opening Doors: They can facilitate introductions and warm leads, paving the way for development staff to cultivate relationships.
- Making Personal Connections: Attending cultivation events, hosting small gatherings, and engaging in one-on-one conversations with potential donors can be incredibly effective.
- Making Personal Contributions: A 100% board giving rate, regardless of the amount, sends a powerful message to external funders about the board’s belief in the organization.
- Thanking Donors: Expressing gratitude is a critical part of donor stewardship and can be a meaningful role for board members.
- Advocacy: Speaking passionately about the organization’s work and its impact can inspire others to give.
- Being an Ambassador: Representing the organization positively in their communities and professional circles.
The discomfort with fundraising is a leadership failure that carries significant costs for the organization—financial, reputational, and in terms of lost momentum.
Cultivating a Culture of Philanthropy
To overcome this challenge, nonprofits need to foster a culture where every board member understands and embraces their role in philanthropy. This starts during the recruitment process. Organizations should explicitly communicate the expectation of fundraising involvement from the outset. Prospective board members need to understand that their commitment extends beyond attending meetings and approving budgets; it includes active participation in resource development.
Here are strategies to cultivate a fundraising-engaged board:
- Clear Expectations: Develop a clear board member job description that explicitly outlines fundraising responsibilities. Discuss these expectations during the recruitment and onboarding process.
- Training and Education: Offer training sessions on fundraising basics, donor cultivation, and how to effectively tell the organization’s story. Demystify the “ask” and provide practical tools.
- Lead by Example: The executive director and development staff should model fundraising best practices and demonstrate how board members can contribute effectively.
- Tailored Roles: Recognize that not every board member will be comfortable making direct asks. Identify various ways they can contribute, from making introductions to hosting events or thanking donors.
- Celebrate Success: Acknowledge and celebrate board members’ fundraising efforts, no matter how big or small. This reinforces positive behavior and builds confidence.
- Regular Reporting: Provide regular updates on fundraising progress and how board efforts contribute to the overall financial health of the organization.
- Peer-to-Peer Encouragement: Encourage seasoned board members who are comfortable with fundraising to mentor and support those who are less experienced.
The Cost of Complacency
Accommodating board members who are unwilling to participate in fundraising limits an organization’s potential. It creates an unnecessary burden on staff, strains resources, and can project an image of an uncommitted leadership team to external stakeholders. In a competitive philanthropic landscape, an engaged and proactive board can be the differentiating factor between an organization that merely survives and one that truly thrives.
Recruiting leaders who understand that asking for money is not a burden but an opportunity to advance the mission is paramount. When board members embrace their fundraising role, they aren’t just contributing financially; they’re demonstrating profound belief in the organization’s work, leveraging their influence for good, and actively ensuring its long-term viability. A board that won’t fundraise isn’t truly leading; it’s limiting the organization’s ability to fulfill its vital purpose.