Rain Rain Go Away!

Its raining here in Salt Lake City.  As long as it stays dry for upcoming outdoor special events like golf tournaments and spring galas.  With the change in the economic climate, is your organization doing more or less events?

MIA -- Yes, I've been missing in action

Hi everyone,

I have been swamped with deadlines lately but I haven't forgotten you.  I came across this great article about board recruitment the other day.  I hope this article is helpful to you.  The article provides some tips for not re-inventing the board recruitment process every time you have to fill a vacancy.  But the most important tip is that every board should conduct an inventory of the skill sets of board members.  This will make your search for new board members much easier.  Instead of looking for someone, anyone that can be on the board, your search will be limited to individuals with skill sets that are needed.

Recruiting Board Members

Enjoy!

Thank You, Zions Bank.

Today, I helped Zions Bank introduce their nonprofit initiative to 15 of their nonprofit clients.  I will be teaching a 10 session curriculum on organizational lifecycles, leadership, fundraising, board development and planning starting in April.  I am very excited about this new cohort of executive director leaders!  Thank you, Zions Bank for your forward thinking and support of our nonprofit community.

Energize Your Board Meeting and Get More Done!

 As a consultant and board member of a number of nonprofit organizations, I have sat through my share of board meetings.  Some board meetings have been painful to sit through for a number of reasons. On one occasion, my presentation was the second item on the agenda.  The first 30 minutes of the meeting was "waiting until everyone arrives" and I watched the executive director running around making copies.  The next 20 minutes was spent reviewing the wrong and then the correct meeting minutes.  After 90 minutes, I was able to make my presentation!  They still had 9 more agenda items to go!! 

Here are some tips on how to make sure your board meeting is one where things get done:

Honor start and end times.  There should be no reason why a board meeting cannot start and/or end on time. Your board members are volunteers and you should honor their time. 

Prepare your materials.  Unlike my example, give meeting participants agendas -- and any additional information -- at least 48 hours before the board meeting.  With email, fax, smart phones, etc., there is no reason why the board members shouldn't have the board meeting agenda before the meeting. 

Organize the agenda.  The agenda should be organized according to time and timing.  If you know certain items will take more discussion time then allow for it on the agenda.  Don't start with this item as you will most likely not move onto other items on the agenda. I suggest that you spend the last part of the agenda reviewing the list of action items and those responsible for completing them.  These items will be on your next meeting agenda. 

The Board Chair and Executive Director should make sure that those making presentations are ready to present. 

Adopt a consent agenda.  Leave more time for real discussion with the adoption of a consent agenda.  These are items that are for information only for board members and do not require discussion.  A consent agenda means that board members must read and review their board packet before the meeting.  A consent agenda can be reviewed and approved in 5-10 minutes and leaves much more time for real issues. 

Limit discussion.  When discussions threaten to go out of control, the chair (or the person facilitating the meeting)  must gently and politely take control.  I have seen skillful facilitators thank the group for feedback and say, " given the time constraints, we can't go into that much detail."  Good preparation of presentations will keep people from asking irrelevant questions. 

I'd like to add that a meeting facilitator will also not allow that one person or only a small group of the members dominate the discussion.

Leave time for Generative Discussions.  With the adoption of the consent agenda, your time is freed for generative discussions.  These discussion topics are wonderful for planning.  "What if we buy our own building," was a generative discussion question in a board meeting I facilitated recently.  The board had 20 minutes to go through the pros and cons of buying a building in today's low prices.   

These discussions allow your board members to explore new options for the direction of the organization. 

I hope these tips invigorate your board meetings. I'd love to hear from you about other strategies you have tried to energize your meetings.

Now for the giveaway. Do all of this and your name will be entered into a drawing for 

one hour of free fund development consultation from me.  This can be done in person or via telephone. To be eligible, you must:

1) Leave a comment on today's blog post. 

2) Be a follower on my blog. 

3) Suggest a future topic in the comment section. 

Good luck! 

         

Homeboy Industries

I love the ingenuity of this organization.

Homeboy Industries with chips and salsa/

Any of you embarking on an out-of-the box fundraising strategy?

The Executive Director's Report

Every board meeting agenda includes the Executive Director's Report.  In my opinion this is one of the most important pieces of information the board receives as part of a board meeting.  I was talking to a young Executive Director recently and he mentioned that he wasn't sure what kind of information his report should contain. 

"I don't want to overwhelm the board with too much information," he said.  How much is too much and how much is too little information for the board?

 

I have put together a few tips on what the Executive Director's Report should contain.

    1.  Strategic Plan update-- the organization's strategic plan is your framework for the report.  What have you (as the Executive Director) done to further the strategic plan?  What goals or objectives have been worked on? What progress has been made?

2.       Successes- Be sure to include success into your Executive Director's report.  This is your opportunity to talk about the achievements you've made.  Feel free to include follow up on items from the previous meeting.

3.      Program Highlights --I was a board member of an organization that included program highlights in the Executive Director's report.  It included a short synopsis of the program, its goals, funders and how the program helped to meet the mission of the nonprofit organization.

4.       Opportunities-- The board report should also be used to describe opportunities with partnerships, collaborations, alliances and funding.  Describe things that you see as leverage points for the organization. 

5.       Try not to overwhelm--As Executive Director you are very knowledgeable about issues that relate to your programs and mission.  One mistake I commonly see with the director's report is giving the board way too much information to chew off at one time.  Your board members are smart people but they don't live and breathe the work that you do.  So feeding the information to them in bite size pieces is very important.

6.      

      Survey them-- I want to add this last tip because in this day and age it is so easy to survey board members without picking up the phone.  Go to www.surveymonkey.com and create an easy and short survey to get input from board members on what they would like in the Executive Director's report. 

These tips will hopefully enable you to provide more informative reports to your board of directors.

Next time, the topic will be How Diversity Can Positively Impact Your Fundraising Goals.  I also have a special giveaway for followers.  So stay tuned. 

We've been featured!

Our Confessions of a Foundation Executive post was featured on another blog.  Click here to check out the Grant Writing Online Course blog.

Grant Writing Online Course

They have excellent resources for all your grant writing needs.

Great advice... too good not to pass along

Hi everyone,

I met a new friend in blog world.  This is a great string of comments about grant writing.  Enjoy!

http://grantwritingonlinecourse.com/grant-writing-help/grant-writing-tips-what-is-the-single-most-important-advice-you-would-share-with-someone-new-to-grant-writing-pt-3/#more-561

You Never Get a Second Chance

Today, we are in for a treat! I've invited a guest blogger, Gloria Lara to tell us why first impressions are so important for any company or nonprofit.  Gloria has worked in nonprofit organizations, for profits and her own family business as well.  

Let's see what she has to say....

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You’ve all heard the saying “you never get a second chance to make a first impression”  

     

It’s especially true about your organization. When people enter your office for the first time, they can see and feel the culture of your organization by how they are greeted upon entering your doors. This is why it is so important to make sure your front desk area and lobby, including your receptionist, are in tip top shape. Does this mean you have to spend a lot of money on new and modern furniture? No. Thrift stores make the best places to find furniture in good condition at an affordable price.

But that’s not all. What good does it do to have nice, clean furniture if your staff, primarily your receptionist is not professional or quick in welcoming guests to your office? Here are some tips for making the best first impression of your organization:

      1.     Positive phone image - Receptionist, or whoever answers incoming phone calls, should have their smile “heard” when they speak on the phone. Their voice and attitude should follow their facial expression.  It should be business-like, but also friendly and personable. 

          

     2. Professional - In a typical office setting, your receptionist should be professional in appearance, phone etiquette and customer service in greeting your guests. This is regardless of what the dress code may be.

   

3.       Make them feel welcomed. Always practice welcoming host etiquette, making sure to offer guests a seat and a beverage. While they wait in your lobby, make sure to have written marketing materials about your organization. This can include your annual report, organizational brochure, etc. Never miss an opportunity to share your mission with others. 

     

    4. Knowledgeable- Make sure your receptionist is well educated in the services provided by your organization.  All staff must “believe” in the organization’s mission statement. Lack of said belief will show through to those outside of your organization.

   

    5. Self-Promotion- Finally, it’s definitely a plus to have your walls, especially in the lobby/seating area, display your organization’s awards, recognitions or accomplishments. These framed trophies will speak volumes about your accomplishments and give your visitors better insight to your organization’s successes.  

    6. Don't keep them waiting!- If you're running late, let the receptionist know so that your guests can be kept apprised.  Its sufficient to stay you shouldn't keep your guest waiting more than 5 minutes before they can see you. 

     Thank you, Gloria. Simple, but true statements and they go a long way to making a very big difference to your guests.  

If you have questions for Gloria, she can be reached by email at Gloria@delacruzgroup.com. 

  Next time, we will be talking about the 

Executive Director's Report. 

  

What should it contain?  What purpose does the Executive Director's report have to help the board in their governance role? 

Recruiting New Board Members

Did you know that we often take a more systematic approach to hiring a new staff member than we do for finding new board members?  Think about it.  We put together job descriptions, we post job announcements in various locations, create interview questions, interview the candidate, etc., But yet when we are seeking board members we merely leave it to chance to find that ideal board member.

I have a few tips for you in getting the right person, not just any person, for your board. 

1. What skill sets do you need on your board?  Take a close look at the make up of your board.  What skill set does each member represent?  Its customary for each nonprofit organization to have an attorney, a Certified Public Accountant, a public relations person and some members who are working, in some way around the issue you are addressing.  Each nonprofit organization is different in terms of their skill set needs. 

Once you have identified the skill sets your board needs then you can go out and look for the right board member.  This way you aren't settling for a warm body. 

2. Advertise and spread the word.  Just like job postings are passed on through Facebook, LinkedIn, and email, put the word out that you are looking for a board member with particular skill sets.  Make sure you have a job description ready and some information about your organization on hand.

Don't rely just on board members to recruit their friends to the board.

The key is to get the skill sets you need and to expand the network of your organization through the reach of your board members. 

You can recruit in public presentations by letting people know that your organization is looking for qualified people who want to serve as board members.  You can also advertise in your own organization's online newsletter or other ways that you ask for assistance.

Making it known that your organization is looking for board members ensures that you have more than one candidate for each board seat you may have open.

  

3. Interview top candidates for each seat.  Some nonprofit organizations are afraid of interviewing a prospective board member for fear of insulting them.  "They are a volunteer, said an Executive Director to me recently. "How can I interview them?"  Interviewing your top candidates lets the candidate know you are a well organized nonprofit. The interview allows you, the organization to impart information about your cause and explain the roles and responsibility of each board member. 

4. Screen prospective board members for too outside commitments.  Some of the nonprofits I've worked with have complained about their board members not doing enough to help their organization.  Sometimes the most well intended people are the ones that are asked to serve on the board.  Having too many other commitments means that board member won't be able to serve your organization fully. 

5. And lastly, diversifying your board is important for a long number of reasons.  That topic is one for another blog post.  Don't expect that having one Latino or one African American on your board means that you now have your diversity issues resolved.  One person cannot represent an entire community.  More about that at another time.

Thanks for visiting my blog.  Next time, we will talk about how your front office is key to fundraising.  We have invited a guest blogger to help us with this topic.  Until next time.

Once you have identified the skill sets your board needs then you can go out and look for the right board member.  This way you aren't settling for a warm body. 

2. Advertise and spread the word.  Just like job postings are passed on through Facebook, LinkedIn, and email, put the word out that you are looking for a board member with particular skill sets.  Make sure you have a job description ready and some information about your organization on hand.

Don't rely just on board members to recruit their friends to the board.

The key is to get the skill sets you need and to expand the network of your organization through the reach of your board members. 

You can recruit in public presentations by letting people know that your organization is looking for qualified people who want to serve as board members.  You can also advertise in your own organization's online newsletter or other ways that you ask for assistance.

Making it known that your organization is looking for board members ensures that you have more than one candidate for each board seat you may have open.

3. Interview top candidates for each seat.  Some nonprofit organizations are afraid of interviewing a prospective board member for fear of insulting them.  "They are a volunteer, said an Executive Director to me recently.

"How can I interview potential board members?"  Interviewing your top candidates lets the candidate know you are a well organized nonprofit. The interview allows you, the organization to impart information about your cause and explain the roles and responsibility of each board member. 

4. Screen prospective board members for too many outside commitments.  Some of the nonprofits I've worked with have complained about their board members not doing enough to help their organization.  Sometimes the most well intended people are the ones that are asked to serve on the board.  Having too many other commitments means that board member won't be able to serve your organization fully. 

5. And lastly, diversifying your board is important for a long number of reasons.  That topic is one for another blog post.  Don't expect that having one Latino or one African American on your board means that you now have your diversity issues resolved.  One person cannot represent an entire community.  More about that at another time.

Thanks for visiting my blog.  Next time, we will talk about how your front office is key to fundraising.  We have invited a guest blogger to help us with this topic.  Until next time.

The Art & Science of Grant Writing

Hey everyone,

The other day, I was talking to a client who was complaining about an online grant application process.  Looking through it myself, I agreed.

Each question in the sections ended with the instructions of "200 words maximum". Seasoned, as well as new grant writers, will tell you that its not what you say, but rather how you say it.  For some grant writers, open ended grant applications are harder for them. "How do you know when you've covered

everything possible about your request," they ask.   Others

prefer the parameters set up within an online application with word or character limitations.

 Here are few tips to think about as you develop any kind of proposal.

1. The Art of a proposal.  You decide how you want to describe  your program, your request or your appeal.  As the writer, you decide how eloquent you want to be.  Feel free to fully answer the questions within a proposal.  You can always go back to to edit and wordsmith so that you can get to the word limit.  The important thing is to get it on paper.

 For online applications, I will usually fill out the questions on a word doc and upload responses separately. You should do whatever makes you feel more comfortable.

One word of caution here.  Don't get to verbose with your descriptions.

Be straight forward.  One of the things I didn't mention in my last blog update on Confessions of a Foundation Executive, is that foundations receive a lot of proposals each week.  Some of them even get hundreds. Don't make your proposal hard to read and understand. 

I suggest that just like a basketball player gets prepared for the game, you do the same in preparing for your proposal writing.  Make sure you know your population, recent data about the problem you are tackling, and your information about why you are the organization to address this problem.  Edit and revise your statements so that they are written grammatically correct but also so that someone who doesn't know a lot about your topic can understand it.  Avoid a lot of acronyms and industry specific jargon. 

2. The Science of a proposal.  Science has a pattern and some predictability. In science there is exploration to seek to understand the unknown.   Like in science, you need to investigate and seek as much

information about your potential funding source.  

You need to know, what is the funder's mission, its core beliefs and what type of impact does it want to make? Why was the foundation started?What is the foundation's giving history to programs such as yours? The more you know the better proposal you will write.If space allows, mention that your organization's mission and that of the foundation mirror or support one another.Discuss some of your successes in similar program areas that the foundation funds.

I often hear from grant writers that they want to send extra tables, videos, etc., etc., to further "make the case," that their request should be funded.  Be very careful here.  Enclose only the information that the foundation requests.  Sometimes, there is no way to review your collateral materials.  I remember from my work in philanthropy, receiving VHS tapes from applicants.  I had a small stack of these kinds of  "extra stuff" on my desk. These were sadly never viewed and were probably costly items for the organizations that sent them.  Your proposal must speak for itself. 

 I hope this post has been helpful to you... happy writing!  Are you experiencing any challenges with putting it down in writing? 

Next time, I'll be talking about How to Recruit New Board Members.  Those of you who are emailing me with topic ideas... thank you so much! 

Confessions of a Foundation Executive

 

Some of you may know that I had two careers before my current career as a small business owner and a consultant.  My first career was working in a nonprofit organization as a program director where I learned how to develop programs and write grant proposals.

My second career was in philanthropy. I worked for two healthcare foundations in California.  I learned so much during my time in philanthropy.  I hope to share a little bit of that with you here today.

So here goes... here are my confessions of a foundation executive.

1. Foundations have to give money away.  That's right!  Every foundation must meet a payout amount each year (could be calendar year or fiscal year).  The thing is the money has to go out the door.  There are IRS penalties for not making payout and foundations avoid that at all costs.  The important thing here is to know that foundations have requirements to meet each year.

2. You can't compare one foundation to another. It’s apples and oranges.  There are family foundations that are started by family members.  These family foundations can be small or large.  Some of these foundations have paid staff.  Some do not have professional staff but rely on volunteers or family members to manage the foundation's business.  Then there are private foundations... again they come in all sizes.

Some foundations are quite transparent and provide a lot of information about their giving on their websites and foundation materials.  Both foundations that I worked for conducted quite a bit of outreach to the community in hopes of generating interest among nonprofit organizations in their giving.  Other foundations like operating "under the radar," and only accept proposals by invitation.

3.  Making a grant is more complicated than it might seem.  The process that goes on behind the scenes to make a grant is a bit complicated.  First of all, someone needs to scan your proposal packet to make sure all the materials requested were submitted and that your request falls within the foundation's giving areas.  Second, someone, or a group of foundation staff, have to read and consider your proposal.  There are many questions that have be asked.  "Does the proposal meet our objectives?"  "Will this program help meet our philanthropic goals?"

If the foundation decides to further consider your proposal there might be some informal presentations that need to take place with the staff of the foundation.  Larger foundations have review panels made up of peer foundation program officers who review and consider grant recommendations.  At this point, someone at the foundation needs to verify that your organization is a viable one.  The foundation wants to make sure that your financials are in order.  How often does the board meet? Does the board give to the organization? When was the last audit? etc., etc.,

Then and only then can the foundation board make a decision about your proposal. Some foundations are informal about this process others are more formal.  It just depends on the nature, size and sophistication of the foundation's processes.

Told you... it kind of complicated!

3.  Some foundation executives are content experts... some are not.  In my case, when I entered the philanthropy world I knew a lot about adolescent health, youth development and a thing or two about nonprofit organizations.  Through my grant making role I learned more about effective organizations, board governance and capacity building as a whole.  I also learned  a lot more about immigrants and refugee health, culture and fund development.  I guess you can say I became more of a generalist as I spent more time in philanthropy. 

4.  The reason for your denied application.  There are many reasons why your application from a foundation is denied.  Here is a short list:

-Your proposal falls outside of their scope (read and re-read the instructions!)

-The foundation has no more funds to expend during the fiscal year, quarter, in your geographic area, or for the program area you are applying for

     

     - The foundation is looking to fund broader programs such as community level programs.

     - Your organization is not well known to the foundation.      

         - Your organization is too new/ too small for the foundation to fund.

5.  Be Nice.  If your organization does not win a grant from the foundation, please be a good sport!  I know how much time and energy goes into putting together a perfect grant application.  If you get a denial letter, you should call to find out how you can improve your proposal next time.  But PLEASE don’t call to complain or raise hell.   You don’t want to be labeled a trouble maker or a potential difficult grantee.  Foundation executives talk to one another and news about a difficult organization spreads.  So be nice and remember that a foundation executive wants to help you.  Ask for help and direction for your proposal next time around.

Next time, I'll be talking the Art and Science of Grant Writing.  See you then.

Missing in Action

Don't call out a search party! 


I'm still here.  I have been super busy working with clients on some big proposals.  So forgive my absence.  


Tomorrow's topic will be "Confessions of a Foundation Executive."  Are there any questions you have for an executive of a foundation? Maybe how decisions are made? What makes a proposal stand out?  All that will be answered for you. 


In the meantime... good night! 

How to Hire a Consultant

I recently met with an organization that wanted to hire my firm to conduct their strategic planning process.  In meeting with the executive director, he showed me the organization's previous plan.  

What followed was a conversation that I hear about all too often.  The previous consultant had not completed the scope of work.  The organization was left with an incomplete plan and spent funds on a plan that was of no help to them.  

Unfortunately, this happens with unscrupulous consultants.  By no means am I saying that consultants should not be trusted.  As in any field, there are a few bad apples. Most of us got into the consulting world to help organizations such as yours. 

Here are few tips for those of you thinking of hiring a consultant. 

1.  Check references.  Don't take the consultant's word that they know what they are doing.  Ask for references and check them.  Ask the references about the consultant's work style, meeting deadlines, budget/ hourly rate, etc.,. Consultants vary widely in their skills and abilities. Some are at the top of their field, while others have more recently jumped on the consulting bandwagon. 

2. Check the compensation scale. A major mistake many organizations make is hiring a consultant without checking the going rate in the industry. You need to do some research to find out the pay range for the services you require before overpaying.

3. Conduct a thorough hiring interview.  Many nonprofit organizations make the mistake of hiring a consultant without an interview.  We do this with all part time and full time employees, why not with a consultant? If a consultant is involved in the future of your organization, it is imperative that you conduct a comprehensive interview. 

The Denver Foundation has some great sample interview questions.  These questions can be adapted to your particular organization and project.  http://www.nonprofitinclusiveness.org/sample-interview-questions-propsective-consultants

4.  Describe scope of work and timeline.  Nothing is worse than hiring a consultant who then disappears for 2 weeks to work on another consulting gig, putting your project on the back burner.  Make sure your timeline and deliverables (products that will be delivered to you) are clearly spelled out in the contract. 

5.  Set up a payment plan with deliverables.  Any ethical consultant will agree to a payment plan.  Payments are usually tied into deliverables.  An initial payment might be just enough to get the work started.  Future payments are then tied to work products that must be submitted in order for payment to be processed.  A final payment should be tied to the completion of the project.  

How Healthy Is Your Organization?

Happy New Year!

With every New Year come New Year's Resolutions or promises that we make to ourselves to improve or better ourselves.  One of my resolutions is to improve my overall health by eating better, exercising and taking time to decompress by engaging in activities that spark my creativity.

Just like your body experiences warning signs that something isn't right with aches, pains or other symptoms, so does your organization.

Here are a few indicators or symptoms that may point to areas of concern for your nonprofit organization.

1. Lack of Quorum at regular board meetings.  Over the years, as I have worked with various nonprofit organizations, I have heard from executive directors and board chairs, "I can't get board members to attend board meetings."  Or, " Its difficult to get quorum at board meetings in order to make decisions."

Lack of attendance by the majority of board members could be a symptom of a larger problem.  This not only means that you aren't able to make policy decisions to move the organization forward.  It also means that the financials are not being monitored, reviewed and approved.  There is also lack of oversight to your programmatic activities.  A board that does not make quorum on a regular basis is on a slippery slope in neglecting their fiduciary duties of the organization.

Options such as conference calling and video conferencing, should reduce the number of board members that are not able to be present in person.

Some funders will ask about regular board meetings and attendance as a factor in determining the "health" of the organization.

2. Lack of policies and procedures for conflicts of interest. Charity regulators require that board members and staff disclose any interest in a transaction or action that could be viewed as affecting their objectivity. First, any potential conflicts should be disclosed. Then there should be policies to deal with them transparently. If a board member has a material conflict of interest, it requires that he/she not discuss or vote on the issue.

The National Council of Nonprofits has some excellent examples of conflict of interest policy statements.

http://www.mtnonprofit.org/uploadedFiles/Files/About/Conflict_of_Interest_Policy_and_Statement.pdf

I suggest that annually, your Conflict of Interest forms be signed by your board members. This can be done at your Annual Board Meeting or your first meeting of the year.

3. Not complying with all applicable laws and regulations—federal, state, local, and international. Check this website www.stayexempt.org for guidance from the IRS about what is required.  While laws and regulations vary from state to state, most states have an office within the Department of Commerce that deals with charity solicitation permits and other requirements. If you aren't sure what requirements your organization must meet in your state, check with your local Nonprofit  Association. This association can assist you in identifying all necessary laws and regulations as well as, reputable consultants who can help you.

4. The CEO/ Executive Director has not received a performance evaluation since coming onboard. The Board is responsible to  hire, oversee, and evaluate the performance of the CEO on an annual basis and conduct an evaluation prior to any change in compensation. This is the board's responsibility, and the IRS guidance is clear:

• Set compensation in advance using appropriate comparability data.
• Make sure no one involved in setting the salary has a conflict of interest.
• Document decisions on compensation.

The IRS regulations call for "reasonable" compensation—the amount that would be paid for "like services" by "like enterprises" (could be taxable or tax-exempt), under "like circumstances." Small organizations should have at least three comparables, and the IRS implies that larger organizations should have more than three.

Even the Executive Director needs feedback on his performance.  The board should set aside time to thoughtfully conduct the performance evaluation and provide an opportunity for goal setting.

5. It’s not clear whether our financial documents are current.   All nonprofit organization must keep complete, current, and accurate financial records, preferably audited or reviewed by a qualified independent financial expert. State laws vary on the sizes and types of organizations that are required to have audits or reviews by an outside accountant. Creating an audit committee of board members (including some with financial expertise) helps reduce a possible conflict of interest between the paid staff and the outside auditors.

These are just a few symptoms that should cause some concern for any board of director or Executive Director in a nonprofit organization.  Don't be afraid to ask questions.