Showing posts with label Transactions. Show all posts
Showing posts with label Transactions. Show all posts

Tuesday, June 21, 2011

Courageous Christian Fundraising

Last week I was in Atlanta at the annual conference of the Association of Classical and Christian Schools where I was privileged to describe the daily (and hard) work of biblical stewardship.

Conventional fundraising employs techniques and methods that are tuned to efficiency and financial effectiveness. So, if selling wrapping paper is less efficient than an "a-thon", then do the "a-thon" which brings in more money with less effort. After all, the "bottom line" is getting funds right?

Does God only care about the fact that we get the funds? Or, is He also concerned about the "why" and "how" of the fundraising? The scriptures make it clear:

"So whether you eat or drink or whatever you do, do it all for the glory of God. " 1 Co. 10:31

We are obligated to make Christian fundraising Christian. Otherwise, it is secular fundraising on which we drizzle some Bible and hope that this will sanctify the method.

I have been impressed with the school leaders who told me, "I know this is hard work, but it's the right thing to do. Our job is to disciple people in their walk with Jesus." It is more difficult to look at someone as a fellow man and to walk with him to see his blessings as opposed to seeing him as a "giving unit" with a dollar sign on his head.

It takes more time, more prayer and more involvement. It results in more disappointments, but it can result in greater joy as the donor responds to the Spirit's call on his or her life.

At the end of the proverbial day, do you want to be known as this prolific fundraiser who gathered lots of funds, or do you want to be known as the one who God used to grow donors in their faith; and, who gathered the large sums?

Be courageous and see the Spirit carry you to the next right decision.

Monday, February 14, 2011

Easy Fundraising with Discount Cards

"We just need something that raises a lot of money without having to take possession of boxes of candy or wrapping paper!" is the exclaim of many school administrators. "Something that people don't hate to see coming; maybe it could even be something they like!" continues the conversation.

Enter: the discount, or "value" card. Basically, the card issuer has negotiated discounts at retailers. By using the card, the consumers can save many times the amount they paid for the card, typically $20 to $40 each for the annual fee.

The math is straightforward. The issuer, or broker, gets 50% of the sale price and the school gets the other 50%. So, a school of 200 students sells 2,000 (10 each) with a "clear profit" of $20,000 to $40,000. Nice money, right? What could be easier; plus it helps endear the purchasers to the school because we've done them a "service" by helping them save money on things they were going to buy anyway.

Selling discount cards is not wrong or evil per se. It's what it substitutes for that concerns me. When presented with this opportunity last week, I was reminded that this transactional method will divert us from the relational or stewardship approach that marks our school. We would have to set aside biblical discipleship in order to develop a whole new type of relationship.

Some questions to ask when we find ourselves wrestling with our urgent financial needs:
  1. Why do we have these needs at all? Is there a more fundamental issue that should be addressed?
  2. Are our needs so urgent and desperate that we must grab the next, nearest, easiest technique? Where does this path lead us?
  3. How does this transaction develop generous giving?
  4. How does this approach reflect Christ to the community?
  5. Is this the best we can do to honor the Lord and to build up a community? If not, will the tyranny of the urgent always prevail?
  6. How or why do we expect the Lord to bless these plans?

Nothing is free, except the grace we received on the cross. Everything else has a cost. Please evaluate it before you make the next decision.

Wednesday, October 13, 2010

Christian Fundraising vs. Secular Fundraising

The book Revolution in Generosity does a nice job of comparing two mindsets about fundraising,; one honors the fundraiser themselves; the other seeks God's blessing on everyone and in every step of the process.
Let's look at how the two approaches differ:
Philosophical underpinning:

Transactional model - Philanthropy-improving Stewardship for the common good
Transformational model - Managers of what God owns
Focus Raising money through:

Transactional model - marketing transactions

Transformational model - Facilitate raising stewards to be rich toward God, which results in generosity

Ethical framework

Transactional model - Minimalist-”is it legal?” or “will it work?”

Transformational model - Commitment to gospel values of truth, integrity and love

Ideal Outcomes

Transactional model - Donor meets organizational needs

Transformational model - Giver becomes conformed to the image of Christ and becomes generous, like Christ

Solicitation

Transactional model - Manipulative business sales, technique intensive, hype the need

Transformational model -Present giving opportunity, prayerfully matching call to ministry

Motivator

Transactional model -Asker’s style, personality

Transformational model - Holy Spirit works to transform heart toward Christlike generosity

Follow-up

Transactional model -Pressure and persuade to meet quota, don’t take “no” for an answer

Transformational model - Encourage prayer to lay up treasures in heaven and experience godly joy

Accountability

Transactional model - To organization, the law

Transformational model -To God, external values

Predictable Outcomes

Transactional model - Success/failure depends on asker. burnout

Transformational model - Success/failure according to God’s calling

Rewards

Transactional model - On earth, temporal

Transformational model - Crowns and responsibility in heaven for eternity

Wednesday, September 15, 2010

Raising Money or Raising Donors?

I want to commend The Sower http://sowerbook.org as one of the best primers for biblical fundraising. Authors Scott Rodin and Gary Hoag make the case and give the guidance for us to become ministers of stewardship, thereby raising "resourcers" for the Kingdom, not just the occasional gift.

The book's "visual" is the sower described in 1 Co. 4:6-9

"I planted the seed, Apollos watered it, but God made it grow. So neither he who plants nor he who waters is anything, but only God, who makes things grow. The man who plants and the man who waters have one purpose, and each will be rewarded according to his own labor. For we are God's fellow workers; you are God's field, God's building."

In this passage we are reminded that we sow and cultivate in people's lives, and we may have the privilege of reaping, or receiving the gifts.

In taking this approach we need to remember two things:
  1. Generosity is not something that we can effect; it is a heart change (transformation) by the Holy Spirit. Have said that, we can encourage generous living and generous giving, the seed that we are to sow.
  2. We cannot (or should not) reduce our work to generating a cash transaction. That doesn't bless or grow the donor; nor does it stimulate biblical stewardship. We are to seek spiritual transformation, helping donors to become rich toward God.

Getting our minds and hearts oriented this way is difficult; and many boards struggle with the concept, too. But, ministry is hard work - if it were easy, we would do it in our own strength.

Monday, August 30, 2010

Auctions - friend or foe?

Many Christian schools employ the annual auction as a way of raising funds. The school deploys the parents to secure or procure items (usually for free or at reduced cost) that can be sold for a nice profit, which benefits the school.

Some of the positive aspects of this approach are:
  1. Stakeholders (parents) are engaged in the support of their children's school
  2. It brings the school community together by working cooperatively
  3. It gets the parents interacting with the neighbors and businesses who get to learn something about the school
  4. People who have craft and other skills can be stewards of their talents and contribute to the school in this way
  5. The auctions can raise large amounts of money

Some of the negative aspects are:

  1. Parents get worn out from soliciting (or begging), hence a slowdown on bid items
  2. Businesses, too, get weary of be asked for free or discounted items unless they already have a healthy relationship with the school and auction support flows from the relationship
  3. Auctions, in their purest form, are financial transactions that do not build relationships or assist donors in the stewardship growth.

There are additional positive and negative aspects, but what do we do with auctions?

I suggest that you look at ways of tailoring the auction to encourage and build relationships with people who see the school as a ministry they want to be involved with. For example, a class may assemble a basket of mementos or a scrapbook or even get the parents to help with a quilt.

These kinds of projects help forge meaningful connections between the donor and the school and allow for there to be an on-going and growing relationship that allows us to go deeper with the donor.

So, before we throw out the baby with the bath water, look for ways convert the transactional event to a transformational experience.

Write me back with your experience; we can sharpen each other.