DEVELOPING A FUNDRAISING STRATEGY FOR THE DALIT FOUNDATION
INTERNAL DOCUMENT – FOR COMMENTS ONLY
Accelerating Change for equality…….
FUNDRAISING STRATEGY FOR THE DALIT FOUNDATION
APRIL 2009 – MARCH 2012
C- 58, 2nd floor,
South Extension part – II
New Delhi – 110049
India
Tel: 011-41640929
Fax: 011-41643459
www.dalitfoundation.org
LIST OF CONTENTS
1. INTRODUCTION
3
2. BACKGROUND ON PHILANTHROPY
2A. Overview of Philanthropy in India
5
2B. Estimated flow of funds
7
3. FUNDRAISING BY THE DALIT FOUNDATION TILL DATE
9
4. OVERALL OBJECTIVES
12
5. ASSESSMENT OF SUCCESSES AND LEARNING’S
13
6. STRATEGIC OPTIONS AVAILABLE
14
7. SOURCES
7A. CORPORATE AND PUBLIC SECTOR UNDERTAKINGS
15
7B. STATUTORY SOURCES
17
7C. INSTITUTIONAL DONORS
19
7D. INDIVIDUALS/ MAJOR GRANT GIVERS
21
8. KEY FUNDING DRIVERS
23
9. THE INDIAN ECONOMY AND THE CURRENT GLOBAL
ECONOMIC CRISIS
24
10. COMMUNICATIONS
25
11. IT STARTS WITH A CASE
27
12. CAMPAIGNS & MESSAGES
28
13. INTERNAL CONSIDERATIONS
13A. POLICIES AND PROCEDURES
29
13B. MONITORING & EVALUATION
29
13C. HUMAN RESOURCES / ORGANOGRAM
29
13D. INTERNAL AND EXTERNAL REPORTS
30
13E. STAFF DEVELOPMENT/TRAINING
30
13F. PARTNER SUPPORT
30
1. INTRODUCTION
Dalit is a self designation for group of people of South Asian
descent who were traditionally regarded as untouchables or low
caste. Dalits are a mixed population of numerous caste groups all
over South Asia and speak number of languages. It is impossible to
differentiate between Dalits and the various caste groups on the
basis of phenotypes or genetics alone. The caste system is regarded
by many as a social construct between South Asian people. India has
a total population of around 250 million Dalits. The word
'Dalit(a)' comes from the Hindi root dal, and means 'held under
check', 'suppressed', or 'crushed', or, in a looser sense,
'oppressed'. The term was used in the 1930s as a Hindi and Marathi
translation of "depressed classes", a term the British
Discrimination against Dalits still exists in rural areas (where
two-thirds of India's people live) in the private sphere, in
common, every-day matters such as access to eating places, schools,
temples and water sources. It has largely disappeared in urban
areas and in the public sphere. used for what are now called the
scheduled castes. In 1930 there was a newspaper published for the
depressed classes in Pune called "Dalit Bandu" (friends of dalits).
The word was also used by B R Ambedkar in his Marathi speeches.In
the context of traditional Hindu society, Dalit status has often
been historically associated with occupations regarded as ritually
impure, such as any occupation involving butchering, removal of
dead animals, removal of night soil (human feces) and leather work.
One million Dalits work as manual scavengers, cleaning latrines and
sewers by hand and clearing away dead animals. Engaging in these
activities was considered to be polluting to the individual who
performed them, and this pollution was considered to be
'contagious'. As a result, Dalits were commonly banned and
segregated from full participation in Hindu social life (they could
not enter the premises of a temple or a school and stayed outside
the village), while elaborate precautions were sometimes observed
to prevent incidental contact between Dalits and other castes.
Most of the Dalits are bonded workers and many work in
slave-like conditions to pay off debts that were incurred
generations ago. The majority of Dalits live in segregation and
experience violence, murder, rape and atrocities to the scale of
110,000 registered cases a year according to 2005 statistics.
Common belief is these numbers are nowhere close to the real total
of crimes committed against Dalits. Most crimes go unreported, and
few registered cases ever get to trial.
Many Dalits who have converted to other religions in the past
few centuries continue to retain their Dalit heritage. In the 1991
census, Dalits numbered just over 130 million and constituted more
than 16% of India's population. Discrimination against Dalits is
limited to the Hindu community. Some Dalits have successfully
integrated into urban Indian society, where caste origins are less
obvious and less important in public life. In rural India, caste
origins are more readily apparent and Dalits remain excluded from
local religious life, though some qualitative evidence suggests
that its severity is in fact fast diminishing.
Quick Facts
· There are more than 250 million Dalits in India.
· The Dalits are also known as the “untouchables”.
· Even though untouchability is outlawed by the Indian
constitution, its practice still exists within society and Dalits
suffer as a result.
· Most Dalit children have no access to education.
· The historical hero of the Dalit people is Dr. B.R. Ambedkar
who sought their freedom 50 years ago.
2. BACKGROUND ON PHILANTHROPY
2A. Overview of Philanthropy in India
Philanthropy in India is guided by religion and the demands of
caste, clan, family and community. Giving is primarily directed
towards religious organizations like temples and churches. However,
philanthropy has also extended to corporate involvement and the
rise of non-profit organizations working towards the country’s
development.
Indian philanthropy has always been strongly linked to religion
since ancient times. Concepts such as daana (giving) and dakshina
(giving to a teacher or priest) in Hinduism and bhiksha (giving to
a monk) in Buddhism are rooted in the idea of philanthropy.
In India, philanthropy also evolved into volunteerism.
Individual volunteering has had a tremendous potential in India,
with most volunteers serving religious organizations.
A 2001 survey by Sampradaan, Indian Centre for Philanthropy
covering around 28% of urban India concluded that 96% of upper and
middle class households in urban India donate to a charitable cause
(ICP, 2001). This charity amount is reported to be around Rs.
16billion (US$34 million) annually. Other major findings of the
survey are:
· In terms of average annual donation, Christians in India take
the lead, followed by Hindus/Jains; Sikhs; and Muslims. The
Christians also give the highest average annual donations to other
(non-religious) organizations
· The most popular purpose for which money is donated is to
relieve distress of victims of calamity, 21% donating for this
purpose.
The most important reason given for donating was a feeling of
compassion (68%). The second most important reason was that the
giver feels good (48%). Religious beliefs and practices (46%) are
the third most important reason. Twenty-nine percent respondents
donated because they believed in the cause of the organization. The
survey shows that for the donors reduction of taxes as the least
important reason (Dadrawala, 2001).
Another study on individual giving in five southern cities
(Dongre, 2003) has also recorded a high incidence of giving, both
in terms of size and frequency, among particular income groups. The
study shows that the sample of 200 individuals donated an amount of
Rs. 0.5 million in one year. The study indicates that in urban high
salaried class giving has become more rationalized and people are
willing to give to big foundations that can channel the funds more
effectively rather than to governmental and religious
institutions.
In the 2001 APPC study, Investing In Ourselves, noted
giving behavior by Indians include:
· In India, while there is a natural capacity to philanthropy,
this is more informal and ad hoc. Thus informal charity takes
precedence over giving for long term change and development. The
new wealth created by Information Technology and other new
industries, coupled with a large overseas connection through
relations and friends overseas, but who continue to maintain links
with the home state, has more for a more dynamic gift market in
Southern India.
· On the giving rate, India’s is lower than the other three
countries, while Indonesia, Philippines and Thailand, the giving
rate is as high or even higher than in northern countries.
· India has the lowest numbers of those who gave to relatives
and friends. These figures suggest that high income Indians have
few ties with poorer people, whether relatives or friends. This is
perhaps because the growth of a large middle class happened earlier
in India than in the Southeast Asian countries, or perhaps because
the financial crisis, which India avoided, impoverished many of the
new middle class.
The role of NPOs in addressing the social service issues and
empowerment related advocacy efforts has been increasing. The study
conducted by PRIA also supports this fact when it notes that every
fifth NPO in India works on the issues of community and social
service (PRIA: 2002). The favourable disposition of the governments
and the political will to involve NPOs is more pronounced in
implementation of the welfare schemes addressing to the women and
child development.
2B. Estimated flow of funds
There are mainly six sources of raising funds in India;
Government, Corporate Houses, Individuals, Trust/Foundations,
International agencies and self earned income of the organization
(consulting, trading, endowments). Unfortunately, large numbers of
NGOs are dependent on international funds or the government grants
in India. Involving people in the mission of getting money from
common people is not very common. While in India, there are
millions of voluntary organisations, but less than half percentage
of them are into fund raising. In India, existing potential is 10
billion $ & actual funds raised are mere 500 million $. Out of
this, almost half goes to rural areas, one quarter goes to
religious institutions & only one quarter goes to all the NGOs
put together.
Foreign donors seem to be in a generous mood when it comes to
funding non-governmental organisations (NGOs) in India. Foreigners
loosened their purse strings to the extent of Rs 4,871.9 crore in
’01-02, up 7.4% from Rs 4,535.5 crore in ’00-01. There has also
been a change in the list of the top receivers of foreign funds in
the country.
The little-known Bochasanwasi Akshar Purushotam Sanstha (BAPS),
a Gujarat-based organisation, tops the receivers list with foreign
donations of Rs 107.5 crore. BAPS has seen a 280% jump in foreign
funding over two years, rising from 26th place in ’00 with receipts
of Rs 28.3 crore to the top of the list of receivers in ’01-02.
Gospel for Asia with Rs 98.9 crore is the second highest recipient,
while the World Vision of India with Rs 88.4 crore is in third
place, according to data collated from the home ministry’s latest
annual report.
BAPS is also the first time a voluntary organisation to have
received over Rs 100 crore in foreign funds, the previous high
being Rs 88.2 crore by the Sathya Sai Trust in ’00-01. For ’00-01,
the top three beneficiaries were the Sri Sathya Sai Trust, World
Vision India and the Watchtower and Bible Tract Society. It is also
interesting to note that two of the top three receivers (BAPS and
Gospel for Asia) of funds in ’01-02 are religious
organisations.
In ’00-01, Rs 284 crore was received for religious activities by
Indian organisations. This has risen by 37.6% to Rs 391 crore in
’01-02. On an average, Indian religious organisations have received
around 10% of total FCRA (Foreign Contributions Regulations Act)
regulated foreign fund inflows since 1991.
Thirteen of the top 25 receivers of foreign funds in India are
religious organisations, both Hindu and Christian. Several of these
organisations are involved in social causes; the building of
schools, housing for the poor, literacy and so on, besides
religious activities.
Delhi continues to top the list of receiving states with Rs
794.4 crore going to 839 organisations. Tamil Nadu, where World
Vision India is headquartered, comes second with Rs 695.5 crore,
and Andhra Pradesh follows with Rs 559.6 crore. In terms of cities,
Bangalore topped the receivers list with Rs 362.2 crore, followed
by Chennai with Rs 311.6 crore and Mumbai with Rs 298.3 crore.
The top three donors are all based in the US. The bulk of the
funding for Gospel for Asia in India comes from its parent
organisation in the US, which heads the foreign donors list with Rs
111.2 crore. World Vision International and Foster Parents Plan
International follow with Rs 78.3 crore and Rs 72.4 crore,
respectively. Actionaid UK donated Rs 71.2 crore, and the
Spain-based Foundation Vincent Ferrer Rs 63.1 crore. The total
number of associations receiving foreign funds in India has also
gone up in ’01-02 to 15,618 from 14,598 in ’00-01.
3. FUNDRAISING BY THE DALIT FOUNDATION TILL DATE
Fundraising started in Dalit Foundation in a very natural and an
internal process. This included references and leads provided or
initiated by its Board members and like minded individuals.
A glance on the figures:
2003-2004
Individuals
, 15%
Small
Trusts
85%
0
100,000
200,000
300,000
400,000
500,000
12
2004-2005
Small Trusts
40%
Individuals,
60%
0
5,000
10,000
15,000
20,000
12
2005-2006
Small Trusts
, 1%
Institutional
Donors, 98%
Individuals
1%
0
2,000,000
4,000,000
6,000,000
8,000,000
10,000,000
123
2006-2007
Institutional
Donors 98%
Individuals,
1%
Corporates,
1%
0
5,000,000
10,000,000
15,000,000
123
2007-2008
Corporates,
1%
Individuals ,
1%
Institutional
Donors, 98%
0
10,000,000
20,000,000
30,000,000
40,000,000
50,000,000
60,000,000
123
· Amounts for the first round of six grants and nine fellowships
were raised through contributions received through various
individuals and NGOs. This was done through personal contacts of
the board members.
· Almost 98% of DF donors are institutional donors.
· Ford Foundation was the first institutional donor to support
the activities of the organisation. Since the organisation did not
have FCRA in the beginning, the money was routed through TIDES
Foundation. This was followed by Sir Dhorabji Tata Trust, Christian
Aid, Holdeen India Programme and ICCO Netherlands.
· In June 2007, Mr. Mathew Cherian carried out a feasibility
study of the organisation in terms of fundraising and
communications.
· In 2007-08, Ford sanctioned an amount of $2 million toward
Dalit Foundations Endowment fund.
· In 2007-08, Dalit Foundation organised its first fundraising
event – UTSAVA – Celebration of struggle against oppression. Around
twenty five thousand rupees in cash and a few contributions in-kind
were raised from the event.
· Paintings which were exhibited during UTSAVA are being used
for fundraising. Money received is shown as contribution and the
donor is given an 80G certificate along with a receipt and a thank
you letter. The money raised from the paintings is deposited in the
endowment fund of the organisation.
Observations:
· As the above graphs demonstrate, Dalit Foundation has
historically been most successful in raising funds from
institutional sources.
· Given that grants and major donations are made over a number
of years, there is considerable pressure to maintain levels of
income when significant grants end. We will however be working hard
to replace the institutional grant income with other sources so
that the risk is spread across.
· In the next few years we need to increase the level of income
raised. Ideally this income would be unrestricted allowing us to
allocate this against any areas of our expenditure. Without any
unrestricted reserves to use to invest and with the pressure for
fundraising activities to guarantee break even within a reasonable
time period, we have identified that the main potential for growth
rests with major donors and company fundraising.
4. OVERALL OBJECTIVES
· To raise 1,000 lakhs (215 lakhs, 325 lakhs and 460 lakhs in
2009/10, 10/11 and 11/12 respectively)
· This is against a fundraising expenditure of 205 lakhs in a
three year period. This represents a income to cost 1:4
· To diversify sources of income across a greater number of
funders to minimise risk.
· To continue to manage relationships with major grant-givers
and statutory organisations but to seek alternative sources for
additional unrestricted income.
· Initiate fundraising across India backed with needs based
communication
· A well defined system of collation and documentation of
achievements through an in-house designed process
· Uniform communication style and philosophy across the
organisation and partner organisations.
5. ASSESSMENT OF SUCCESSES AND LEARNING’S
The major successes in fundraising till date are:
· Increased confidence of the team of raising funds locally
· Positive relationships with donors
· Support of the Board members leading to a sustained culture
for fundraising
· Staff committed and dedicated towards the work
· First round of money raised from Dalit community and like
minded individuals
· Flexibility in the program strategy to tailor them to an
individual client/family/ community needs leading to donors being
positive about supporting the cause
· Adaptability to the needs of the service-users
· Low administrative v/s programme costs
· Image of a social justice organisation within the sector
· Donor constituency suited to major charitable giving
· A South Asian approach and presence
· Replicable model in place for others to learn and adapt
from
· Peer group Monitoring and Evaluation processes in place
· Practice of ‘equality’ practiced throughout the
organisation
The major learning’s in fundraising till date are:
· Need for a dedicated and a professional fundraising team in
place
· Need for a updated and interactive web site
· Inability of donors to donate on line
· Not able to reach out to the past donors / no such donor care
system in place
· Need for organizational infrastructure - standardized
policies, staff assignments, procedures, systems, and methods to
support fundraising initiatives
6. STRATEGIC OPTIONS AVAILABLE
There are five fundamental strategies available to fundraising
programs. They are growth, involvement, visibility, efficiency, and
stability. Each has it’s own costs and benefits – and is
appropriate to a stage in the life of the organization. Often a
not-for-profit will find itself in a position where it is unable to
meet the demand for its program or service. In order to meet the
demand it will have to expand its donor base and revenues. This is
the time for a growth strategy. In this situation the organization
invests in attracting new donors who will expand revenues in future
years.
Other organizations may place an emphasis on delivering their
program with volunteers instead of cash. This is an involvement
strategy. An organisation for example through with its volunteer
letter writing campaigns is a classic example of an involvement
strategy at work.
New organizations and movements often choose a visibility
strategy where their prime objective is to be noticed. They try to
achieve visibility in hopes of attracting future supporters and
donors.
Once the organization has grown to the point where it can
provide sufficient program to meet demand, it usually switches over
to an efficiency strategy. Stewardship and sound management are the
priorities here. The emphasis is usually on maximizing the ratio of
revenues to costs.
After doubling its donor base in recent years, organisations
switch emphasis to upgrading donors to monthly and planned giving –
and increasing the revenue to cost ratio as a result. Sometimes a
mature organization will find itself in a period of crisis. In this
case stability is the right strategic choice. This is a defensive
strategy where the emphasis is on keeping existing donors rather
than attracting new ones.
From the assessment of the Dalit Foundation’s previous donor
approaches and successes, it has to place an emphasis on the
strategies of visibility and efficiency in the said strategic
period.
7. SOURCES
7A) CORPORATE AND PUBLIC SECTOR UNDERTAKINGS
a) INTRODUCTION
Historically, Indian companies and Public Sector Undertakings
(PSU’s) had always strong philanthropic activities mostly targeting
their employees and their families. Studies reveal that majority of
the companies did not take CSR seriously and those who did, did it
only with a philanthropic frame of mind. Most companies/PSU’s made
their employee welfare activities as part of their CSR initiative,
not really contributing to an outside community or its
development.
However in recent years there has been a new paradigm shift in
corporate giving-from philanthropy to stakeholder participation.
The first perceptible change has been the introduction of a host of
innovative programs and schemes in several areas like education,
healthcare, rural development, environment protection, protection
of artistic and cultural heritage and disaster management that are
customized to meet the specific needs of the target group and
corporations devote not only financial resources but expertise,
manpower, products and services for the successful implementation
of these schemes:
The projects that companies/ PSU’s get involved in are actually
genuine and serve a purpose, they do a round of elimination….make a
shortlist, as to which are the good ones, after a lot of
verification. Sometimes they supervise the implementation part by
visiting the area. Several organizations like Gas Authority of
India Ltd. (GAIL) have introduced benchmarking exercises for their
CSR activities .and industry bodies like Confederation of Indian
Industries and FICCI have introduced cross-sectoral programs, for
the first time, in CSR related areas.
One of the greatest challenges of Business-NGO partnerships is
the change in mindset. But it’s fundamental to embrace new ways of
thinking to create successful partnerships. Difficulties faced by
NGOs are meeting up to the expectations of the corporates and
following a professional approach, being clear and transparent in
handling of funds.
b) Intervention by Dalit Foundation
Till date, there has not been any planned strategy by Dalit
Foundation to approach Corporate houses for support.
c) Objectives
· Raise 150 lakhs from companies in a three year period
· None of this income is guaranteed
· Develop funding relationships with at least nine companies in
a three year period
d) Mechanisms
· 150 lakhs will be raised through nine new companies.
· Register with CAF India, Give India to attract funds from
companies
· Get registered with Hewlett Packard for – computers and
software donation
· Introduce work of Dalit Foundation to Nasscom Foundation which
is a consortium of IT companies
· Undergo an in-depth research into companies which will match
the focus area/location of the project
· Approach companies for sale of Godna paintings and greeting
cards
· For the unrestricted income, we would enter into pay roll
giving partnership with at least one company a year.
· We would work on the processes for understanding the ‘Charity
of the Year’ concept and try introducing it with one corporate for
the year
· We will also approach at least one company a year for Cause
Related Marketing
e) Resources required
· Database of companies to be in place
· Organisation portfolio to be ready for sharing with
companies
· Case for support document
· Shopping/Needs list that can be asked from a corporate
· 35 Ac tax permission from the Income tax Department of
Government of India
7B) STATUTORY SOURCES
a) Introduction
Over the years, Bilateral, Multilateral and UN agencies have
come to play an important role in supporting development activities
in the developing countries of Asia. Most of this support has been
channeled through the governments as official development
assistance (ODA). Increasingly, however, bilateral and multilateral
agencies are recognizing the capabilities of NGOs to reach
grassroots groups. NGOs are regarded as legitimate alternatives to
the bureaucracies of government. As a result, significant moves
have been made by many donors to develop relationships with NGOs
and to channel ODA to NGO projects and activities. Financial
assistance to NGOs in developing countries generally comes from two
sources: grants by donor NGOs going directly to recipient NGOs, and
portions of ODA which are channeled to recipient NGOs either for
joint government/NGO undertakings or for programmes or projects
implemented directly by NGOs.
The recent changes in Government policies with regards to
bilateral assistance, has created some confusion and also
resentment amongst the bilateral donors. In 2003, Government of
India decided to discontinue taking development assistance from
bilateral development partners other than Japan, U.K., Germany,
USA, EC and the Russian Federation. Subsequently, in January 2005,
Government came out with a revised policy. As per the new policy,
with regards to the bilateral grant assistance to Non-governmental
organizations (NGOs) and autonomous institutions, all Countries can
continue to provide bilateral development assistance directly to
autonomous institutions, universities, NGOs, etc., as before. There
are currently several mechanisms through which NGOs receive ODA
funds. One such mechanism has evolved largely from government
initiatives to involve NGOs in the implementation of
foreign-assisted government projects. This has led to the emergence
of NGOs which some observers call "public service contractors".
This trend has been criticized because of the cooptive and
short-term nature of the government/NGO partnership.
Most of the International Multi and Bi-lateral agencies, UN
organisations, Northern Governments, International non-Governmental
organisations work in India through India based offices and local
Consultants. They help their head offices in the north to develop
policies and help in monitoring their development aid programmes in
the country. These offices/consultants play an important role in
shaping their policies, strategies and programmes in India. NGOs
could play a part in influencing policies favourably.
b) Intervention by Dalit Foundation
Till date, there has not been any planned strategy by Dalit
Foundation to approach statutory sources for support.
c) Objectives
· Raise 450 lakhs from Statutory sources in a three year
period
· None of this income is guaranteed
· Develop funding relationships with at least five major
statutory sources in a three year period
· To diversify the statutory funding base
· To maximise core costs being funded by statutory donors.
· Study the in-country government grants available under the
relevant ministries
· Explore all budget lines (project, strategic, thematic,
research, health/education, social policy, gender and women and
child development etc).
d) Mechanisms
· Develop funding relationships with statutory sources such as
CIDA, Friedrich Ebert Stiftung, and small grants of local
embassies
· Explore DFID India strategy and explore the possibility of
support
· Identify a Canadian agency for partnership for putting in a
joint application to the Canadian High Commission, Ottawa,
Canada.
· Keep abreast of, and respond to, changing grant-making
mechanisms and opportunities by statutory donors.
· Intensive research into the government of India grants and
avail funding under the relevant ministries
· Maintain efficient reporting and grant-monitoring systems
· Continue to work with the Team in the development of detailed
3-5 year operational plans reflecting organisational strategic
priorities that can be used in multi-year applications.
e) Resources required
· Database of statutory sources to be in place
· Country strategies and funding guidelines of statutory donors
needs to be identified
· Project ideas/summary needs to be drafted for a project match
with statutory
Sources.
7C) INSTITUTIONAL DONORS
a) Introduction
The number of NGOs is increasing. As the sector grows,
competition for funding increases. However new and different
funding sources are becoming available. Growing numbers of wealthy
people are setting up charitable trusts.
The ability of an organisation to attract funding is becoming
more dependent on its ability to
demonstrate its value and impact. The importance of measurement
of outcomes is increasing. This raises the evidence hurdle as the
quality of data needed to secure funding increases. Some funders
are shifting their support towards what is proven to be working
rather than insisting on new or innovative projects.
Information is also far more accessible via the internet,
changing the relationship between donors and organisations by
increasing expectations of accountability and the amount and
quality of information that donors demand before giving, and that
they expect to receive after giving.
b) Intervention by Dalit Foundation
This is been a source of income where Dalit Foundation has been
immensely successful. Agencies such as Ford Foundation, Christian
Aid, ICCO and many such agencies have provide vital support to the
initial years of the foundation’s work.
c) Objectives
The emphasis will be on securing multi-year grants to increase
stability.
· To raise 325 lakhs from 10 – 12 organisations in a three year
period
· To look at options of registering Dalit Foundation as a UK
charity in 2009/10
· To explore the possibility of securing European Commission
grants
d) Mechanisms
In order to meet the fundraising target we will:
· Identify areas in deficit and prioritize these for developing
applications for project funding;
· Package up the most innovative and interesting projects and
submit applications to potential new supporters;
· Nurture existing donor relationships – via the work plan and
reporting schedule, provide high quality account management, timely
evaluation reporting, project visits etc to ensure continued
funding;
· Renew grants from those trusts where the grant is coming to an
end with a view to these being three to five year commitments;
· Reactivate previous donors – review any lapsed or dormant
supporters, as previous supporters are more likely to give
again;
· Continue to diversify funding sources through research to
identify new trusts from overseas;
· Till Dalit Foundation is registered, register with
organisations who provide with a platform for funding. Examples:
www.giveworld.org ; www.give2asia.org, www.ngoworld.com,
www.globalgiving.com
· Design a programme of carefully tailored mass mailings to
smaller trusts and foundations that do not warrant individual
applications;
· Work with Trustees and key supporters to identify contacts
within trusts and to develop these relationships with a view to
securing long–term support;
e) Resources required
· Financing from major donors requires increasing evidence of
need, both thematic and geographical, and research skills will be
required to produce this evidence;
· Resources may be required to produce new case studies in order
to demonstrate the impact of Dalit Foundation’s work;
· Costs of establishing UK Foundation;
· Subscription to US/European funder databases
7D ) INDIVIDUALS/ MAJOR GRANT GIVERS
a) Intervention by Dalit Foundation
There has been no planned strategy by the foundation in this
area of fundraising
b) Objectives
· To raise 75 lakhs from individual / major donors in a three
year period
· To research details of at least 500 names and contact details
of individual donors
· To have a database software for a systematic storage of
current as well as prospective donors
· Have a direct marketing plan with clear and specified
audiences within the donor database
· Send one round of mailer to supporters on warm database and
have a detailed history of their donations every year
· Send two mailers to database of banks and mobile operators.
(Companies such as Vodafone, Bharti, HDFC, HSBC will insert our
appeals in the billing pack to mobile service users and credit card
holders. This will not only save postage charges but will guarantee
that this reaches people who are on warm database). Our own bank
where we hold an account could be approached for this.
c) Mechanisms
I. Intensive research on the individuals and major donors (High
Net worth Individuals)
II.Cultivation
· Personal meetings
· Engage connections
· A small reception with the existing donors and prospective
donors - Recognition reception. This would provide a good
networking opportunity for supporters and an opportunity to meet up
with Dalit Foundation staff and Board members too
· A targeted e-newsletter once a quarter
III.Recognition
· We need to consider imaginative and cost-effective ways of
recognising and rewarding some of our donors. We should also
consider a sliding scale of recognition to size of gifts. This
might be an area where we involve some of our warmest supporters.
We should consider for significant gifts whether we would consider
a Board position
· We should consider whether we formally assign “club” status
and membership benefits to a group of givers over a particular
amount. It would be good to explore how this has worked for other
NGOs or seek the advice from the experts in the sector
· We currently acknowledge and thank donors in the
following:
-Annual review
-Annual accounts
-Website
-Branding on sponsored items
IV. Solicitation
· It might take 8-18 months to cultivate a donor sufficiently,
ready for an ask
· Prepare individual strategies for each prospect
· Use Board, other supporters, and Director to support the
ask
· Prepare for each donor prospect meeting and be prepared to
counter objections
V.Stewardship
Develop a policy for the acceptance and acknowledgment of:
· Thank you’s - personal hand-written thank you letters from a
member of the Board, Director or any of the service-user
· Reporting
· Relationship management
e) Resources required
We will have to allocate some amount each year in direct
expenditure against major individual donor fundraising activity.
This is extremely time consuming and requires most of the time of
at least one member of staff with support from additional members
of the team, the Chief Executive and the Board. We need to spend
additional time and resource on analysing data, and utilising the
database to ensure our activity is properly planned and
co-ordinated.
8. KEY FUNDING DRIVERS:
· Many grantmaking trusts and foundations and wealthy donors are
becoming steadily more strategic in their giving and engaged with
the organisations they support;
· Funders are increasingly seeking better information to help
them select the organisations they perceive to be capable of making
the biggest difference;
· Competition for funds is intensifying due to the growing
number of NGOs, and due to polarisation of large and small NGOs
· Income generating activities will continue to grow over the
next five years as will the expectation that organisations should
generate their own income.
9. THE INDIAN ECONOMY AND THE CURRENT GLOBAL ECONOMIC CRISIS
· The global economic crisis is having a noticeable adverse
impact on the Indian economy already and it is likely to remain
this way for some time. This poses significant challenges for Dalit
Foundation in consolidating its current position.
· Though economic volatility often creates winners and losers it
is highly likely that the nature of the current economic crisis is
likely to impact every industry adversely. Despite this, impacts
will vary considerably between sectors and understanding this may
help Dalit Foundation’s strategic direction in its fund raising
efforts.
Recommendations
· The global economic crisis will inevitably pose challenges for
Dalit Foundation’s fundraising needs. These challenges require
strategic thinking as to the approach DF takes in seeking its
funding and where and to whom it directs its energies.
· Charities are often hard hit in economic downturns but it is
not always the case that people stop giving in these circumstances.
While overall there is likely to be large job losses and wealth
loss due to falling equity markets and property prices, many
individuals will maintain the same income levels through the crisis
and may be prompted into feeling a stronger sense of obligation to
contribute to social charities.
· Previous / lapsed donors, institutional, corporate and
individuals, should be targeted as these have established a
willingness to contribute and this approach is consistent with
consolidation which should be the focus in the current
environment.
· Companies in sectors less likely to be severely hit by the
crisis – such as high value added manufacturers, mining, IT and
other services –should be targeted, again with a focus on getting
lapsed donators to contribute and current to contribute more.
· Governments will often spend more during downturns to minimize
the fall in overall demand in the economy. Though no research has
been conducted here into the intentions and fiscal positions of
current state government donors, it would be prudent to look into
any possibility of DF receiving any benefit from extra government
social spending. For example, there is a announcement by the Oil
Ministry that all Public Sector Undertakings which are owned by the
states will contribute 2% of its pre-tax income to social
projects.
10. COMMUNICATIONS
There is a clear need to strengthen communications in Dalit
Foundation. Steps should be taken to ensure a strong and a vibrant
brand identity and visibility of the organisation. Once the
fundraising strategy is finalized, a detailed communications
strategy needs to be worked around it. This could be done in-house
/ seek an external agencies support and guidance. The ultimate aim
is that Dalit Foundation’s name should be recalled when there is a
mention of Dalits.
Objectives:
· To use consistent communications messages and styles in our
communications
· To target potential supporters with exciting and informative
communications materials about our activities/events.
· To ensure our communications messages are easy to understand
and communicate and that the material we provide is easy to
re-distribute and is equally suitable for this purpose.
Mechanisms:
1. Online social networking and broadcasting sites: Set up Dalit
Foundation profile on a range of relevant popularly visited
websites such as Rediff, Google, Indiatimes, to raise awareness of
the work, harness support and to promote our work and events to
website visitors. We will also post our profiles on sites such as
Indian NGOs and other popularly visited development sites.
2. Our website: Our new website will be live by April 2009 and
will provide the opportunity to inform current and potential donors
our work and success. We hope to encourage existing supporters and
their donors to make repeat visits to our site to donate online,
view fundraising progress and post their views on the bulletin
board, view photos from events, etc. We also aim that there will be
a Hindi version of the website for the benefit of service-users.
While availability of each of these aspects of the site is likely
to be staggered, we hope to have all features available by June
2009.
3. E-newsletter: This will be sent out quarterly to registered
members to inform them of any DF news, provide fundraisings advice,
fundraising tips and any relevant or interesting event related
information. The E-newsletter will be created using a template from
the new website.
4. Fundraising materials: We will prepare and make available to
prospective supporters a range of fundraising materials;
· Fundraising pack: This will have a brochure, case for support
document and an annual review of Dalit Foundation.
· Annual reviews: These will be produced annually and will be
distributed to the entire mailing list of Dalit Foundation. In the
near future, we will aim to have this translated in Hindi also.
· DF Bookmark: We will research the possibility of having
bookmarks made using printing ‘off-cuts’. These could be sent to
supporters to distribute to others and raise awareness of our work.
We could also use them as small thank you gifts when sending a
thank you note.
· Library of good images: It is absolutely vital that we project
our work in the most visible manner possible and hence we will aim
to have a comprehensive library of good quality images.
5. Visibility: We will use the below methods to enhance our
visibility
· Mass Media: We will make optimum use of mass media through
radio and television talks, press releases and ad spots. We will
also have audio visual presentations and short clippings made which
will project our work in the best manner possible.
· Days of Importance: We will have a day dedicated and
celebrated as ‘Dalit Empowerment Day’ possibly on Ambedkar Jayanti.
All partners will be encouraged to do this and this will bring a
nation-wide presence and awareness about Dalits and their
rights.
· Exhibitions and Festivals: We will have art exhibitions
planned at state and national level and will exhibit the art and
craft of Dalit community. The dual objective will bring in
awareness and like-minded people together.
· We will organize ‘Ethnic Food festival’ which will bring
together Dalits to demonstrate the variety of food prevalent in
their communities.
11. IT STARTS WITH A CASE
A Case Statement defines:
· Who you are
· Where you've been and where you're headed
· What you WANT
· How you're going to get it
· When you'll get there
· How much it’s going to cost
A good Case Statement has a compelling, self-evident need, has
vision, and is defensible. It needs to be brief, clear, positive,
upbeat and an easy read. It needs to answer 6 questions:
1. What is your primary focus?
2. Who is your service-user?
3. What does the service-user consider value?
4. What have been your results?
5. What is your plan?
6. How much is it going to cost?
Since Dalit Foundation does not have a case statement the first
job is to take the time to
write one. Part of that process is to confirm the top priorities
for funding and then establish the fundraising goal to achieve
those priorities.
The case statement will be the ‘spine’ of the communications
plan. Elements of it will be used to write a news release, a
brochure, a fact sheet, a PowerPoint presentation….each tailored to
the audience for which it is intended.
As importantly it will be the guide to assist all board members
and staff to communicate about the organization in a consistent and
accurate manner. It is important to review and revise it regularly
to keep it current, accurate and ‘fresh’.
12. CAMPAIGNS & MESSAGES
INNOVATION AND OWNERSHIP
Funders often want to fund innovative projects that make a
difference. We will establish clarity about what Dalit Foundation
‘owns’ and our areas of innovative work. We will emphasise the
uniqueness of Dalit Foundation by focusing on our approach to the
building of services for Dalit people, including the level of
consultation we undertake with stakeholders, by working with local
partners, by employing local staff and by building the capacity of
local organisations to create service longevity.
INVESTMENT IN DALIT FOUNDATION
We aim to encourage new funders to support Dalit Foundation by
investing in the principles and values of the organisation so that
we retain flexibility in our spending.
PROJECT FUNDING
Donors respond to opportunities to give where the price, the
rewards, the package and the relationship are clearly set out.
Where possible we will seek funds for specific projects aiming to
build in as much core expenditure as possible in the project costs.
Case studies are a powerful tool for this.
SUSTAINABILITY
Where appropriate and to meet funder requirements, we will use
the theme of sustainability to emphasise the value of support and
to demonstrate the importance we place on financial responsibility
and local autonomy.
THEMATIC FUNDING
We will aim to build proposals around areas of work
incorporating office costs, looking at themes of advocacy,
education, campaigning and social inclusion.
IMAGE
The image that we want to communicate to our supporters about
our events is that we are a professional, experienced, efficient
and credible charity offering a diverse portfolio of fundraising
events.
13. INTERNAL CONSIDERATIONS
13A. POLICIES AND PROCEDURES
The following policies and procedures will have to be
established within the organisation:
· Work closely with the programmes team to understand the
changing needs of the field
· and the finance team to ensure that all income is recorded and
reported as per the agreed guidelines and deadlines.
· Ensure that we are complying with statutory legislation and
best practice within the voluntary sector.
· Respond to all inquiries and/or donations that come to Dalit
Foundation within 48 hours of receipt.
13B. MONITORING & EVALUATION
We would use the following indicators to measure our fundraising
activities
· Repeat donations from existing donors
· Signing in of five new donors every financial year
· Steady increase in unrestricted funds
· The average donation per individual donor is Rs. 2,500
· The returns of cold direct mailings comes to 3%
· The fundraising programme is adequately staffed and funded and
maintains a 1:4 cost to income ratio
· Donor feedback is acknowledged within 48 hours of receipt
· Two project partners raising 50% of funds themselves
· Total number of meetings and proposals sent v/s successful
proposals
13C. HUMAN RESOURCES / ORGANOGRAM
The Fundraising and Communications team would have
· A Communications Manager who would look after production of
communications materials and brand raising of the organisation
· A Networking Manager focussed on fundraising activities with a
clear focus and responsibility of researching new donors,
streamlining and increasing donor database.
· The Executive Director would head the unit and oversee the
fundraising and communications strategy of the organisation. He
would also line manage both staff members and continue to
contribute to the overall strategy through his active
participation.
13D. INTERNAL AND EXTERNAL REPORTS
· Continue to manage relationships with donors and keep them and
Board of Trustees updated.
· Have an annual reporting schedule for donors
· Prepare quarterly narrative report on fundraising activities,
income and expenditure report as per the agreed format.
13E. STAFF DEVELOPMENT/TRAINING
· Provide opportunities for development and personal growth.
· Have a training needs assessment of the fundraising team
keeping in view their areas of work.
· Identify appropriate training venues where staff could be
exposed to trainings
· Help identify mentors to key fundraising staff where they get
needs based and focused support.
· Have a regular system of monthly staff meets and
supervisory/appraisal meets.
13F. PARTNER SUPPORT
The ultimate aim of Dalit Foundation is that all its partners
should have strong and effective mechanisms in place. This will be
ensured by support provided in the form of providing needs based
support. This will largely include - self needs identification by
partners, accounts training, human rights training and women
leadership training
Specifics include:
· We will provide support to partners in identifying and
achieving their fundraising and communication objectives. This
would take 20% of the team’s time.
· Whenever and wherever required, we will involve experts within
the sector as resource persons
· We will prepare Communication guidelines for partners and
provide them with inputs to implement them within their
organisations
· We will support them in drafting a fundraising strategy and
needs based communication materials to present their work
· We will have trainings and one-to-one support aimed at
partners for fundraising strategies, media management and
communication material generation.
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Fundraising Strategy – Dalit Foundation
April 2009 – March 2012