The importance of diversified fundraising

I’ve been fortunate enough to serve Family Builders for several years now. That has included time both as a board member and as President of the board.

In my day job, I’ve worked with a number of businesses and nonprofit organizations over the years. One of several things I’ve learned over time is the importance of fundraising.

Laura Gamble, our executive director, joined Family Builders back in 2011. Early on, she discovered that very little of our funds were coming from individual donors. Historically, the majority of our operating budget has come from DHS contracts and our status as a United Way Agency.

Laura quickly realized that by limiting our sources of funds, we were greatly limiting how much good we could actually do and how many families we could help.

In the investment world, it’s generally accepted that diversifying your investments is a good idea. That same concept applies to nonprofit organizations as well.

As a business owner, I would never want the majority of my revenue to come from a single client! In fact, I’ve seen other businesses close their doors because they lost their biggest client.

Is that a risk we want our nonprofits to take? Is that a risk I’m willing to let Family Builders take?

No!

As a fiscally responsible board member of Family Builders, I view it as a key part of my job to make sure we diversify our fundraising. And I’m glad that our executive director and I are on the same page on the topic.

That’s why I’ve personally put time and energy into introducing other individuals to Family Builders. Exposing more people to our mission means that there will be more people who are willing to help us serve Oklahoma families. Although not all of that help will be financial, assistance with time, money, and resources are all beneficial for effectively running an organization like ours.

Obviously, diversifying our fundraising effort is not a quick change in practice. Laura has been working on it for years. It’s a process, and takes time to implement. But I know Laura, my fellow board members, and myself will continue to move Family Builders in that direction.

Leave a Comment