When Things Go Wrong September 18, 2006

I'm on the boards of a number of nonprofits. Over the past year two of them have had some serious issues arise which could lead to lower fundraising revenues. In one case, a significant number of longtime supporters are unhappy about one of the nonprofit's employees, and have discussed moving their support to another organization. The move would mean a loss of important supporters, their funds, and part or all of the program they support.

In the other case, the nonprofit has a significantly undersold event and is struggling to hit break even. A thin crowd could weaken its work, and a loss would truly hurt it. Unfortunately I can't help them that much because I'm in a completely different part of the country and can't help fill seats.

In the first case, I recommended either moving or removing the employee. The longtime supporters have a decent beef and should be respected through action, and their participation is too critical to just let it pass. In the second case, I recommended hitting the airwaves, while developing a contingency plan to give away tickets cheap or free, with the hope that the attendees will pitch in once they get to the place. It's more important at this point to get a strong showing and promote ideas than to hold on tightly to the ticket price.

What disasters have you encountered? What did you do to solve or avoid them?

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Comments

I have no disaster stories yet but I'm fearful I may soon because I've been tasked with managing a large blacktie fund raiser. I'm suspect events of this type have significant variables and costs that can easily get out of control and scuttle the profits. I'm looking for data on typical costs and profits (losses) that can be expected and pitfalls to avoid. Any suggestions on where I might find some hard data?

Monty, try searching the Philanthropy News Digest message board at http://members4.boardhost.com/PNDtalk/

Helpful bulletin board where you might get some answers.

As a former development director, I often checked the AFP (Association of Fundraising Professionals) website: www.afpnet.org. They have resource articles and a bookstore which identify books by category, including special events. In general, special events can be tricky. They are so labor intensive and demand so much of your volunteers and staff. On the other hand, if done well, they can raise lots of money and reinforce commitment to your organization.

Good luck!