Fundraising 101
Fund raising events can be a lot of fun for all involved. It is important to make the fundraising project a group effort and to get as many people involved as possible. Not only will you have more help to accomplish your goals, but you will also get more people interested in giving money. The key to being successful in fundraising is to be creative and to keep your goal in mind. Members of your organization will not get excited or interested in your fund raising efforts if they do not know where the money will go. Make sure that the reason you are raising money is a legitimate cause, and let everyone know why you are raising funds.
2. Develop a plan / Calculate how much each member of your group must raise in order to reach your group’s goal. Include a timetable for each member to reach his/her individual goals. Select a fundraiser that your group can and will participate in and support.
3. Develop a budget / Create an accurate budget reflecting the all of the major expenses and income anticipated. Include costs of materials, personnel, etc. as necessary, as well as revenue you expect.
4. Make a fundraising schedule / A schedule means a calendar of your events. Plot out your key dates: Pre-Launch, Drive and Conclusion.
5. Do one fundraiser at a time. / Doing many fundraisers does not mean raising more money. Doing a few fundraisers and doing them well produces better results.
6. Create excitement and enthusiasm! / These are the two key ingredients that every fundraiser needs. Be excited and be enthusiastic – It really works!!
7. Promote / Promote your fundraiser every minute of every day during your fundraising drive. Press releases, posters (at local businesses), prizes, reminder letters to friends and parents, etc.
8. Run the business / Your fundraiser is a “mini” business. Treat it as a business. Make good business decisions. Use good accounting practices. Remember you are doing the fundraiser to make a profit!
9. Thank supporters! / Send “thank you” notes to people, business, organizations that sponsor your drive. Recognize everyone involved in the planning and implementation of the fundraising project.. Make certificates, ribbons, or other type of small rewards for everyone who volunteered for the project. Give your big donors some kind of tangible reminder of how they contributed to a good cause. Create and maintain good will with these contributors, because they will tend to help in the future.
10. Evaluate / Complete a written evaluation or report. Make sure you include contact names, addresses, and phone numbers; time lines and important dates; and suggestions of things to do differently.
BUDGET PROCESS
Constructing a budget is one of the most important tasks your organization will undertake. Using funds involves a process, which requires careful analysis. There are a few steps your members can follow to help ensure success in the budget making process.
Step 1: Involve all stakeholders: You want to involve people your budget will affect. Constructing a budget blindly without input from others is a recipe for disaster. You must include all of the stakeholders, and actively seek a priority “wish list” from them. At this point, you are just seeking input and not guaranteeing a set amount of funds.
Step 2: Review the previous year’s budget. It is imperative that your members carefully analyze the previous year’s budget report. Members need to be familiar with revenue items, expenditures, and unforeseen costs. Furthermore, members need to understand fixed costs, or costs that your organization will be responsible for covering regularly.
Step 3: Make projections. Once you have carefully studied the previous year’s budget, you will be better equipped to make an educated projection for this year’s budget. Now you can make assumptions on how much revenue you plan on making on budget items. It also allows you to reevaluate any budgetary items in which you experienced a shortfall.
Step 4: Now go back to the stakeholders’ “wish lists”. At this time, you want to go and review the “wish lists” of the various stakeholders. Carefully analyze their requests and start to determine the funds the your organization will be able to allocate. Most likely, you will be unable to honor all of their requests. Remember, you can only allocate funds based on the projections you have made. Therefore, telling people “no” is a harsh part of the budgetary process.
Step 5: Create a rough budget. Now is the time to create a rough budget to plug in all the numbers for revenue and expenditure costs. Allow your students to freely input the numbers as they see fit. Most likely, when you have completed the rough budget, your members will realize they have overspent by gazillion dollars.
Step 6: Make the appropriate adjustments. Members will reevaluate the budget and make adjustments where appropriate. Perhaps, you will realize they need to trim some costs in certain areas.
Step 7: Create the final budget. You have now spent countless hours to construct a meaningful and legitimate budget. You have made sure your expenditures match your revenue, and you’re ready to put it out to stakeholders. Please remember, not everyone will be completely happy with the budget you have created. In human nature people generally want more. Remind everyone that budget creation is a delicate yet tedious process.
Adapted from asbdirector.com
SAMPLE Student Organization Budget
When creating a budget for your organization, FIRST decide what activities and materials are needed for the year. THEN, think about fundraisers you can do to raise the money!
COMMITTEE and ITEMS / Estimated ExpensesRECRUITMENT AND SELECTION
Fall recruitment (food, brochures) / 75
Spring recruitment (food, brochures) / 75
MALL TABLING
Signage / 125
SPECIAL EVENTS
Homecoming float decorations / 100
Activities Fairs supplies / 125
SOCIAL/PHILANTHROPIC
Holiday Party food and paper plates/utensils / 100
End of year picnic/banquet / 200
Donation to charity event / 100
LEADERSHIP DEVELOPMENT
Attend or Send Member to Leadership Conference / 150
Retreat supplies and food / 125
MISCELLANEOUS
Film and photo albums / 50
Promotional items (pens, post-it-notes, magnets) / 100
Polo shirts $25 x new members / 200
TOTAL PROPOSED BUDGET / 1,525
Fundraising Goals
FUNDRAISING ACTIVITIES / Amount Raised
VENDORS
Vendor 1: $75 per day x 6 days / 450
Vendor 2: $75 per day x 4 days / 300
ASASU FUNDS
Fall Appropriations / 250
Spring Appropriations / 125
CONCESSIONS
Football game / 200
Basketball game / 100
OTHER FUNDRAISERS
Car wash / 100
Recycling Can Drive / TBD
TOTAL FUNDS RAISED / 1,525
Tax ID Numbers and Account Options
Student Organizations are often in situations that require a Federal Tax ID Number (opening an organizational bank account, conducting fundraisers off-campus, working concessions at an athletic event). Student organizations are not allowed to use the University’s tax identification number. If your organization is conducting fundraising activities, please review the options below.
1. Apply for Federal Tax ID Number
Student organizations are encouraged to apply for their own tax identification number and open an account at a Credit Union or Bank. Once obtained, you should ensure that the number remain in your organization’s permanent file kept with your advisors and in officer manuals. To verify if your organization has a tax ID number, call the IRS at 1-800-829-4933.
To apply:
EIN Operation
Philadelphia, PA 19255
Business and Specialty Tax Line
(Obtain an EIN from 7:00AM to 10:00 PM local time only)
Websites:
About EIN: http://www.irs.gov/businesses/small/article/0,,id=98350,00.html
Online Application: https://sa.www4.irs.gov/sa_vign/newFormSS4.do
PLAN AHEAD!!! Processing may take 2-4 weeks. When your organization has received the Federal Tax ID Number, provide it to the employer/agency.
2. Maintain Bank Statements
It is very important to maintain financial records for your club. It is recommended that at least TWO members co-sign your bank account. Your full-time faculty/staff advisor should serve as an account signer in order to assist during transition of officers and to provide continuity. Provide copies of all bank statements to your advisor, to keep on file in the event that an audit is needed. For a comprehensive list of “Recommended Cash and Inventory Procedures” go to http://www.asu.edu/studentrisk/
3. Donations
If your organization is receiving large donations from an individual or business, you may want to consider consulting with a tax advisor.
On-Campus Resources
ASASU Funding Opportunities
Forms, deadlines and information available at the website or the 3rd floor of the MU or call (480) 965-3161.
There are three primary sources of funding from ASASU
1. Undergraduate Student Government (USG) - www.asu.edu/usg
2. Graduate & Professional Student Association (GPSA) - www.asu.edu/gpsa
Watch out for REVERTMENT DATES!!! To get funds from ASASU you must fill out a Request for Funds Form at the ASASU Business Office, 3rd floor of the MU and turn in your receipts.
Vendors on Campus
Sponsoring a vendor on campus is an excellent way to raise funds for your organization. Talk to vendors that your club members do business with, and let them know that it is a great opportunity to set up on ASU’s campus for a very nominal fee. Traditionally, student organizations charge $75 per day that vendors are on the mall. Detailed information on sponsoring a vendor on campus is available at MU Event & Meeting Services.http://www.asu.edu/studentaffairs/mu/events/docs/Outdoor_Event_Request_Form.pdf.
Campus Environment Team (CET)
The Campus Environment Team works to promote civility, justice, diversity, respect for all individuals, freedom of expression and academic inquiry, and the pursuit of individual goals without interference from discriminatory harassment. The CET offers funding for campus groups to engage in activities that help achieve the CET mission.
www.asu.edu/cet
Sodexo Sports & Leisure Concessions
Sodexo provides opportunities for non-profit groups (must have W-9) to staff concession stands and get paid per person that works. Events include but are not limited to the Insight Bowl, ASU football, ASU basketball, ASU baseball and Gammage. Contact Sodexo Sports & Leisure at (480) 965-9137 or (480) 965-5291. Email
Stadium cleanup: Stadium cleanup after major games is yet another way to raise funds. Contact Travis Lambert at Crystal Cleaning at (602) 415-0777 for details.
Collaborate with other groups!
By creating partnerships and sharing resources, you may be able to pool resources for a more successful event. There are many coalitions and councils registered with SORC. These groups serve as umbrella organizations for similar interest groups, and many even have their own funding sources. Check them out at www.asu.edu/clubs.
USG Appropriations
The Undergraduate Student Government (USG) typically has two appropriation cycles every year; in the fall and in the spring. Be sure to check the USG website at www.asu.edu/usg for the appropriation calendar, applications and deadlines. Upon appropriation of funds by USG, follow these simple steps:
- Your first step is to contact the ASASU business office for a consultation. Many times they can pay for your expenses directly –avoiding a time consuming reimbursement process. The ASASU Business Office is located in MU 310C.
- All requests must have a completely filled out RFF (Request for ASASU Funds). In the case of a reimbursement, the RFF must have the person or group that actually paid for the expense listed as the one being reimbursed.
- Any request involving food must include a completed Business Meals form and a list of attendees of the event.Any food purchased must have an itemized receipt. If you are using Aramark, ASASU can pay this expense directly for you.
- If your group is being reimbursed and they have never been paid before in the accounts payable system, USG will need a substitute W-9 in order to add this group to the vendor tables.
- If a speaker or performer is being paid, USG will need a DPSO form (Departmental Professional Services Order).Per accounting policy, USG must pay the speaker or performer directly.A student or group is not allowed to pay for their honorarium/expenses and then be reimbursed. They will also need a W-9 for the speaker or performer.
- Any groups receiving funds toward travel expenses also need to work with the ASASU business office before they make any travel arrangements so that proper procedures can be followed and it can be determined which expenses can be paid directly.
NOTE: Starting Fall 2009, if funds have been appropriated by USG for student organization travel, a representative of the student club is required to schedule a risk-analysis meeting with a SORC staff member at least 14 days prior to travel. Call 480.965.9665 for details.
- Student organizations may use an ASASU purchasing card (P-Card) for certain purchases. To use a P-Card, please make a reservation with the ASASU business office 24 hours in advance. You will need to have all your paperwork completed and signed by an USG officer before you are allowed to check out the P-Card. The P-Card cannot be kept overnight.
- Please review the list of prohibitive expenses for the University at http://www.asu.edu/aad/manuals/fin/fin401-03.html. Regardless of what has been appropriated, the University cannot pay for certain items. Examples include: flowers and live plants; gifts and/or gift certificates; charitable organization donations and their events; and, parking fines.
Other Resources and Idea$
Letter Campaign to your friends and relatives
One of the most efficient ways to do grassroots fundraising is by a letter campaign to ask as many relatives, friends, former teachers and professional co-workers, etc. as possible. You should try to send a letter to many people. Send a detailed letter explaining the program and what you plan to accomplish with it.
Ask for a specific amount of money. You may want to break your supporters into two, three or more groups, sending a custom letter to the group based on your relationship with them.
Have a rummage sale
A rummage sale is a good way to sell your possessions and gather funds for your cause.