INTRODUCTION TO

PROFESSIONAL FUNDRAISING

PAM SHAW MCIOF

SUSAN ROBINSON FCIOF

Declaration

All material provided is either existing research, which is

credited, or is regarded as ‘best practice’.

However, this is not a substitute for professional, legal

or financial advice.
Learning Outcomes

By the end of today you should be able to:

• Understand the wider non-profit environment and fundraising’s
important place in it
• Develop a compelling Case for Support
• Ensure that your fundraising is legal and ethical
• Understand the fundraising planning process and how to identify
income sources
• Value appropriate supporter communications, designed to develop
good relationships
• Know where to get more information, and your next fundraising
steps
Section 1: Setting the Scene
The wider non-profit environment and
the role of fundraising
5

In the beginning....
In 1891 Lord Macnaghten classified charitable purposes
under four “heads”:
• the relief of poverty
• the advancement of education
• the advancement of religion
• and, other purposes beneficial to the community

In 2020, in England & Wales there are 13 charitable purposes

defined in The Charities Act 2011; in Scotland there are 16 defined
in the Charities & Trustee Investment (Scotland) Act 2005; in NI
there are 12 defined in the Charities Act (Northern Ireland) 2008

www.pemselfoundation.org/about-us/the-pemsel-case-foundation
The Voluntary Sector in Scotland

Universities and colleges Swimming pools, art

Scouts, Guides, Cub Scouts, galleries and
Student Brownies, Beavers & Rainbows museums
organisations
Churches and religious Ex-services organisations
Grant-giving Pre-school
organisations
charities playgroups
Village halls Training providers
Environmental Care
groups providers Animal welfare groups
Agricultural
Independent societies
schools

Source: OSCR Breaking Blue June 2020

www.oscr.org.uk/media/3990/2020-07-27-scottish-charity-
and-public-surveys-2020-report-june-2020-v2.pdf
What is Fundraising?
How can we raise funds?
UK Voluntary Sector income

Fundraising
spending?
Income Spending
£53.5bn £51.3bn £7.1bn

In 2017-18, there were 166,592 voluntary organisations across the

UK

UK Civil Society Almanac 2020 https://data.ncvo.org.uk

Where does the money come from?

• The Public 25.3

• Government 15.6
• Voluntary Sector 5.1
• Investment 4.0
• Private Sector 2.6
• National Lottery 0.5

Total £53.5bn
UK Civil Society Almanac 2020 https://data.ncvo.org.uk
Proportion received by each cause
Social services
12%
Culture and recreation
21%
3%

3% International
5%
Health
6% 11% Grant-making
foundations
7%
Environment
11% Research
10%

11%
Religion

UK Civil Society Almanac 2020 https://data.ncvo.org.uk

Section 2: The Fundraising Cycle
The Case for Support
The Case for Support

A clear, compelling and concise argument which

convinces potential donors of the
beneficiaries’ vision for their future.
Case for Support answers:
• What are the specific needs of the people/communities
you serve?
• What impact are you making? Are you being
successful?
• What are your priorities at this time? Your urgent
needs?
• How do you normally raise funds?
• How exactly will the funds raised be used?
• Why should I give to your organisation?
The Case for Support

In writing… Verbal..
The Case for Support…

A good “case” answers the question, “Why should I support

your cause?”
It should contain:
Need
Solution
Now
And ideally, it should be unique..
Start with Why? https://youtu.be/IPYeCltXpxw
Section 3: The Fundraising Cycle
Research and Segment
Internal
environment
Micro-
environment
Macro-
environment
Internal
environment
Micro-
environment
Macro-
environment
Political

Economic

Social

Technological

Legal

Ethical
Political

Challenges identified by fundraising charities:

• Covid-19 - ongoing
• Brexit – 30% of respondents “Very Concerned”; 36%
“Somewhat Concerned”
• Potential future regulatory changes – 11% of
respondents “Very Concerned”; 39% Somewhat
Concerned
• Independence referendum?
Economic

Pre-Covid challenges identified by fundraising

charities:
• Increased costs for carrying out Fundraising
activity – 16% of respondents “Very Concerned”;
54% “Somewhat Concerned”
• Uncertaintity over the Economy and
Disposable Income of Donors – 23% of
respondents “Very Concerned”; 56% Somewhat
Concerned
• And now there is Coronavirus…
IoF Fundraising for Impact Report 2019
Social
Trust in charities has
decreased significantly
The number of people
since 2016. 48% of people
participating in charitable or
said that they believe social activities in the
charities to be trustworthy previous 4 weeks has
(down from 51%). decreased over the last
three years.
Rates of volunteering
remain stable, as do the
proportion of people giving
goods to a charitable
cause
CAF UK Giving 2019
Technological
Legal

The Bond of Trust

Legislation
Charities and Benevolent Fundraising
(Scotland) Regulations 2009

These Regulations apply to organisations seeking to

raise funds for charitable, benevolent or philanthropic
purposes:
Defines the terms:
• Professional Fundraiser
• Professional Fundraising Organisation
• Commercial Participator
• Benevolent Fundraiser

www.oscr.org.uk/guidance-and-forms/technical-guide-charities-and-
benevolent-fundraising-scotland-regulations-2009
Fundraising in a Public Place

https://ciof.org.uk/events-and-training/resources/face-to-face-fundraising
Data Protection Act 2018

www.legislation.gov.uk/ukpga/2018/12/contents/enacted
Lawful Reasons for Processing Personal
Data

https://ico.org.uk/for-organisations/guide-to-data-
protection/guide-to-the-general-data-protection-
regulation-gdpr/lawful-basis-for-processing
Gambling Act 2005

www.legislation.gov.uk/ukpga/2005/19/contents
Other applicable legislation…?

• Freedom of Information Act 2000 and Freedom of Information

(Scotland) Act 2002
• Health and Safety at Work etc Act 1974
• Employment Rights Act 1996
• Human Rights Act 1998
• Companies Act 2006 (for charities which are also companies)
Regulation of Fundraising
Self-Regulation…

The Fundraising Regulator is responsible for setting the Code

of Fundraising Practice and its associated rule books for
Street and Door fundraising which outline the standards
expected of all charitable fundraising organisations across the
UK.
Code of Fundraising Practice
“The Code of Fundraising Practice and its associated Rulebooks
for Street and Door Fundraising outline the standards expected of
all charitable fundraising organisations across the UK. The
standards were developed by the fundraising community through
the work of the Institute of Fundraising (IoF) and Public Fundraising
Association (PFRA).”
https://www.fundraisingregulator.org.uk/code
Code of Fundraising Practice:
4.1 Cash Handling
4.1.1 You must not leave cash unattended
4.1.2 You must count cash in a secure place
4.1.3 You must make sure that all cash you
have collected is counted and recorded by
two unrelated people, where possible
4.1.4 You must make sure that cash
donations are placed in a sealed container
or collecting box.

www.fundraisingregulator.org.uk/code/all-fundraising/processing-donations#cash
Code of Fundraising Practice:
5 Volunteers
5.1.1 You must make sure that any guidance, information and
support you give to volunteers is adequate and relevant to the
type of relationship (‘on behalf of’ or ‘in aid of’) that the volunteer
has with you.
5.1.2 If your charitable institution knows about a volunteer’s
fundraising, you must make sure that there are proper
arrangements in place for money to be transferred to you quickly
and efficiently.
5.1.3 You must not make any payments to volunteers, but you can
refund their expenses.

www.fundraisingregulator.org.uk/code/working-with-others/volunteers
The Fundraising Guarantee

www.goodfundraising.scot/fundraising-guarantee
Complaints Policy
A clear fundraising complaints handling procedure helps your
charity deal with any concerns raised quickly and easily. It also
shows the public and donors that you are committed to fundraising
best practice.
Stage 1:
• Complain to the Charity
Stage 2:
• Appeal to the Charity Trustees
Stage 3:
• Complain to the Scottish Fundraising Standards Panel or the
Fundraising Regulator
Examples here: www.goodfundraising.scot/model-complaints-
handling-procedure
OSCR Registration Logo

Download from:
www.oscr.org.uk/becoming
-a-charity/registration-logo-
for-scottish-charities
All Fundraising must be:

Legal
Open
Honest
Respectful

www.fundraisingregulator.org.uk/code/all-fundraising/behaviour-when-
fundraising#general-behaviour
Fundraising Preference Service

https://public.fundraisingpreference.org.uk
Ethical

• Are there sources of funds which would be unacceptable?

• Is there a policy on Acceptance & Refusal of Donations?

• Ethics Exercise
Ethical

"I shall take all the money I can get, and I

shall wash it clean with the grateful tears
of widows and orphans."
Trustees and Fundraising

https://ciof.org.uk/events-and-
training/resources/trustees-and-
fundraising-a-practical-guide
CIOF’s Ten Golden Rules for Trustees
1. Everything begins with a strategy
2. Think long term
3. Do the right thing
4. Don’t put all your eggs in one basket
5. Listen to advice
6. Put yourself in your donors’ shoes:
7. Play your part
8. Ask the right questions
9. Work as a team
10.Keep fundraising on the agenda
Fundraising Guidance for Charity
Trustees

www.oscr.org.uk/guidance
-and-forms/fundraising-
guidance-for-charity-
trustees/
Internal
environment

Micro-environment

Macro-
environment
Market Competitors

Collaborators
Internal
environment

Micro-
environment

Macro-
environment
P.E.P.P.E.R.

• People
• Equipment
• Process
• Purpose
• Ethics
• Resources
What motivates people to Volunteer?
• I wanted to improve things/help people – 45%
• The cause was really important to me – 31%
• I had spare time to do it – 26%
• I wanted to meet people/make friends – 24%
• I thought it would give me a chance to use my existing
skills – 22%
• I felt there was a need in my community – 20%
• Its part of my philosophy to help people – 20%

UK Civil Society Almanac 2020:

https://data.ncvo.org.uk/volunteering/motivations-and-barriers
Who are the stakeholders in your
fundraising?
Donors

Local
Trustees
community

Your
fundraising

Suppliers Press

Beneficiaries
Build a Relationship…

• Be prompt
• Be personal
• Be responsible
• Be specific
• Be appropriate
• Be accurate
• Be reliable
Section 4: The Fundraising Cycle
Develop the Plan
Sources

• Grant-making Trusts and Foundations

• Corporate Sector
• Individuals
• Groups eg Churches, WI, Rotary…
• Trading eg shops, merchandise
• Public Sector
UK Fundraising
Benchmarking 2020
https://larkowl.uk
Grant-making Trusts & Foundations
Mainly registered charities, set up by:
• Individuals or Families, during their lifetime or after their
death – Volant Charitable Trust (JK Rowling); Hugh
Fraser Foundation; Carnegie UK Trust
• Companies – Wellcome Foundation; Bank of Scotland
Foundation; Greggs Foundation; BBC Children in Need
• Groups – Trades House of Glasgow; Rotary
International; WWF; SCIAF
Top Foundations by Grant-Making
Foundation Giving Trends 2019 Source: www.acf.org.uk

Rank Name Grants £M Net Assets £M

1 Wellcome Trust 349.0 24,200.1
2 Children’s Investment Fund Foundation 162.4 3,838.7
3 Leverhulme Trust 106.2 3,178.0
4 Comic Relief 72.8 116.9
5 BBC Children in Need Appeal 70.0 31.7
6 Garfield Weston Foundation 67.7 9,933.8
7 BHP Billiton Sustainable 53.2 1.5
Communities
8 Football Foundation 49.7 54.3
9 Lempriere Pringle 2015 46.2 31.4
10 Grace Trust 41.4 23.2
Top Foundations in Scotland
Foundation Giving Trends 2019 Source: www.acf.org.uk
No. Name Grants £M Net Assets £M
NL National Lottery Community Fund 44.00

NL The Corra Foundation 19.48

27 The Robertson Trust 19.27 367.69
46 Volant Charitable Trust 13.55 65.84
67 Souter Charitable Trust 9.52 21.45
103 Scottish Catholic International Aid Fund 6.37 8.99
106 The Northwood Charitable Trust 6.11 94.21
125 Gannochy Trust 4.99 186.47
126 Dunard Fund 4.97 71.90
153 The R&A Foundation 4.10 8.46
Funding Search

www.fundingscotland.com
Our Favourites
Corporate Sector

Employee related Marketing related

What’s in it for the Company?
Five General Principles
1. The scattergun approach doesn’t work
2. Motivations vary
3. 80% of business decisions are made on the basis of
‘relationships’
4. There is an unlimited ‘cake’ of corporate money
5. Don’t expect ‘quick wins’ from companies – the best
relationships take time!!
Donor Development Pyramid

Legacy

Major Gift/s

Regular Giving

Second Donation

One-off Donation
Key Giving Behaviours

Percentage who donated 32%

money in last four weeks
Average monthly donation £20 Median
amount £46 Mean
Top causes supported 27% Animal welfare
26% Children and young
people
25% Medical research
Most popular way 39% Cash
of giving in last 4 weeks
UK Giving 2020: https://www.cafonline.org/about-us/publications/2020-publications/uk-giving-2020
Why People give in Scotland

Source: OSCR Breaking Blue June 2020

www.oscr.org.uk/media/3990/2020-07-27-scottish-charity-and-public-surveys-2020-report-june-2020-v2.pdf
Time to Think..

It is February and you have to raise £2,000 to fund your

autumn play scheme for children and young people
which takes place in October each year. How would you
raise this sum?

Split into two groups and discuss.

Appoint someone to feed back.
Communication Methods…
Chartered Institute of Fundraising

Fundraising in the Time of COVID

"Something extraordinary is happening – supporters are

responding in unprecedented ways“
CIOF: Fundraising in the Time of
COVID
Report Principles:
1. It’s about them, not you
2. The mindset you have really matters
3. Your supporters still believe in your mission – and they want
to give
4. Don’t assume you are providing a great experience
5. Invest in Fundraisers
6. Invest in Fundraising

“Fundraising in the time of COVID-19” pub 11.11.2020

www.ciof.org.uk/fundraising-in-the-time-of-covid
Online Giving Platforms

• JustGiving: www.justgiving.com
• Virgin Money Giving: https://uk.virginmoneygiving.com/giving
• Wonderful: www.wonderful.org
• LocalGiving: https://localgiving.org
• Everydayhero: www.everydayhero.com/uk
Free:
• Banked @wearebanked
• TrueLayer @TrueLayer
• Giveable @weareadaptable
Example Donor Journey
Top Fundraising Events 2019
1 q Race for Life £37M Cancer Research UK
2 q Worlds Biggest Coffee Morning £27M Macmillan
3 p Memory Walk £7.7M Alzheimer's Society
4 p Mighty Hikes £5.8M Macmillan Cancer Support
5= p Movember £5M The Movember Foundation
5= p Kiltwalk £5M Kiltwalk
7= q Moonwalk £4.9M Walk the Walk
7= q Brave The Shave £4.9M Macmillan
9 q Go Sober £4.5M Macmillan Cancer Support
10 q Christmas Jumper Day £4M Save the Children

www.wearemassive.co.uk/insight/mass-participation-top-25
Fundraising Events in 2020

The Virtual Fundraising Monitor – pub

18.11.2020
https://wearemassive.co.uk/wp-
content/uploads/2020/11/The-Virtual-
Fundraising-Monitor-1.pdf
Budgeting:
Income & Expenditure
Maximise Gift Aid
Gifts of money from Individuals who are tax-payers:
✓ Auctions
✓Donated goods
✓Sponsored events
✓Collecting boxes
✓Volunteer expenses

• Gift Aid Small Donations Scheme

Information: www.gov.uk/claim-gift-aid
Gift Aid Emergency Relief Campaign:
#GiftAidRelief
Calls on the UK Government to increase Gift Aid from 20% to
25% for two years from the start of the 2020-21 tax year; further
calls on the UK Government to introduce changes to the Gift Aid
Small Donations Scheme to remove barriers for entry to ensure
wider access across the voluntary sector and increase the
amount that can be claimed from £8,000 to £10,000.

• Sign up to support the Gift Aid pledge:

https://service.charitiesaidfoundation.org.uk/acton/form/10250/0
0ca:d-0001/0/-/-/-/-/index.htm?sid=TV2:RC7yvOiiB
Largest Charitable Gifts 2020
The Sunday Times Giving List
2020 Pub: 17 May 2020
Ranked by size of Donation as % of total wealth
Name Donations total Causes

1. Lord David Sainsbury £120.8M Arts, Education, Humanitarian

Causes

2. Dame Janet de Botton £ 65.1M Arts, Heritage, Humanities,

Education
3. Sir Chris Hohn £348.6M Children’s Health, Climate Change

4. Jonathan Ruffer £ 38.8M Community, Arts, Social, Heritage

5. Sir Brian Souter & £129.6M Social, Religious, Humanitarian

Dame Anne Gloag

6. Sir Paul Marshall £106.8M Children, Education, Religious

Scotland’s Wealthiest 2020 Source; Sunday Times Rich List 2020
Pub. 17 May 2020

No Name Sector Wealth

1. Anders Povisen Fashion 4.73bn
2. Glenn Gordon & family Spirits 3.19bn
3. John Shaw & Kiran Pharmaceuticals 1.8bn
Mazumdar-Shaw
4. Sir Ian Wood & family Oil Services & Fishing 1.7bn
5. Mohamed Al Fayed family Retailing 1.68bn
6. Mahdi al-Tajir Metals, Oil & Highland Spring 1.67bn
7. The Thomson family Media 1.41bn
8. Trond Mohn and family Industry 1.32bn
9. Philip Day Fashion 1.14bn
10 Lady Philomena Clark Arnold Clark car dealerships 1.13bn
Scotland’s Most Generous 2019
Source; http://thirdforcenews.org.uk/lists Aug 2018

Name Donated Wealth

Marquess of Bute £9.1M £147M
J K Rowling £20.4M £700M
Sir Brian Souter and Dame Ann Gloag £19.5M £825M
Sir Ian Wood £29.1M £1.7bn
Sir Tom Hunter £7.2M £580M
Sir David Murray and Family £1.5M £126M
Alastair Salvesen £6M £520M
Sir Andy Murray £0.7M £83M
Colin and Chris Weir £0.5M £151M
The Thomson Family £3M £1.4bn
Legacies

The 4 main types of Legacy:

• Specific
• Pecuniary
• Reversionary/Contingent
• Residuary

Average Pecuniary legacy = £3,800

Average Residuary legacy = £52,500

Charitable legacies are free of Inheritance Tax

Legacy Foresight 2020 www.legacyforesight.co.uk

Timescale v Income Potential
NFP Synergy
nfpsynergy.net/gimme-
gimme-gimme-guide-
fundraising-small-
organisations#downloads
Gimme Gimme, Gimme
Risk v Return
NFP Synergy: Gimme
Gimme Gimme
https://nfpsynergy.net/gi
mme-gimme-gimme-
guide-fundraising-small-
organisations#downloa
ds
SWOT Analysis

SWOT Template and

Guidance:
www.businessballs.com/strate
gy-innovation/swot-analysis
Planning…
Planning Hierarchy

Strategic Operational Departmental Personal

plan plan plans action plans

Finance
Mission plan
Marketing Annual
vision strategy plan
values Fundraising
plan

HR plan
Strategic Monthly
KPIs
objectives action plan
Comms plan
Fundraising Plan structure
• Business Mission
• Organisational Objectives
• Fundraising Audit
Fundraising Management
• SWOT Analysis (CiF & DiF Textbook) by
• Objectives and Key Strategies Adrian Sargeant & Jen
Shang
• Tactical Plans
www.amazon.co.uk/Fundrai
• Responsibilities sing-Principles-Practice-
• Schedule Adrian-Sargeant

• Budget
• Monitoring and Control
• Contingencies
Section 5: The Fundraising Cycle
Monitor and Evaluate
Monitoring & Evaluation

• Measure what you Value – Value what you Measure!

More information:
https://evaluationsupportscotland.org.uk
Monitoring

• What will you monitor?

• When will you monitor it?
• How will you know what is
changing?
• How quickly will you know
if things are changing?
94

Evaluation
• Did we make a difference?
• What have we learned?
• Evaluation should be flexible, proportionate, appropriate….

Trustees, Donors, Supporters, Members, Volunteers, everyone

wants to know that the organisation’s work is making a lasting
difference!
Think – Sustainability

• Involvement
• Income Generation
• Improvement
• Innovation
• Impact Measurement

www.TheLastingDifference.com
Section 6: Your Next Steps…
Building your fundraising skills and
knowledge
Become a Member
• Become an Individual Member of the CIOF - you’ll be
joining a community of over 6,000 fundraisers and
benefit from a range of resources, networking
opportunities, services, support, guidance and advice.
Special rate available to Introduction to Fundraising
attendees.

• Log in to the CIOF website to view other training &

development opportunities including the Certificate and
Diploma in Fundraising qualifications.
Get Involved….
• Engage with your local CIOF National and Regional
Groups to attend local meetings, events, training..
• Join a Special Interest Group
• Details here: https://ciof.org.uk/about-us/groups

• Volunteer – Groups are always on the hunt for people

to help out at events, join committees or become a
volunteer at our annual Fundraising Conference
Save the Date!

21
28 and 29 September 2021
Doubletree by Hilton Hotel, Glasgow
Available to Small Organisations
• YouTube channel with a series of workshops such as
Essential Fundraising for Small Charities

• Coming Soon: Slide decks and resources to accompany the

series of workshops Chartered Institute of Fundraising - Small
charities (ciof.org.uk)

• Free Access to our Networking Events led by our FIVE

Special Interest Groups.

100
Useful Websites

• https://ciof.org.uk
• www.fundraisingregulator.org.uk
• www.fundraising.co.uk
• www.cafonline.org
• www.nfpsynergy.net
• www.civilsociety.co.uk
• www.sofii.org
Learning Outcomes
You should now be able to:
• Understand the wider non-profit environment and fundraising’s
important place in it
• Develop a compelling Case for Support
• Ensure that your fundraising is legal and ethical
• Understand the fundraising planning process and how to identify
income sources
• Value supporter communications, designed to develop good
relationships
• Know where to get more information, and your next fundraising
steps
Social Media

@cioftweets

/charteredinstituteoffundraising

/chartered-institute-of-fundraising
Please give us your feedback

The CIOF team will be in touch following today’s course with an

email containing a link to an anonymous online evaluation
questionnaire.

• The questionnaire takes approximately 3-5 minutes to complete

• Once your responses have been completed and submitted, you
will be prompted to download, complete and print/save your
Certificate of Attendance from the CIOF website
CONTACT US
Chartered Institute of Fundraising Scotland
John Player Building
Stirling Enterprise Park
Stirling
FK7 7RP

Email: Scotland@institute-of-fundraising.org.uk
Tel: +44 (0)7387 417581
https://ciof.org.uk
THANK YOU FOR
ATTENDING!
An evaluation to be sent to you by 5pm of the following working day. Help us to be the best
we can be by providing feedback

For information about the benefits of CIOF membership, please visit

https://ciof.org.uk/membership

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