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How to Calculate the Cost of Fundraising

There is an analysis I wish every nonprofit leader would do which could transform how the sector is financed. If more nonprofit leaders took a step back and calculated the cost of fundraising, in all the various ways that they raise money, they could focus their efforts on the most effective activities. And stop pursuing things that exhaust their board and staff.

If nonprofit leaders understood the net revenue and cost to raise a dollar of every fundraising activity they engage in they could answer questions like:

  • How much does that gala really get us?
  • How effective is our direct mail campaign?
  • How does it compare with our email campaign?
  • Would it make sense to cancel our annual event and hire a major donor fundraiser instead?
  • Should we keep writing that government grant?

The Social Velocity on demand webinar “Financing Not Fundraising: Calculating the Cost of Fundraising” will help you answer these (and more) questions.

I asked for audience participation prior to the webinars. When people registered for this webinar, I asked them to submit some numbers from one of their past fundraising activities (an event, a direct mail piece, a foundation grant) so that I could calculate the fundraising costs of a couple of participants during the webinar.

Financing Not Fundraising: Calculating the Cost of Fundraising Webinar
On Demand
Download Now

This webinar will help you:

  • Calculate the return on investment of all your revenue-generating activities
  • Give you the net revenue raised and cost to raise a dollar formulas you need
  • Analyze which are effective fundraising activities and which are not
  • Articulate to board and staff why this analysis is important
  • Provide case studies of other nonprofit ROI calculations
  • Give you a process for analyzing and making decisions about all of your fundraising activities
  • Help you deal with the politics of abandoning poor performing activities

All webinar registrants receive:

  • A link to a recording of the webinar, which you can watch as many times as you like
  • The PowerPoint slides from the webinar
  • The ability to ask additional follow-up questions after the webinar

Download Now

Photo Credit: loco’s photos

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