Center for Association Resources

The Center for Association Resources supports mission-oriented organizations, assisting them in increasing relevance and accomplishing goals.

Association Resources

Non Profit Fund raising through online Auctions

Another in a series of articles related to association management selected from our reading list by:
Robert O. Patterson, JD
CEO/ Principal
The Center for Association Resources, Inc.

For any non profit organization, the most important element that keeps the organization running is the fund required for providing the service. Providing service without expecting any monetary benefit is the main factor that separates a non profit organization from a commercial organization. In that way, the non profit organization should have a proven methodology to have sufficient funds for carrying out its activities. One of the most commonly used methods by the non profit organization for collecting funds is the fund raising method. Fund raising can be done in a number of ways. Some of the methodologies that have been commonly used include the fund raising music concerts given by popular musicians and performers, fund raising sports events between two popular teams, fund raising movie shows, fund raising by traditional auctions, among others. With the advent of the internet, more and more operations related to commercial business have now moved online.

Similarly, the fundraising also can make use of the reach of the internet and perform certain activities that will bring in the required funds. One fund raising on line activity that can be done by any non profit organization is the setting up on line auctions through an on line auction provider such as E-bay. For setting up an online auction, one needs to have an account with the on line provider and a product on which the auction will take place. Finding the right product to sell on auction is highly important to generate sufficient funds from the on line auctions. To get an idea about the type of items that have generated excellent responses from the bidders, these online auction providers have a list of items that had been very popular in the past with respect to generating money based on the bids placed. The non profit organization can have a look at this product listing. After arriving at the right product, the on line auction provider will provide the necessary process steps to complete the auction. Once the auction is complete, the non profit organization should send a mail to the bid winner providing details about the bid amount, the features of the product that was won, payment method and the shipping period. These types of interactions will help to maintain a relationship with the bidder.

Working with difficult people in non-profit associations

Another in a series of articles related to association management selected from our reading list by:
Robert O. Patterson, JD
CEO/ Principal
The Center for Association Resources, Inc.

Working with difficult people is more or less an unavoidable part of life in general. And this problem can present unique challenges in the business world. When it comes to the management of a business, there are bound to be difficult people at all steps during the process – Whether it is an angry, frustrated customer, or a ruthless, uncompromising board member. Difficult people are everywhere, and a successful leader should know how to work with them. The management of a nonprofit organization is certainly not exempt from the rule. Successfully running a nonprofit firm will include the unpleasant task of working with difficult people.

Perhaps you have a board member who makes a habit of being difficult. The first step to take in order to remedy the problem is to try to get to the source of the conflict. Why is the person being difficult; or, more accurately, why do you (and others) perceive them as being difficult? It is important as a manager or co-worker to put yourself in the person’s shoes. Are they being stubborn or strong-headed? Perhaps they simply feel that the job at hand is not being done properly, and are trying to get everyone else back on track. Are they being whiny or non-responsive? Perhaps they feel outnumbered, and are too reluctant to offer their own dissenting opinion when they feel that everyone else is against them. Understanding the difficult person’s viewpoint will help you to approach them without making them feel threatened or disliked.

If a difficult board member is posing too serious of a problem to the organization’s health, it may be time to develop a strategy to limit their impact or even remove them from the board. Check your firm’s bylaws for procedures regarding the removal of a board member; many bylaws will require a unanimous vote from the other board members. Whatever you do, do not violate your own organization’s bylaws, or you can be sure the offended person will pursue legal action. It is also an option to try to get the person to hand in their resignation.

Managers of nonprofit firms will likely not only have to work with difficult board members; they may also encounter difficult donors and volunteers. When dealing with a difficult donor, it is still important to try to approach the situation from their viewpoint, all while remembering your organization cannot function without the generosity of outside donors. The importance of trying not to trample on people’s egos should not be underestimated. Don’t be afraid to say “no” to certain aspects of a donor’s request for the use of the money if you feel they would compromise the vision of the organization. Try to make the difficult donor understand why you have a disagreement with them, while always remembering to speak in the positive. For instance: don’t negatively criticize the donor’s request, but instead talk positively about your organization’s goals, and explain why you think the donor’s goals might not be aligned properly with the organization’s.

Dealing with difficult volunteers is another problem that may arise. Again, it is always important to try to make sure the volunteer understands the company’s vision, and why their behavior may be compromising that vision. They would not be volunteering at your organization if they did not care about the work you do. If the situation cannot be resolved, it is always an option to politely tell the volunteer that they won’t be able to work with your organization in the future.

Fundraising ideas for non-profits

Another in a series of articles related to association management selected from our reading list by:
Robert O. Patterson, JD
CEO/ Principal
The Center for Association Resources, Inc.

Nonprofit organizations need funds to survive.  The fantastic news is that there is a vast array of ways to generate these much-needed funds.

One method of collecting funds for a nonprofit group is to create a well-designed website, with a “donate” section, for the organization.  This is a terrific way to receive donations as people can go to the website 24 hours a day, 7 days a week, And donations can be collected from people all over the world.  A shopping cart can be placed on the website; and products related to the organization’s cause can be sold on the website, as well.

Selling ad-space on the organization’s website is a fantastic idea that can bring in a lot of money.  Small businesses are always looking for places that are inexpensive to advertise their products or services.  Setting rates that small businesses can handle will attract many business owners, and add to the group’s bank account.

Another terrific idea is appealing for donations through social networks.  Sites such as Facebook, Twitter, MySpace and Linkedin are popular sites for generating donations and have been highly successful in creating funds for nonprofits.

Spare change can add up.  Placing a few collection jars in local grocery stores or other businesses can add up to a lot of money in a short time.  Giving their spare change away is easy for people. It can be surprising that giving just a little bit of change can add up to so much money.

Corporate sponsorship is another option.  This is when a large company gives money to a nonprofit cause.  They do this as a form of advertisement so that they will then be associated with the cause. The corporation benefits because they generate publicity for themselves, and the public sees them as generous.  They can also receive tax deductions for their donations.

Another source of support that nonprofit organizations can appeal to is grants.  Many public and private foundations offer grants to nonprofits to help with their causes. When applying for these grants, it is a smart idea to have an experienced grant writer write out the request and approach the foundation.

Fund raising events, such as walk-a-thons, car washes, bake sales, yard sales, craft sales, carnivals and auctions can be a fun way of making money for the group.  Another great way to earn money for your group is to sell products offered by companies specifically for fund raising.  These products include candy bars, candles, magazines, cookie dough, doughnuts, coupon books and popcorn.

When appealing for donations, one should keep in mind that donations of such things as equipment, office supplies and services can be just as valuable as money.  Often, a person may not have money to give, but they may be able to donate their time or services or a piece of furniture that the organization needs.

In conclusion, nonprofits need help to keep their organizations running.  There are many ways to obtain this help, and it is a win-win situation for all those involved.  Donors receive valuable tax deductions for their donations and the feeling of having given to their community, and the nonprofits can continue their work.

What is the Center for Association Resources?

Another in a series of articles related to association management selected from our reading list by:
Robert O. Patterson, JD
CEO/ Principal
The Center for Association Resources, Inc.

The Center is an Association Management firm in Schaumburg, Illinois, with Robert Patterson as the Chief Executive Officer. We provide management, consulting, and advisory services to primarily non-profit organizations and associations that need the expertise and management services we provide.

Our experience spans areas ranging from volunteer recruitment to assembling a productive and engaged board of directors, to developing association policies against substance abuse, drinking, and harassment. Your non-profit organization benefits from over 50 years of combined experience. We can provide numerous positive references and testimony from associations we presently benefit.

Use search engines to increase association recognition

Another in a series of articles related to association management selected from our reading list by:
Robert O. Patterson, JD
CEO/ Principal
The Center for Association Resources, Inc.

At The Center for Association Resources has published many articles about how to improve your association’s results using an effective online presence. These include
Non-profit organizations and associations benefit from community support, name recognition, and online presence. Search engines, such as Google and Yahoo, can provide traffic and accessibility to clients and those seeking to learn or donate to the association. Even a small center, organization, or association should have a website containing at least basic information about your services, and preferably a more interactive and engaging experience that raises interest and awareness of your association and its central objectives.

Providing useful content, in an accessible form, is critical to reaching the widest audience. Google is able to catalog text pages very well. Unfortunately, many sites have begun using Flash and other media to present information. This also makes life difficult for people with blindness or other disabilities that make using a graphical system difficult. If you’re going to have a  graphics version of your site, also make a text alternative available. This will increase your audience, and show that you care about those you serve and those who contribute to the success of your organization.

Being on guard for fraud in non-profits

Another in a series of articles related to association management selected from our reading list by:
Robert O. Patterson, JD
CEO/ Principal
The Center for Association Resources, Inc.

Non-profit organizations have a special need to prevent and detect fraud. While for profit organizations also must watch for fraud, the non-profit sector has some unique considerations.  To keep donations flowing, the need to maintain the public’s trust and protect the organization’s reputation is paramount.

Fraudulent acts which impact an organization can occur either outside or inside the organization. Some estimates put the total percentage of fraud for the non-profit sector as high as 13% of annual donations. While fraud is more often committed by lower level employees, the higher the employees’ position in the organization, the larger the total fraud losses tend to be.  CEOs commit the lowest percentage of fraudulent acts, but their fraud tends to involve larger monetary amounts.

Common types of internal fraud involve cash theft and erroneous expense reports. Physical assets can also be stolen from the organization. Frequent periodic audit of asset inventories can prevent and detect this type of fraud. Outright theft of cash donations needs to be prevented.  Controls such as having two people observe and count cash donations, segregation of duties for the receiving and accounting for donations and other routine cash controls can be beneficial in reducing the risk of cash theft.

Expense reports are also often a conduit for fraud. A system for verifying expense reports should be implemented and expense reports and receipts should be examined prior to payment. Externally, fraud by vendors, either with collusion from an employee, or committed totally by the vendor is also a concern. Some scenarios include a manager authorizing payment for goods never received or authorizing payment to a nonexistent company where the funds are ultimately received by the authorizing employee.  Segregation of duties for payment and purchasing, effective computerized payment system controls, and dual signature requirements for checks can reduce risk of this type of fraud. Periodic checks of vendor records to ensure that vendors actually exist are also a deterrent.

Top management at non-profits can set the tone for fraud prevention by establishing effective internal control policies. One of these controls that may seem surprising is mandating employees take vacation time accrued. Fraud is more difficult to cover up when the employee committing it is absent. The average amount of time a fraudulent activity occurs prior to catching it is 18 months. Occasionally these schemes have gone on for years without being identified. Sometimes fraud is identified by audits or internal controls. Sadly, fraud is often not caught until an organization fails due to the impact from fraud. Even if an organization is financially able to weather an episode of fraud, the loss of good reputation can often hamper the organization’s future fundraising efforts.

The potential negative effects of fraud on the non-profit organization compel everyone in a non-profit to be aware of the need for fraud prevention. The success and reputation of the organization depends on it.