USING TRANSPARENCY TO SPUR GROWTH
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1 USING TRANSPARENCY TO SPUR GROWTH 2017 Nonprofit Finance and Sustainability Conference April 13, 2017
2 Today s Agenda The Problem(s) What Donors Want to See If Not Overhead than What Transparency Tools Questions Profile Demo Questions
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7 If not overhead then what?
8 The Problem(s)
9 My Uncle John s Problem As a donor, it s hard to find the best use of your charitable contributions.
10
11 There is Plenty of Blame to go Around Nonprofit rating or information agencies Nonprofits themselves Donors (institutional and individual) Journalists Government entities
12 People got mad at us about this
13 Yep, this is an actual 990
14 We were one of the blue crayons
15 My Uncle John s Problem As a donor, it s hard to find the best use of your charitable contributions. The Nonprofit s Problem Fundraising is painful and inefficient. It takes away from nonprofits working toward their missions.
16 A Possible Solution Let s use proactive transparency, combined with a robust nonprofit data network, to get more and better information to donors.
17 What Donors Want to See
18 Money for Good CAMBER COLLECTIVE Write this down cambercollective.com/moneyforgood
19 Source: Money For Good 2015 by the Camber Collective
20 Source: Money For Good 2015 by the Camber Collective
21 Finances + effectiveness Source: Money For Good 2015 by the Camber Collective
22 Millennials like to go online. Who knew? The majority of millennials do research online and are twice as likely to switch who they give to Source: Money For Good 2015 by the Camber Collective
23 Donors o Lack trust in nonprofits o Feel ill-equipped to make good decisions Donors Want information on finances and effectiveness Want to know who benefits from their contributions Want information readily available online Need clarity in the info
24 If not overhead than what?
25 A Possible Solution Let s use proactive transparency, combined with a robust nonprofit data network, to get more and better information to donors.
26 Donors Need More and Better Information 1. Information that is multidimensional 2. Information that is familiar 3. Information that is efficiently distributed
27 M U LT I D I M E N S I O N A L
28 How to pick a restaurant User Reviews Ambiance Expert Reviews Nutritional Quality Sustainability Health Rating Cost of Food Friends Recommendation
29 How to pick a charity Stakeholder/User Reviews Experts surveys Standard sets of quality Wise Giving Alliance Deep analysis of performance Highly simplified star rating Compare Results Friends Recommendations
30 M U LT I D I M E N S I O N A L Let s focus on results & progress
31 FA M I L I A R CARMEL CORN NONPROFIT X General General Calories, Fat, etc. Financial Vitamins Mission Operational Ingredients Results and Progress
32 FA M I L I A R CARMEL CORN NONPROFIT X General Calories, Fat, etc. General Financial Don t take this too literally Vitamins Mission Operational Ingredients Results and Progress
33 E F F I C I E N T D I S T R I B U T I O N
34 E F F I C I E N T D I S T R I B U T I O N
35 Still an actual 990 More and Better Information 990*
36 Transparency Tools
37 Nonprofit Profiles GUIDESTAR The shameless plug guidestar.org/update
38 Why Update? Tool #1: GuideStar Nonprofit Profiles 1. Get better information out there 2. Proactive transparency 3. Increase reach (aka: more eyes on your org) 4. Time savings 5. $$ (avg. donation on GuideStar is $100)
39 A Possible Solution Let s use proactive transparency, combined with a robust nonprofit data network, to get more and better information to donors.
40 = 100,000 better informed donors, funders, nonprofits, researchers, & journalists
41 = 1,000,000 better informed donors, funders, nonprofits, researchers, & journalists
42 via guidestar.org
43 via guidestar.org via GuideStar data partners
44 via GuideStar data partners (suspected)
45 via guidestar.org Via GuideStar data partners = tens of millions of better informed donors, funders, nonprofits, researchers, & journalists
46 E F F I C I E N T D I S T R I B U T I O N
47 GuideStar s Data Partners
48 FACEBOOK FACEBOOK Your supporters raising money for you!
49 CAPITAL ONE GOOGLE ONE TODAY AMAZONSMILE CROWDRISE FIDELITY CHARITABLE
50 Tool #1: GuideStar Nonprofit Profiles
51 Financial Tool #1: GuideStar Nonprofit Profiles Red Cross (look at 2001 & 2006)
52 Tool #1: GuideStar Nonprofit Profiles Operational
53 Results & Progress Tool #1: GuideStar Nonprofit Profiles Five Questions 1. Goals 2. Strategies 3. Capabilities 4. Progress 5. Accomplishments
54 Tool #1: GuideStar Nonprofit Profiles Results & Progress
55 Tool #1: GuideStar Nonprofit Profiles Share your Story and your Data with the World Basic Information: So you can be found Financial Information: So you can build trust Program Information: So you can tell your story Results: So you can show the difference you make Copyright GuideStar, 2017 All Rights Reserved.
56 Tool #1: GuideStar Nonprofit Profiles PSST Coming Soon Enhancements for mobile giving (aka: easier giving) Enhancements for donation flow (aka: more giving) More about where and who (aka: fun with maps) Text fields go on a diet (aka: better giving)
57 Living Annual Reports TABLEAU tableau.com/solutions/gallery/tableau-foundation-living-annual-report
58 Tool #2: Living Annual Report
59 Impact Calls guidestar.org/impact
60 Tool #3: Impact Calls Number of unique and Registered users 1 3,000,000 1,958,605 1,847,554 1,839,591 1,958,475 2,022, ,607,430 1,821,714 2,000, ,269 67,597 What is an Impact Call? ,000,000 - Q Q Q Q Q Q Q Unique Users New Registered Users GuideStar Confidential. All rights reserved Live quarterly calls with your stakeholders to report on the results and progress you are having toward your mission Number of websites and organizations (outside # of foundations that have adopted of our organization) that share our resources and GuideStar for Grant Applications 3 information Based on for-profit quarterly earnings calls Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Provide near real-time results to constituents and begin a Total number of unique visitors to during the specified quarter. This does not include Hosted Solutions traffic systematic dialogue that encourages data-driven decision or HubSpot COS traffic. 2. This is GuideStar s Data Distribution Network, where GuideStar data appears on other websites and mobile accounts, mainly through real time APIs (application programming interface). Includes customers of the following products: DonorEdge, Hosted Solution, GPP, API customers, and recurring Data Sets. 3. Foundations that have adopted Guidestar Profiles for Grant Applications (G4G)
61 Tool #3: Impact Calls Timely Interactive Inclusive Comprehensive CHIP had their first Impact Call this year (with rave reviews!)
62 Grant ereporting* FOUNDATION CENTER For foundations only foundationcenter.org/gain-knowledge/foundationdata/electronic-reporting-program
63 Tool #4: ereporting
64 Tool #4: ereporting MINIMUM GRANT DETAILS REQUIRED: Transaction ID (if available) Recipient Name Recipient Location Description Amount Fiscal Year GRANT DETAILS THAT BRING YOUR MAP TO LIFE: Geographic Area Served Program Area Grant Subject Populations Served Support Strategy Grant Duration Grant Outcomes
65 Your Website <insert.org url here>
66 Tool #5: Your Website WHAT TO SHARE Results / #s (updated regularly) Anecdotal Progress 990s Annual reports Audited financials Theory of change Any research you have done Your GuideStar Seal of Transparency Other accreditations (BBB Wise Giving, Charity Navigator, etc.) No stories without numbers, no numbers without stories
67 Questions
68 Profile Demo
69 7 Secrets to Maximizing Your GuideStar Nonprofit Profile 1. Claim it 2. Borrow, don t invent 3. For text less is more 4. For data and pictures more is more 5. Link it 6. Go for Platinum! 7. Keep it fresh Unclaimed profiles are sad
70 Questions
71 Thanks! me if you have questions G A B E. C O H E G U I D E S TA R. O R G
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