5 Ways to Keep a Development Director for Your Nonprofit
By Laurie Minx
Director of Communications
The Moran Company “We Find Great Nonprofit Executives”
Many nonprofits experience a high level of instability in their Director of Development positions. They see a revolving door of fundraisers come and go. Often, fundraising staff move on to a new position within two years. Yet it takes stability to achieve success in fundraising, and longevity to grow deeper relationships with donors.
Building trust between donors and the nonprofit is a gradual process that takes time. Because of this, fundraising staff should stay in the position for at least 5 years in order to be truly effective. When they do not stay, either by choice or because of organizational challenges, many fundraising programs do not realize their full potential. Initiatives can lose momentum, and donors can lose confidence.
Executive Directors and Boards can become frustrated with the stunted results of their fundraising program during times of turnover. Meanwhile, they often struggle to hire the right Development Director. Expectations are high to find the best person who can help “turn the tide” and become a long-term fit for the organization.
Part of the hiring challenge is due to the limited talent pool that exists in the fundraising sector. There are many great fundraising staff who are skilled and committed. There are also a number of individuals who “talk a good game” but do not produce.
Still, it’s important to note that a number of other factors influence instability within the fundraising sector. To illustrate this, we often reference an article called, “UnderDeveloped: A National Study of Challenges Facing Nonprofit Fundraising.” This study used a wide cross-section of data including 2,700 survey results gathered from various sectors to examine why turnover is so high.
The article concludes that a vicious cycle of instability is created when a nonprofit lacks the organization-wide “culture of philanthropy” that is needed for long-term fundraising success. Good fundraisers stay if they are in an atmosphere that supports fundraising. If there are organizational obstacles present, they will likely leave for another nonprofit that will support effective fundraising.
If your nonprofit is committed to keeping its next Director of Development, here are some suggestions to ensure the best possible retention:
1. Have the Board and Executive Director commit to periodic fundraising training. This means fundraising presentations at board meetings with attendance by the Executive Director and Development Committee Chair. They need a good understanding of the fundraising process in order to demonstrate true fundraising leadership. This will result in realistic expectations of the fundraising staff and shared participation when it comes to reaching the organization’s fundraising goals.
2. Create and follow a strategic plan that incorporates philanthropy at all levels of the organization. Ensure the Development Director buys in to these goals. Encourage participation from all staff and communicate successes so everyone feels a shared responsibility for the good news.
3. Remember that fundraising cannot thrive in a bubble. The organization’s staff and supporters should actively participate in fundraising efforts. Specifically, this means:
- Board and staff should contribute financially to the nonprofit. It is difficult to ask someone else to do something you are not willing to do yourself. Financial involvement will lead to organization-wide “buy in” of the fundraising program. This will ensure that the nonprofit agrees with the reasons why fundraising is important. Set realistic goals and share accountability for these results.
- Board, staff and volunteers should commit to sharing the organization’s story in the community. This means going out and spreading the word about the nonprofit among their relationships. They should be willing to invite their network to agency events and make introductions for the Development Director.
- Board and staff should be actively on the lookout for possible benefactors. These are individuals who speak highly of the organization and appear to have financial resources. Prospects should be referred to the Development Director.
4. Pay fundraising staff a competitive salary to keep them there, and provide a clear career path to move up at your organization. It is hard to stay if another nonprofit offers $10,000 to $30,000 more to come work for them. If your pay is under market, do not expect longevity in the position. Invest in the position and the person, and make them feel valued. The Moran Company or another reputable executive search firm can help review local market salary studies to ensure your nonprofit’s pay is competitive.
5. Provide adequate resources for fundraising staff to do their jobs well. In addition to a competitive salary, be sure the development team has the right tools to complete tasks successfully and efficiently. This includes access to existing donor lists, marketing tools, and donor management software – just to name a few. These can be acquired with minimal cost if budget is a major consideration, but they are necessary for a fundraiser to do his or her job effectively.
At The Moran Company, we hear from countless nonprofits facing turnover in their top fundraising positions. They come to us for help in finding the right person for the role, and the good news is that they’ve come to the right place! But the reality is that hiring the right person is only part of the challenge. Making sure a new Director of Development will stay and be successful is equally important.
We’re ready to guide your search process from start to finish while providing value-added advice and resources to help you welcome a top fundraiser who will stay. Learn more about how The Moran Company can assist your nonprofit with an upcoming Development Director search. Simply contact us for a free 30-minute consultation for your organization.
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© 2018 The Moran Company, “We find great nonprofit executives.” We specialize in searches for nonprofit executive directors, directors of development/fundraising staff, and other top nonprofit leadership. www.morancompany.com
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