What if Nonprofits Raised Money Like Politicians?

I heard an interesting piece by Peter Overby on NPR this week about how newcomers to Congress already have started raising money. The main idea Overby wanted his listeners to take away probably was that even the brand-spanking new—and therefore more likely to be idealistic—elected members have to peddle themselves to lobbyists and other purchasers of power and influence in order to make it in the political game.

What was interesting to me, however, was not the suggestion that they were selling out, or even that you have to begin raising money for the next campaign before the floors are swept from the last one. It was that they actually were raising money to pay for that last one. Think about it. They’re out asking for money to pay off previous debt.

Can you imagine nonprofits doing that, or at least considering it common practice to do that?

In politics, everyone understands what it takes to get elected. No one would want a promising candidate to hold back from running, or pushing to win, because of the debt implications. We pursue politics with a passion, and believe that getting elected is critical for affecting change. If necessary, we figure out the money afterwards.

Can you imagine, for example, what more the local churches and other nonprofits in the Gulf region—who found themselves forced into roles as first-responders, and offering extended services for which they did not have the funding or expertise—could have done if they knew they were operating in a funding environment that had the same mentality? “Go ahead and ‘win’ against this devastation now, because it’s important. If necessary, we’ll figure out the money afterwards.”

Clearly, I’m overstating. And clearly, those local organizations were better and more effective risk-takers than we had reason to expect them to be. (See Tony Pipa’s Weathering the Storm from the Aspen Institute for some great examples.) Imagine the power of what they could have done, though, if they were surrounded by more donors who understood that kind of risk-taking. Imagine what so many great service providers and advocacy groups could do to respond to immediate or unexpected problems. Maybe we should give them more room to affect change first, by reassuring them that we’ll figure out the money afterwards.



Tiziana Dearing

Posted at 9:30 AM, Jan 18, 2007 in Philanthropic Strategy | Permalink | Comment