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Don't Just Give It Away: How to Make the Most of Your Charitable Giving

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Title: Don't Just Give It Away: How to Make the Most of Your Charitable Giving
by Renata J. Rafferty
ISBN: 1-886284-32-6
Publisher: Chandler House Press
Pub. Date: 01 April, 1999
Format: Paperback
Volumes: 1
List Price(USD): $17.95
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Average Customer Rating: 5 (2 reviews)

Customer Reviews

Rating: 5
Summary: CEOs and Board Members, This Book is For YOU!
Comment: CEOs and Board members, don't be fooled. This book is NOT just for donors - it's for YOU!

Here's the way I figure it: If a book advises donors on what to look for when "investing" in a NonProfit, doesn't it make sense that NonProfits use that same book to help make their organization worth investing in?

NonProfit leaders should think of this book as one of those magazine cover stories that says "What Men Should Look for in a Woman" (or vice versa!). As a woman, I'd sure want to know what men are being advised to look for! And as NonProfits seeking donors, we should all want to know what those donors are being advised to look for in a worthy NonProfit. That's why this book is such a valuable tool.

In my NonProfit consulting work, I've used the fundraising and marketing insights from Ms. Rafferty's chapters on donor motivation when creating marketing plans, because it forces a NonProfit to think like a donor. And the chapters on performing due diligence ("Ten Warning Signs: Where to Look for the Bodies") are a GREAT checklist for ensuring your organization's ducks are in a row.

Being a NonProfit author myself, my favorite compliment is when a reader says their copy of the book is all marked up - that the pages are dog-eared and the spine cracked from use. Well, my copy of Ms. Rafferty's book is not only yellow from highlighting, but the book automatically opens to the sections I love.

So do your NonProfit a favor - don't be fooled into thinking this book is only for donors. Buy it, incorporate its messages into your marketing and fund development efforts, and watch your organization flourish.

Rating: 5
Summary: Rafferty puts us firmly in control when making donations.
Comment: Most of us in this audience have spent years (and some, decades) on the inside of one nonprofit organization or another, wondering, "How can our organization attract more (or even more) charitable donations?"

We've established annual fund drives, grant-seeking programs, fielded special events, and maybe even launched planned giving programs. Some of us are in one stage or other of a capital campaign on the way toward meeting our six-, seven-, eight-, or even nine-figure goals.

Collectively, we've done a fantastic job. In 1997 alone, Americans gave us $143 billion, most of that in the form of direct gifts or bequests. We expend nearly $500 billion per year, control more than $800 billion in assets, employ nearly 11 percent of the American workforce, represent nearly eight percent of the American gross domestic product, and constitute 20 percent of the American service economy.

The money flows. Donors more or less leave us alone to spend it as we see fit and as long as we don't break some law or line our own pockets, things hum along nicely. As those of us who have been on the inside know, there is typically little or no investigation by most donors prior to the gift, much less once the gift has been made.

From our vantage point - on the inside looking out - all is well with the world. Few donors would think to ask hard questions before making a donation, much less to follow up on a donation to see that we've been wise stewards of it. That is why Renata J. Rafferty's new book, Don't Just Give It Away, How to Make the Most of Your Charitable Giving, is so startling. Written not by an outsider with an axe to grind, but by one of us, Rafferty turns things on their head by asking the public, "does it seem that $143 billion of 'social progress' was achieved through the activities of the charitable sector? How much of that $143 billion did you and your family contribute, and do you believe it was used as wisely as it could have been?"

Rafferty contends that while, in her more than 20 years in the charitable arena, she has "witnessed the integrity and industry of the men and women . . . who commit their lives - professionally and or as volunteers - to make this world a better place for all of us," she has also seen "waste and poor financial management that substantially eroded the value" of contributions. . . ."

"Like a leaking faucet that accumulates in wasted gallons," writes Rafferty, "minor misuses of each of our charitable investments add up. In fact, they amount to huge amounts of donated money annually that could have - and should have - been applied to programs and services for the community . . . but weren't. And that's why we don't see $143 billion worth of progress from our contributions."

Notice the shift by Rafferty from the industry insiders' perspective to that of the donors'? This is an insider breaking ranks, throwing open the door to the closet, and shining a bright light on, well, if not "skeletons," the family's closely-guarded secrets.

Every once in a while a book comes along which, though written with down-to-earth clarity and simplicity, carries within its covers a clarion call to reverse the flow of power and unsettle the status quo in an entire facet of society. This is that book.

Don't Just Give It Away teaches donors to conduct their giving "as thoughtfully and insightfully - and personally - as (they) approach . . . financial investing." She walks the reader through the process of defining philanthropic goals, finding a charity that fits those goals, performing due diligence on that charity, and tracking what the charity does with the gift after it's been given.

My favorite chapter - and one that poorly-run nonprofit organizations would do well to keep out of the hands of donors - is Chapter 9's "Ten Warning Signs: Where to Look for 'The Bodies.'" A sampling:

--You are discouraged or barred from a site visit or board meeting;

--Financial records are unavailable, unintelligible, or generally in disarray;

--There is no written strategic or business plan for the organization;

--Fewer than 70% of the board members have made a financial contribution to the organization within the last twelve months;

--And more.

It's occurred to me that one sign of a healthy organization is its enthusiasm in providing Rafferty's book to prospective and existing donors. An organization that is well managed and healthy will have nothing to fear, and perhaps much to gain, in educating its donors about such things. Indeed, arming donors with this kind of information - as simple as providing them a copy of this book - is one way to strengthen our nonprofit sector.

One thing the book is not is a "technique" book. Rafferty makes it clear she is not instructing donors on "how" to structure a gift - that's what attorneys and other advisors are for, she says - but on how to ensure that giving is done with maximum impact. I can imagine one pitfall is locating advisors who will understand, and add value to, the process described by Rafferty. The book is concise enough, though, that a donor might wish to provide a copy to any advisor assisting in the gift-making process.

Not surprisingly, Don't Just Give It Away has already attracted quite a few fans, including Paul Newman who, in the book's Foreword, writes: "I wish Don't Just Give It Away had been written years earlier - I could have used it. I'm delighted that it's here now and that I can share this book with friends, family, and colleagues who are searching for their own ways - more personal ways - to make this world a better place through wiser charitable giving." Newman should know. To date, his company, Newman's Own, has contributed over $100 million to charities worldwide from after-tax profits.

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