This toolkit has received financial support from the European Union Programme for Employment and Social Innovation "EaSI" (2014-2020). For further information please click here. Last updated: December 2016.

Fundraising Strategy

A good fundraising strategy is the backbone of successful fundraising. It gives an overview of the needs of your organisation, the sources from which you can seek funding and includes a strategic plan looking at the types of funding desired and how to access them.

Your fundraising strategy should include the following information:

• Description of your organisation
• Outline of your vision and mission
• Needs of your organisation
• Agreed principles (ethical policy)
• Your main selling points
• Available sources of income and methods used to access them
• Summary of your current financial situation
• SWOT analysis (strength, weaknesses, opportunities and threats)
• Goals and major projects
• Medium-term financial plan
• Challenges/barriers to fundraising your organisation could experience
• Snapshot of your fundraising environment

The fundraising strategy should help you to make decisions regarding your funding priorities, your available budget for fundraising activities and time limits. It is imperative to do enough research into each of the funding sources you identified before approaching them and to use a variety of sources to avoid putting a lot of work in a single source to finally receive a rejection.

Read more:

For more detailed information, see the Manual on Fundraising and Accessing EU Funds, published by TACSO - Technical Assistance for Civil Society Organisations on page 102.

Skills of a Fundraiser

Fundraising does not only require conducting thorough research, but also the ability to communicate the right message to the right people. Therefore, a number of people skills and organisational skills are needed to build lasting relationships with donor organisations and individuals. The graphic below shows some of the characteristics a good fundraiser should have:

Sources of Funding

Sources of funding diaconal organisations can tap, range from individual options to corporate funding, foundations and public funding.

Here you can see a list of sources and ways to approach them that could be relevant to your organisation:

In this toolkit we are particularly looking at EU funding instruments and foundations.

Examples from members:

In the framework of a research project looking at how Eurodiaconia members finance their services, we have conducted case studies to explore some of the financing methods used by our members in more detail.

City Mission Oslo have used public funding to implement an innovative day-care scheme for older people with dementia, which offers them the chance to work on a farm for three days a week. For more details, read the case study here.

Kofoeds Skole have financed activation, rehabilitation and training for the long-term unemployed through public contracts. For more details, read the case study here.

Gothenburg City Mission are working against social exclusion with private donations. For more details, read the case study here.

Diakonie Austria are providing people with disabilities access to assistive technologies in a corporate partnership. For more details, read the case study here.

The German umbrella ‘Protestant Agency for Diakonieand Development’ (EWDE, Evangelisches Werk für Diakonie und Entwicklung) sell and distribute branded products. 20-25% of the products are distributed against a cost. Therefore, this case study serves more as an example for marketing and branding. For more details, read the case study here.

Read more:

The Fundraising Handbook published by Habitat for Humanity includes information on how to write a letter for appeal, online giving, individual donors, events, merchandise and other creative ideas to raise funds.

A briefing by Social Services Europe on the EU Public Procurement Directive can be accessed here.

Information collected at a Eurodiaconia member training seminar in 2012 on non-statutory sources of financing include individual and major donors as well as working with cooperations and can be accessed here.

Background information on EU Funding

Step-by-step guide to developing a project proposal for EU funding

Overview Foundations

Foundations can be defined as asset-based and purpose driven. They have no members or shareholders and are separately constituted non-profit bodies who focus on a variety of issues, such as social services, research or culture. They have an established and reliable income source, which allows them to plan and carry out work over a longer period of time than many other institutions.

There are several reasons why foundations are being set up. These can be of philanthropic nature, relate to corporate social responsibility or be legal or tax related. The different types of foundations are^[1]:

• Foundations with an institutional set up with a number of trustees tend to make grants according to detailed procedures, have established criteria and guidelines on which to base their decision-making and employ professional staff.
• Foundations can be set up privately by a single individual who takes most of the grant-making decisions alone or after discussion with a spouse.
• Family foundations are often set up by one individual, often in memory of an earlier family members, with trustees who are related or at least closely connected to each other. Decisions tend to be taken collectively but informally.
• Corporate foundations have an income that depends upon the profit of a company or a group of companies. Decisions tend to be made by committees and ratified by directors of the company.
• Community foundation are charitable trusts that support local community causes.

Research is key when approaching foundations. Before you start building a relationship with a foundation it is important to know what their aims and topics of interest are and what other organisations have been funded by that particular foundation in the past. While you can directly contact the foundation with your request for funding we suggest that you invest into building a relationship first. This can be done by:

• Inviting representatives of the foundations to events or conferences you organise that could be interesting for them
• Networking
• Sharing practical examples with them
• Send information about your organisation and projects

Whether answering to a call for proposals or applying directly for financial support for one of your projects, make sure that your project proposal fits the focus, interest and priority of the foundation. When answering to a call it is imperative to read the guidelines thoroughly. Application forms should be completed as fully as possible.

There are a few tips to consider when applying for foundation funds:

• Double check whether you meet the funder’s eligibility criteria
• If the funder offers help or advice before an application, take that opportunity!
• When sending in a project proposal where no application form is used – include your latest annual report and accounts
• Application letters shouldn’t be longer than four sides of A4
• Use straightforward language and concepts – avoid jargon!
• Be realistic when calculating your budget and make sure it reflects the planned activities
• Make sure your project matches the core values of the foundation you are targeting
• Make sure your project is sustainable and show your plan for the future

Foundations of potential relevance for diaconal organisations

These are just a few examples of foundations that could be relevant for members. When considering foundations as a source of funding the most important factor to consider is that the aim of the project matches the aim of the foundation.

Example

Our member Hungarian Interchurch Aid (HIA) received funding in the past from the Velux Foundation and shared their experience with Eurodiaconia members at a seminar on fundraising.

The Velux Foundation approached Hungarian NGOs in 2005. Their main focus was on good practises, dissemination of information and advocacy towards decision makers in the area of disadvantaged youth and children in Central/Eastern Europe. As part of networks such as Eurodiaconia and Aprodev, HIA was known for being experienced and providing quality services.

During the project implementation HIA perceived the Velux Foundation to be a flexible donor. While there was a focus on setting up proper project management and administration systems before the implementation, there was a focus on providing quality services during the implementation phase.

1. The Andersen Job Training Programme (600,000 EUR)

Thanks to the grant provided by the Velux Foundation, HIA was able to provide job training and tailor-made employment assistance for 450 persons in three years. 22 companies and public employers were involved and 70% of vulnerable young people receiving the training were able to find employment afterwards.

2. You are not alone Programme (750,000 EUR)

This project was focussing on reintegration of vulnerable families into the society. 4,873 individuals were involved in program services, 711 persons were provided with temporary accommodation, 1,482 individuals received material assistance and 80% of the problems of individuals involved in crisis intervention have been settled successfully.

3. TANDEM Programme (ongoing)

This programme aims at the social integration of marginalized and vulnerable children and their families as well as strengthening local actors engaged in social work for vulnerable children and their families. It is also aiming at improving the institutional sustainability of HIA.

As a result of the cooperation with the Velux Foundation, HIA introduced new methods for measuring social work and benefitted from ongoing capacity building for the organisation’s staff. HIA was also able to implement more complex programmes covering more sectors of social work, instead of focussing only on one or two area.

HIA felt that the grant from Velux Foundation involved less bureaucracy than EU grants and there was much more flexibility. The challenge HIA faced was that there were no regular calls for proposals and the requirements were changing constantly. Therefore, it was difficult to follow and be up-to-date. Also, the monitoring requirements were quite high, which was helpful though for building the capacity of the implementing staff.

In the framework of a research project looking at how Eurodiaconia members finance their services, we have conducted a case study on how Hungarian Interchurch Aid have accessed funding from the Velux foundation. The case study looks at the example above in more detail and can be accessed here.

How can Eurodiaconia help?

Eurodiaconia can offer different options to support its members in applying for EU-calls or different funding sources. Most recent examples of how Eurodiaconia did intervene to help members and how it can potentially help in the future are listed below.

• Facilitate partnerships for transnational project calls.

  Eurodiaconia as a network of social and health care providers from all over Europe can help members to find suitable partners for transnational project calls. Especially for EU-funded projects, partners from different countries are often a requirement or an added value in the eyes of the evaluators. In order to get an overview of Eurodiaconia members, please consult our webpage here. In case you want to get in contact with a specific member, you can use the contact information provided on the website or contact Eurodiaconia’s Policy, Projects and Research Officer Florian Tuder.

• Act as a project partner for the dissemination of project results.

  When trying to receive funds for a project, donors often want to know how project results are disseminated and how widely they can be spread. Eurodiaconia with its vast network of local, national and European contacts has a great potential in disseminating project results and communicating them to not only its members, but also to stakeholders and decision-makers working on the European level, such as the European Parliament and European network organisations working on social policy. Eurodiaconia can, depending on availability, act as a project partner to strengthen the dissemination of project results beyond the local and national level.

• Provide information on new proposals on the calls for project proposals website section.

  Eurodiaconia has a specific part on its website dedicated to informing members of relevant calls for project proposals from the European institutions and others, focusing on calls related to priority areas of Eurodiaconia members such as social inclusion, Roma integration, migrant and refugee projects as well as unemployment support. A short description of the call is provided together with a link to the website of the original call with more information on how and by when to apply. The resource can be accessed here.

• Provide general information on funding matters in the funding newsletter.

  Eurodiaconia recently introduced a funding newsletter which is circulated among interested persons on a monthly basis. The newsletter presents information on different matters related to funding. It presents successful projects funded under EU-programs of Eurodiaconia members, summarizes feedback on the use of funds and provides links to the most recent calls for project proposals. In order to subscribe for the funding newsletter, please sign up here.

• Organise funding workshops for members.

  Eurodiaconia is an organisation which is funded under EU- and other national programs and has considerable experience in applying and partnering for project calls. The knowledge of how an application process takes place and what needs to be taken care of can be valuable information for organisations who do not have extensive experience in applying for EU funding. In order to share this knowledge, Eurodiaconia can organize funding workshops for members. One has already taken place for Eurodiaconia members in Austria at the beginning of the year and was met with positive resonance. If you are interested in receiving information through a workshop or webinar organized by Eurodiaconia, get in touch with Florian Tuder.

• Establish links to responsible EU-contacts working on funding.

  Eurodiaconia as a Brussels-based organisation which regularly works with stakeholders from the European institutions has the possibility to find and establish links to relevant EU-contacts for its members. Usually through study visits to Brussels which take place around two or three times a year for organisations from a specific organisation or country, members eventually get the chance to meet and speak to EU stakeholders working on funding by themselves, depending on availability of the contact persons.

• Present EU-funded projects and feedback on application and implementation processes from Eurodiaconia member organisations to European stakeholders.

  Eurodiaconia regularly collects good practice examples and feedback on the implementation of different EU-funds, such as the European Social Fund (ESF) and the Fund for European Aid to the most Deprived (FEAD) from members. The results are presented in the e-news and in reports, and the feedback on the implementation processes are channeled to the responsible EU institutions, among others through participation in EU-led networks and through targeted advocacy. In 2015/2016, Eurodiaconia wrote two reports on the use of the ESF (see here) and the use of the FEAD (see here). These reports are forwarded to contacts within the European Commission and can therefore also be seen as a good opportunity to share feedback wit decision-makers and promote change on the setup of those funds.

In case you have questions about any of the possibilities, feel free to contact Florian Tuder.

Tips and tricks for writing funding applications

Applying for funding, especially for funding of major donors such as the European Union, often requires special knowledge and skills on how to properly fill in the application and the required legal documents. Eurodiaconia and several of its members have considerable experience in applying for funds from different sources and have shared their experience and tips in order to successfully fill in and implement different calls for proposals. Below, you will find detailed tips and tricks for writing funding applications for different programs.

Tips and tricks

Applying for funding is a lengthy and complicated process which requires specific skills and experience in order to be successful. These tips and tricks can help organisations to get started with writing funding proposals.

1. Start with applying for funding with an easy programme and a manageable project.

   Funding programs allow for projects of different size and complexity, and have themselves easier application procedures for certain programs and projects with lesser budget. For the first funding application, it is thus favourable to start with a small project and a less complex program, such as Erasmus+.

2. Do not be discouraged by the first funding application.

   The first funding proposal to write is the most complicated as you cannot build on any pre-knowledge and experience. So if it fails, do not be discouraged as a failed funding proposal usually receives feedback which can be used to improve the application for the next attempt.

3. Plan ahead, especially in projects including partners.

   Writing project proposals and collecting all necessary documents is a lengthy process. Especially when the project involves partner organisations, the work load needs to be planned carefully as the applicant organisation has to anticipate delays in receiving the necessary information and documents. Partner organisations might have troubles adhering to short deadlines as all official documents have to be signed by the legal representative of the organisation and not the project manager. Furthermore, when having partners from different countries, the post way of the originally signed documents have to be planned into the time table.

4. Ask the responsible Commission or national agency for advice.

   European Union programs are either coordinated by the responsible European Commission agencies or by national agencies on Member State level, or by a combination of both. When it is a nationally coordinated project, the national agencies responsible for handling the funding applications can be asked for advice. They usually have consultants who are available for meeting with civil society organisations and the time to answer questions and assess the potential of the funding proposal. For an EU-coordinated project, the contact details of the responsible funding managers should be available on the websites of the European Commission agencies. They can be addressed via mail to ask for help with urgent questions.

5. Prepare documents.

   Most documents have templates available which require the applicant to fill in information about the project and organisation. As the templates are often lengthy and require a number of empty spots to be filled in throughout the document, it is good to highlight the respective spots so that the legal representative or partner organisation who has to sign the information off easily sees where what kind of information are required.

6. Let an experienced person proofread the text of the proposal.

   Once a draft version of the funding proposal is ready it is often very helpful to let someone with experience and knowledge of project management to read through the entire text and give feedback on its coherence and persuasiveness. External observers usually spot inconsistencies and misunderstandings more easily than the authors of the text.

Navigation

• Introduction

• How to use the Eurodiaconia Toolkit on Funding for Members

• Basics of Fundraising

  • Fundraising Strategy
  • Skills of a Fundraiser
  • Sources of Funding

• EU Funding

  • Background information on EU Funding
  • Developing a funding proposal
  • Overview on EU funding instruments
    • Intra-Community programs
      • Europe for Citizens Program
      • Erasmus+
      • EaSi
      • Horizon 2020
      • Asylum, Migration and Integration Fund
      • Rights, Equality and Citizenship Program
    • External cooperation programs
      • European Neighborhood Instrument
      • Instrument for Pre-Accession Assistance (IPAII)
    • Structural and Investment Funds
      • European Social Fund
      • European Regional Development Fund
      • Fund for European Aid to the most Deprived
      • EFSI

• Foundations

  • Overview Foundations
  • Foundations of potential relevance
  • Examples using Foundation Funding

How to use the Eurodiaconia Toolkit on Funding for members:

The Eurodiaconia Toolkit on Funding is an interactive instrument for members to easily access the funding information they are looking for. The toolkit is focused on European funding instruments and foundations, but also includes more general information on funding.

On the home page you can find three petals which represent the three main categories of the toolkit. These categories have each three sub-categories that give users a quick overview of what information will await them after clicking on them.

The category BASICS OF FUNDRAISING looks at developing a fundraising strategy, the skills a fundraiser needs in order to be successful and what sources of funding are available to organisations.

The category EU FUNDING has a subcategory that gives an overview of EU funding and the technical terminology useful to know before looking into applying under a specific funding instrument. The overview on EU funding instruments summarises for you each funding programme relevant to members with most important information on the programme, the objectives, the eligibility criteria and how to apply for funds. Most programmes include an example of how one of our members has used the fund in the past. Finally, a step – to – step guide supports you in your project development process by summarising the most important steps to take.

The category FOUNDATIONS gives an introduction to how to approach foundations when seeking funding and gives an example of how one of our members has used foundation funding in the past. A list of relevant foundations includes a short summary of their priorities and a contact link.

Introduction

Eurodiaconia has developed an interactive funding toolkit for members to support them in:

1. developing a fundraising strategy
2. learning about relevant EU funds and identifying the most suitable programmes
3. accessing funding from foundations
4. writing project proposals

As you navigate through the petals you will easily find the funding information that you are looking for.

You can also download the Funding Toolkit as a PDF.

In case of any questions, comments or suggestions, please contact Florian.