Perform Fund Development Audit
Establish Objectives and Scope:
Define the goals and objectives of the fund development audit, such as identifying strengths and weaknesses in fundraising strategies, assessing donor engagement, or improving fundraising ROI.
Determine the scope of the audit, including the time frame, fundraising channels, and programs to be evaluated.
Gather Relevant Data and Documentation:
Collect fundraising data and documentation from various sources, including financial reports, donor databases, grant records, fundraising materials, and strategic plans.
Compile information on fundraising revenue, donor demographics, giving trends, campaign performance, and fundraising expenses.
Review Fundraising Policies and Procedures:
Evaluate your organization's fundraising policies, procedures, and practices to ensure compliance with legal and ethical standards.
Review gift acceptance policies, donor stewardship practices, gift acknowledgment procedures, and data management protocols.
Assess Fundraising Infrastructure:
Evaluate the resources and infrastructure supporting your fundraising efforts, including staffing, technology systems, databases, and fundraising tools.
Identify any gaps or limitations in resources that may impact fundraising effectiveness.
Analyze Fundraising Performance:
Review fundraising performance metrics and benchmarks to assess the effectiveness of your fundraising efforts.
Analyze fundraising revenue by source, donor retention rates, donor acquisition costs, return on investment (ROI) for fundraising campaigns, and other key performance indicators.
Evaluate Donor Engagement and Relationships:
Assess donor engagement levels and relationships with your organization.
Analyze donor demographics, giving history, frequency of giving, and engagement with fundraising events and activities.
Identify opportunities to deepen relationships with existing donors and engage new donors.
Conduct Stakeholder Interviews:
Interview key stakeholders involved in fundraising efforts, including staff members, board members, donors, volunteers, and community partners.
Gather insights and perspectives on fundraising strengths, challenges, and opportunities for improvement.
SWOT Analysis:
Conduct a SWOT analysis (Strengths, Weaknesses, Opportunities, Threats) to identify internal and external factors influencing fundraising performance.
Identify strengths and weaknesses in your organization's fundraising strategies, opportunities for growth, and potential threats or challenges.
Develop Findings and Recommendations:
Summarize key findings from the fund development audit, highlighting strengths, weaknesses, opportunities, and threats.
Develop actionable recommendations to address identified challenges and capitalize on opportunities for improvement.
Prioritize recommendations based on their potential impact and feasibility for implementation.
Create an Action Plan:
Develop an action plan outlining specific steps, timelines, and responsible parties for implementing the recommendations.
Set measurable goals and objectives for improving fundraising performance and monitoring progress over time.
Establish accountability mechanisms to ensure follow-through on action plan items.
Communicate Findings and Recommendations:
Present the findings and recommendations from the fund development audit to key stakeholders, including board members, senior leadership, and staff.
Solicit feedback and input on the proposed action plan and strategies for improvement.
Create opportunities for dialogue and collaboration to garner support for implementing recommended changes.
