Capital campaign -
Getting it right

Key ingredients for successful capital appeals

At any one time, around 10% of churches are thought to be considering or actually running a capital appeal, either to refurbish an existing building or to provide new facilities for church or community.

Large appeals, of course, can often appear daunting. "It sounds like a lot of money" people will say. However, provided the key ingredients are in place, a successful appeal can be a galvanising experience for a congregation, leaving it stronger and more committed than before.

So what are these key ingredients?

A clear vision of what is to be achieved.  

What are the needs to be addressed? How will they be met?

A strong vision for the project is the foundation of good fundraising. Get that right and you are half way there. Without it, you will struggle. A sense of "ownership" among the congregation and the feeling that God is behind it.

Does the congregation understand the need for the appeal?

Are they really behind it, or is it just one person's dream?
Is there a sense that the project is within the will of God or are there other motives at work?
It is crucial to gain a consensus before you launch your appeal, especially if large sums of money are to be raised.  

Strong leadership

Are there strong advocates for the project? Does the congregation respect them? Will
anyone follow them?
It is vital that your opinion leaders are backing the project, or at least not opposing it. Otherwise, you will be divided and will struggle to raise the funds you need. A compelling project with clear benefits.

Why is your project so important and why do it now?

It is vital to make a compelling case for funding, especially as funders can now choose between so many projects.

Why should anyone fund yours?

Try to list five reasons why your project must go ahead and use these in your appeal information.

People to do the work

Do you have the people who can help to conduct the appeal? Or is everyone too overloaded with other commitments?
Even with outside help, if you do not have a group of committed people, any appeal will
struggle. There are many jobs to do, such as donor research, drafting project information, making applications, running events and visiting people to talk about their support. A big appeal is a team effort.

Time

It takes time to raise funds, as many grant makers only have one annual distribution round. You should allow as long as possible to raise the money you need. Two years is a good time-scale. If it comes in early, no one will complain, but if it drags on, people lose motivation and the appeal can flag.

A budget

It costs money to raise money. Funding guides, appeal literature, consultancy - all cost money to start with. Of course, these costs can be recouped via the appeal, but some seed money will be needed. If it is not available, will anyone lend the money, to get the wheels moving?

Alongside these key elements is a range of other considerations.

Firstly...

will the project only benefit the church congregation, or will others in the community benefit (such as the elderly, youth, single parents, minorities or disability groups)? If the project will only benefit the congregation, few donors will see this as their concern. However, if the project will bring wider benefits, the funding task will be easier, as this opens up the possibility of approaching more donors. Not that this should be your motivation! You should, however, start by considering the needs of your community and assessing which ones the church could realistically address, alongside your own needs.

Secondly...

what financial contribution is the church itself making? Before approaching other funders, it is always good to demonstrate this by committing funds to the project, either from reserves (if you have any!), or by making an internal appeal to members. Anything, which the church can raise or pledge internally, can then be used to lever in external funds. In considering this, do not forget also to identify other contributions the church is making, such as the use of existing buildings or land, volunteer time or other gifts in kind. It is possible to put a monetary value on these things. The greater the contribution from the church, the more convincing your case for external support will be.

Thirdly...

have you explored what partnerships could be forged with other organisations locally? The chances are that someone else shares your concern about the issues your project will address. They might be found among statutory bodies, such as Social Services, the local authority or health provider, among voluntary groups, such as Mind or MENCAP, or among other Christian groups locally or nationally. So what is the value of partnerships? They bring a range of benefits, including credibility, additional funding, expertise, personal contacts and a sense of solidarity. Some churches fear a loss of control, but there can often be much to gain via a partnership, without compromising your values or losing control. Ultimately, partnerships can "add value" to your project, which will enhance its value in the eyes of funders.

Fourthly...

how do you know that your appeal has a good chance of success? Is the money really out there for your project? How do you know? Increasingly, those planning a major capital project are undertaking funding feasibility studies, to establish just how much money they are likely to raise and from which sources. A church member can either do this - providing they know what they are looking for - or by using outside help. Significantly, various funders, including the Church Urban Fund, will consider paying for such studies, in order to reduce the risk of project failure.

A fifth consideration...

is whether to call in outside help for the main appeal. There are a number of freelance consultants and some larger agencies, which specialise in helping voluntary groups, including churches, to develop and to fund their projects. Some will help you to plan your appeal. Others will also support you to run it yourselves. The decision whether or not to engage outside help depends on several factors.

For example,

have you got people with the right skills, time and experience to go it alone? Are you confident of reaching your target without external support? Are you trying to raise a very large sum of money, say half a million pounds? If so, you would be well advised to take professional advice. Do bear in mind too that consultancy fees, like those of an architect, can be incorporated into the overall project cost and thus recouped during an appeal.

A good place to start for advice is your local Diocesan Office, which can often advise on appeals. They may also be in touch with consultants who can help. Another place to start may be your local Council for Voluntary Services, who can offer funding advice, although they are unlikely to provide hands-on help.

Another useful tip is to talk to other churches, which have recently conducted an appeal. What did they learn? Can they offer advice? Remember though, that no two appeals are identical. Analysis of church appeals from recent years shows that funding came from a range of sources, including the congregation, reserves, charitable trusts, companies, the local population, loan facilities, local government, the lottery, EU funding and central government.

Timescales, like the projects to be funded, will also vary considerably, as will the availability of skills within the congregation. Ultimately, there is no single "right" way to conduct an appeal. However, if the principles outlined here are taken into account, there is every chance of success.

Simon George is a charity consultant, specialising in fundraising advice and support. To receive his free 20 point checklist for churches planning a capital appeal, please send an 19p SAE to

12 Silkmore Crescent
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Tel 01785 240071
E-mail:sgassocs@dircon.co.uk