Major Donor Fundraising in Switzerland – a guide for NPOs and cultural institutions

Major donor fundraising is one of the most effective strategies for NPOs seeking to increase their income in the long term. But what does 'major donor' actually mean, and at what point is a donor considered a major donor? There is no standard definition in Switzerland. Many organisations set the threshold at CHF 5,000, others at CHF 10,000 or higher, depending on the organisation's size and funding structure.

Major donors do not usually donate spontaneously; they donate on the basis of a relationship, a conviction and a trust that has been built up over time. Major donor fundraising is therefore not a sales process, but above all a strategic relationship-building process.

Major donors are key individual players in an NPO's fundraising mix, and the professional management of these relationships is a central task,

And this applies to both large and small NPOs. Unlike fundraising for charitable trusts, their decisions are based on personal conviction and relationships.

This guide provides an overview of the key steps and success factors in major donor fundraising – from preparing for and approaching donors to long-term relationship management.

Institutional Readiness Assessment

When launching a campaign, the fundraising team often asks itself the following question: 'What is our fundraising target, and by when do we want to achieve it?' However, there is an equally important question you should ask yourself even before that: 'Are we, as an organisation, ready for this?'

The first question defines the target; the second determines whether the necessary conditions are in place to achieve that target.

A lack of institutional readiness can lead to fundraising setbacks. It can also undermine your organisation's credibility, jeopardise donors' trust and result in additional work.

Before you expand your major donor fundraising or launch a major campaign, it may therefore be wise to assess your institutional readiness. 

Ask yourself the following questions, for example:

• Have we jointly and coherently defined the objectives of the major donor fundraising campaign (strategy)?
• Does our organisation have competent staff, particularly in the area of fundraising development, who have the necessary time and experience? *
• Does our organisation have competent leadership in the area of fundraising?
• etc.

The Institutional Readiness Assessment forms the basis for your NPO's fundraising strategy.

Would you like to receive the full checklist from Impact Partners? You can request it free of charge here.

*If this is not the case, there are other options, such as commissioning an external fundraising agency or hiring fundraising experts for the duration of the campaign.

Prospect Research

Prospect research is a key component of major donor fundraising. Contrary to popular belief, this does not necessarily begin with new names. NPOs and cultural institutions that already have donors should first analyse the potential of their existing contacts.

Only in a second step should the search for new prospects take place. The following criteria, amongst others, are relevant here: affinity, wealth, past philanthropic activities and relationship with the organisation (if any).

Where can you find new names? For example, in the business sections of newspapers, in wealth rankings such as the Bilanz 300, in directories such as Zefix or in existing major donor databases. Find out more about prospect research here.

Case for Support

The Case for Support is the flagship of your fundraising campaign – a brochure that you present to potential donors. It explains why your organisation needs support, what its objectives are and what impact a donation can make.

A Case for Support is more than just a brochure. It forms the substantive basis of your fundraising communications and can be used in various formats depending on the situation – for example, as a basis for discussion, a presentation, a brochure or a personalised appeal.

Facts and figures build credibility, but people remember stories. That is why your Case for Support should not only include figures, but also tell a story. Storytelling and emotion play a central role in major donor fundraising.

A good Case for Support therefore combines facts, vision and impact. It provides potential donors with a convincing answer to the key question: 'Why should I support this particular project?'

Board Engagement

The board can play a key role in major donor fundraising, particularly where it has personal networks, specialist expertise or a high level of credibility. With the board's help, you can identify new contacts, open doors and build or strengthen relationships.

However, it is crucial to recognise that engaging the board is not simply a matter of distributing a list of names and asking for contacts. Board members should understand why major donor fundraising is important, what role they can play, and what is specifically expected of them.

You should therefore prepare each member specifically and support them, for example, with background information, guidance on how to prepare for conversations, and clear next steps.

The Ask

For many fundraisers, the moment of asking for a donation – the 'ask' – is the most challenging part of major donor fundraising. Many people are reluctant to talk directly about money, which is why this key moment is often a source of nervousness.

But it doesn't have to be that way. With the right preparation, the 'ask' need not be an uncomfortable situation.

Good preparation includes, amongst other things, thorough research beforehand, building a relationship with the major donor, showing genuine interest in the other person, listening, having an (emotional) story ready, identifying shared interests, and role-playing within the team to practise the ask. We always practise the latter in our public workshops on the topic of 'Major Donor Dialogues'.

Timing is also crucial. On the one hand, it should not take place too soon; on the other hand, it should not be put off indefinitely. The ask is made once a relationship and trust have already been established and there is genuine interest.

Relationship Management

The relationship with a donor neither ends with the request for a donation nor does it begin with it. Anyone wishing to carry out successful major donor fundraising should place great emphasis on the relationship and on building that relationship with the major donor. The aim is to establish a long-term relationship based on trust and a shared conviction.

Two things are important here: maintaining the relationship on an equal footing and nurturing it continuously, for example through regular updates, invitations to relevant events or personal expressions of thanks.

Good relationship management leads to trust in your NPO and, in the best-case scenario, loyal, lifelong supporters.

If you bear these aspects in mind in your major donor fundraising, you will lay a very solid foundation for a successful fundraising campaign.

We will be delving deeper into the individual aspects of major donor fundraising in a series of regular posts. If you don't want to miss them, we recommend signing up for our newsletter.

Do you have any questions on this topic? Please post them in the comments section of this post or contact us directly.