Connecting your value and values to those of your constituents can give youa leg up.

The nonprofit world is a crowded one, and it’s only becoming more so. According to the Independent Sector, there are more than 1.4 million 501c3 organizations operating in the United States, and from 1998 to 2008, the number of charitable organizations registered with the IRS grew by 73 percent.

As the number of nonprofit organizations increases, so does the difficulty of raising funds. And with costs rising and support from foundations and government agencies flat or declining, more and more organizations are seeking to diversify revenue streams. They are working to increase earned income by appealing to a wider set of constituencies through an ever-expanding array of communication modes—all while trying to bolster the flow of unearned dollars from foundations, corporations, government, and individual sources. Building and sustaining this income mix is a complicated job, and no component is more important to current success and long-term sustainability than realizing the potential of significant support from individual donors.

Of course, it seems every organization is trying to boost its individual donor efforts. Competition for major donors is fierce, the landscape is cluttered and increasingly noisy, and every dollar secured is hard fought.Success is about knowing who your friends are and, perhaps more importantly, who they could be. Raising money from people whose values and personal vision align with yours—people with whom you can have a dialogue—is a lot more fruitful than simply making “asks.” Before you can raise funds, you need to raise friends.

Continue reading at Sametz.com >>

[Originally posted at Dysonsound]

I’ve been MIA for a while. Getting a new EP recorded, CDs and vinyl pressed (one-sided white vinyl!), gigs and radio appearances booked, promo packages together– it’s a ton of work as you all know. But I think I’m coming out of the woods a bit and want to get some thoughts down on the exciting re-emergence of patronage via new, arts-focused, micro-funding platforms.

Perhaps best known as a driving force behind the European Renaissance, arts patronage has played a vital role in advancing culture for centuries. And beyond the visual arts, patronage has impacted the work of some of the greatest writers, scientists, and composers we’ve ever known. Nowadays, however, there’s a lot less in the way of direct-to-artist patronage. But since I’ve only taken one art history course, I’ll stop there and leave the history lesson to others.

That said, it’s important to recognize the critical role patronage can play in contemporary culture, and it’s great to see technology providing a means for connecting people and ideas to crowd source micro “gifts” that advance creative endeavors— particularly musical ones.

As a former grant writer (among other things) for a contemporary arts center with a storied live music program, I was routinely dismayed by the difficulty of fundraising for music projects. The simple, yet no less frustrating, rationale was always this: things you can see are more tangible, thus visual art forms are better positioned for fundraising. The ephemeral nature of music typically doesn’t appeal to patrons in the same way. One can’t quite feel ownership over a commissioned piece of music in the same way you can a commissioned painting, and one is easier to display in the foyer. That was the argument anyway.

So why the current momentum in micro-financing music? What’s happening now, I think, is that (a) people still value real, honest music and are becoming increasingly bored by mainstream pop; (b) it’s getting cheaper to produce quality music projects; (c) the 20th century music funding model (i.e. the recording industry) is becoming more irrelevant by the minute; and (d) we’re talking high-volume small gifts. You don’t necessarily need one major donor when a couple hundred small-scale donors will do just fine (and can actually be easier to secure).

Fundraisers will tell you there’s a significant difference in tactics required to secure 200 $25 gifts as opposed to 2 $2,500 gifts. The latter is about cultivating dialogue and stewarding potential (major) donors looking to advance a personal vision. The former is more “transactional,” requires little cultivation, and is more easily scaled. Sure, donors at both levels want a “return,” but the expectations of a transactional donor are much more manageable– making web-based, crowd-sourced, micro-funding a great fit for musicians looking to execute small- to medium-scale projects.

The well known success story of Jill Sobule illustrates this perfectly. Through a special website, Sobule offered “returns” to her patrons that –to varying degrees– allowed people “ways-in” to her project (in much the same way a museum membership program works). It wasn’t about “guilt” or “charity” (as some micro-funding critics have said). For higher-end patrons it was about realizing a dream (I got to sing on Jill’s album!!), while at the smaller gift level being part of something unique and special was enough.

So, my $.02 for musicians out there thinking of trying out a micro-funding platform? If you’re known like Jill Sobule and have a strong fan base (i.e., a strong brand), you can probably raise money for run-of-the-mill projects like CD/vinyl pressing by coming up with “returns” that make it exciting enough for patrons to step up. If you’re not well known, consider something new. What kind of project could you put together that people might find interesting who don’t even know your music? How might you build a compelling art project “around” your music? And how can you frame the project so that it provides ways in for friends and strangers alike?

Either way, let’s try and NOT use these new platforms for business as usual. The truly exciting opportunity they provide is the ability to garner support to try something new, as well as connecting with like-minded people who value the role of music in contemporary culture.

I have a Kickstarter invite burning a whole in my pocket, but I’m taking the time to try and plan a project that people can be a part of– something with different “ways in” for people of varying means. Who knows if it will be a success, but it’s great to have new avenues for pushing the envelope.

Some sites to check out:

http://www.kickstarter.com/
http://www.pledgemusic.com
http://www.sellaband.com/
http://www.thehectorfund.com/
http://www.society6.com/
http://microfundo.com/