Next Steps for NextStop Theatre Company

As Covid-19 crashed into our area a year ago, the arts faced unique challenges as stages went dark and classes moved to virtual platforms. Professional theaters, such as the NextStop Theatre Company in Herndon, Va,, were thrust into unfamiliar, unprecedented circumstances. Not every arts organization survived, let alone thrived, but NextStop Theatre Company, working with Capacity Partners consultants Amy Selco and Stephanie Hanson, reached for … and attained … a new level of strength and stability over the past year. A capacity-building grant from ARTSFAIRFAX brought Capacity Partners and NextStop together.

When the pandemic rocked our economy to its very foundations, NextStop Theatre hesitated to fundraise because they believed their community’s need for food, shelter, and other basic necessities ought to be Northern Virginia’s top charitable priority. Evan Hoffmann, NextStop’s Producing Artistic Director, said, “Our roots grow deep in our community, so before we asked for funds – even though we believe the arts are essential for our souls -- we made sure that our neighbors were getting their basic sustenance needs met first.”

Capacity Partners Consultant Amy Selco adds, “In June, the board recommended the launch of the NextStop Now Fund with an audacious goal of raising $100,000 in just six months to ensure their theater and its invaluable programs would make it through to the other side of the pandemic.”

Working with Capacity Partners, NextStop didn’t simply raise funds; it changed its culture. “NextStop did the difficult work, especially since all the work happened in a virtual space, to move from a transactional fundraising culture to one that embraced philanthropy as a core value,” said Capacity Partners consultant Stephanie Hanson.

With the change of culture and the smart implementation of development strategy and tactics, NextStop Theatre has come within inches of making its long-shot goal of raising $100,000, added four new board members, and made fundraising an expectation of all board members.

“NextStop Theatre is a vital part of our community, and because of the generosity of our board members and hundreds of donors, we are here today and will be here tomorrow, producing theatrical performances and educational programs that are uniquely ambitious, intimate, and accessible both in and for the Northern Virginia community,” said Evan Hoffman with a determined smile. “The insight and wise advice from Capacity Partners, the fierce determination of our excellent board and staff, and the much-appreciated support from the community merged through our incredibly successful NextStop Now campaign to ensure the arts will continue to be a treasured pillar in Northern Virginia.”


How Coaching Can Make You a More Intuitive Leader and a More Creative Innovator

If someone offered you a magic elixir that would increase productivity, improve communications, deepen staff commitment, decrease stress, develop a culture of trust, prevent burnout, better manage risk, and leverage your personal power, wouldn’t you buy it?

Leadership coaching is that elixir, and contrary to what many may believe, it’s not only for those who aren’t performing as well as might be expected; it’s also for those who want to take their leadership from very good to extraordinary or for those who are experiencing significant challenges (like running a nonprofit during a pandemic and recession.)

A national nonprofit leader recently worked with one of Capacity Partners’ leadership coaches, Louise Stoner Crawford, and said, “I feel like a better person as a result of my coaching experience….the positive changes are showing up in all of my relationships in my life….work, family, and friends.  This speaks to the transformative power of coaching and the dramatic effect that this can have on individuals and our communities.”

Coaching can develop those leadership qualities that have been empirically proven to be associated with success. These include: cognitive capacity, social capacities, personality style, motivation, knowledge. Focused on the future, not the past, the right leadership coach can enhance performance, build confidence, and help tackle difficult problems.

One leader Jeanine Cogan worked with for years said, "Leadership coaching is a wonderful source of support for me - smart, wise, and compassionate. I had obstacles that were getting in the way of my success. Jeanine helped me identify, understand, and address those obstacles so I could get out of my own way."

Here’s what the experts who study leadership coaching say:

  • Coaching dramatically improves working relationships, resulting in a 5:1 return on investment.
  • Return on training that is paired with coaching can be productivity increases of up to 88% – four times the increase without coaching.
  • When a leader is unsuccessful and derails from their position, it typically costs an organization 150% of salary. This figure is in addition to productivity loss and team disruption.

How does leadership coaching work? Through one-to-one conversations – conversations that can happen remotely in this era of Covid – a leadership coach will help you or your key staff members move past an impasse, learn new skills, and work through communication challenges. Leadership coaches are not therapists; they are sounding boards, guides, and problem-solvers.

But leadership coaching isn’t for everyone. It works best when someone has a genuine desire to learn and grow. People who tend to blame others for their failures or act as victims rarely benefit from leadership coaching

 Of course, a good fit is essential; the ineffable chemistry between two people must be right to build the trust required for optimal results. You don’t want just any leadership coach – you want an experienced, savvy, personable coach whose only focus is meeting your goals.

Capacity Partners has two outstanding coaches – Louise Stoner Crawford and Jeanine Cogan – who are ready to help you, your key staff, and your board members meet the unique challenges of leading a nonprofit organization in 2020.  Want to learn more? Louise and Jeanine would be delighted to chat with you. Simply email them at louise@capacitypartners.com and jeanine@capacitypartners.com.

 


The future of fundraising

“Giving Plunges 6% in First Quarter” “Number of donors dropped by 5.3 percent”. “25 billion in lost revenue for nonprofits”

The headlines about the latest Giving USA study are scary, but do they portend an apocalyptic future?

Capacity Partners is encouraged that donations under $250 rose by six percent during the first quarter of 2020. We also know of some nonprofits that saw their coffers swell during the pandemic; organizations providing disaster relief and pandemic-related services have seen a surge in generosity. Organizations focused on racial equity are also seeing an upswing in contributions. Of course, other organizations are realizing mergers might be their only salvation as they watch income plummet.

Foundations are still making grants, but many are shifting funding to emergency relief for basic human needs, making it harder for arts groups to get funding.  Organizations who were hoping for a grant for projects such as strategic planning may also find it more difficult to get support.

So far, virtual events are more successful than anyone thought they would be.  Hopefully that stays true as virtual events remain the norm for the foreseeable future.  It is difficult to imagine any in-person events being held for the rest of 2020, and maybe even the first part of 2021.

Right now, the rising stock market should result in major donors feeling comfortable keeping their commitments, but as we know from past experience, the market is capricious and as the economic recovery chugs along with a high unemployment rate, that could change. As furloughs become layoffs and as special unemployment benefits run out, budgets could tighten with less money available for charitable giving.

Fortunately, local and federal government grants and loans have kept many nonprofits whole in FY21; the question is what happens in FY22 as disaster relief programs end and government budgets are slashed due to revenue shortfalls.

In general, most corporations will be decreasing contributions, either cutting out all or a portion of many of their sponsorships. Capacity Partners predicts the effect on revenue will likely be in the second half of the fiscal year.

So much about future fundraising is uncertain; actually, so much about the nation’s future is uncertain. Covid-19 will be forefront in everyone’s minds for many months. The economy will remain fragile until coronavirus is controlled. Politics and the November election will generate stress-inducing headlines. All this is true, but equally true is the remarkable power of resiliency, caring, and determination.

Our advice? Stay close to your best donors. Stewardship is more important than ever. Don’t forget to give some of your attention to new donors, too.

In 2019, even though it feels like a lifetime ago, charitable giving showed solid growth, climbing to $449.64 billion, making that year one of the highest for giving. Capacity Partners believes that in good times and in bad, people will donate to the causes they believe are critical. Mary Robinson, Founder and President of Capacity Partners says, “Yes, even in a pandemic and in a period where unpredictability is the only thing one can accurately predict, people will give to the causes they care about.”

In a couple of weeks, we will be conducting a survey of nonprofit leaders to enable us to do a deep dive into the current state of the nonprofit sector in the DC metro area. We hope you'll participate in this brief survey so we can better understand the current situation and make recommendations to nonprofits as they navigate these unprecedented times.


Fundraising in these unsettled times

The world feels unsettled as our news feeds and lives fill with protests against pervasive racial inequity, a powerful and capricious virus that affects nearly everything, and an economy officially in recession. As nonprofits know better than anyone, this is a situation ripe for an increased demand for services while boards of directors and development staff fret over fundraising. Here are some tips to help you and your nonprofit organization raise the money you need.

1) Tell your story well and tell it often. Your donors -- both individual and institutional -- need to hear how you are making a difference under these unique circumstances. Use a variety of methods -- emails, social media, videos, Zoom calls, phone calls, etc. While it's always important to be a good donor steward, it's especially critical in uncertain times like these.

2) A matching gift can boost fundraising efforts. Perhaps your board will chip in to create a matching gift fund. Perhaps a long-term contributor will agree to a matching fund. The prospect of doubling a donation may help motivate on-the-fence supporters.

3) Avoid emergency, desperate requests for funds. You may not be sleeping as you obsessively pore over spreadsheets, but this is not the moment to share your anxiety with an anguished plea for money. Convey realistic optimism rather than panic.

4) Don't pre-judge your supporters. Don't assume they no longer have funds to give or won't appreciate hearing from you. Give your contributors the chance to show you how much they treasure your organization's mission.

5) Focus your time and efforts on current or past donors.because some organizations, especially those not providing direct coronavirus or racial inequity services, may find it more difficult to attract new donors right now.

The last three months have shown how many organizations are continuing to raise money effectively. Some are even surpassing their goals ... and not just disaster relief organizations. Some of our clients' events are hitting record highs, and some are getting generous grants. Unfortunately, some nonprofits are still having a tough time. Recovery will be an ever-evolving process so stay nimble — and ask.


Things you’ll need to apply for a Paycheck Protection Loan

You'll need to gather the following documents before you apply for your coronavirus stimulus Paycheck Protection Loan which is an SBA loan that helps businesses and nonprofits keep their workforce employed during the Coronavirus (COVID-19) crisis.

  • Payroll reports from April '19 through March '20 – both the total payroll numbers for those months and each month separately, as you have to load them individually
  • A picture of the principle owner's government ID
  • Date organization founded
  • Proof of EIN
  • NAICS number
  • CEO’s date of birth, Social Security Number, home address, and cell phone number
  • Documentation of health insurance paid and life insurance policies paid into
  • The last 4 quarters of 941 tax documentation


Leading a Nonprofit in a Pandemic

March 16, 2020

When times are tough, leaders step up. And these are unprecedented times. We are each called to be a leader now, whether in our roles as nonprofit executive directors, fundraisers, business owners, parents of young children, or children of older parents.

The path forward is unclear but the one thing I do know with absolute certainty is that the unique strengths of nonprofits and your steadfast commitment to serving our community will enable us to weather this crisis. Our nonprofit organizations will serve as bastions of strength in a wobbly world, and Capacity Partners is prepared to help you in any way we can. Our job, quite simply, is to help you do yours in this extraordinary moment in history.

How do you maintain community while social distancing? What are the best practices for donor stewardship during a pandemic? Are there tips to help employees, who now have children home for weeks, do their work effectively? How do you turn a live event into a virtual one?  Because the situation is incredibly fluid, solutions devised on Monday may be outdated by Thursday.

Below are some thoughts and ideas from some of our team members that we hope will help you.  Please keep sending me your questions at mary@capacitypartners.com, and we will respond.

Additionally, to assist our nonprofit clients, Capacity Partners would like to offer a free hour of consulting with one of our team members during the coronavirus pandemic. If you’re interested, please send me an email at mary@capacitypartners.com.  

Mary RobinsonCapacity Partners Founder & President

Ideas and tips for managing a nonprofit during this pandemic

The Capacity Partners team put their heads together (virtually, of course) and developed these suggestions for development, donor stewardship, communication, and management.

Donor Stewardship and Communication

  • The one lesson of the Great Recession is the importance of staying in touch with your donors. Email them, or better yet, call. Ask how they are doing. What do they need? Can your organization support them? If so, how?
  • Be in direct personal contact with your most important donors with a brief overview of the basics, including if you are closed, how staff is working, if your service area is directly affected, how you are maintaining the highest level of service possible, etc. Remember it is fine to admit you don’t have a particular answer or that your organization is still working to solve a problem. Asking your donors for advice will also keep them engaged.
  • During this difficult time, start gathering and collecting the stories of how your constituents are making a difference in others’ lives. You’ll want to share these stories in any post-crisis reports and in your annual report. The crisis will pass, but these stories of help, determination, and endurance will live on.
  • Most people want access and information — and if your organization can manage to give your closest friends important information it can strengthen your connection to them.
  • Be prepared for the question “What can I do to help” with both a volunteer option and a financial support option.

Industry-Specific Advice

While each organization has its own unique mission, here are some industry-specific tips for keeping your donors and stakeholders informed and engaged.

  • Healthcare and human services organization – Tell your community how you are responding and supporting the community through the COVID-19 pandemic.  Ask your donors to help you continue to serve our community during this stressful time when your services are more important than ever.
  • Arts organization – Can you uplift your community through social media or sharing performance videos on your website? If you have had to cancel performances, ask your ticket buyers to support the arts by donating the cost of their ticket instead.
  • Education – Discuss how you are transitioning learning to online platforms and ask your community to support this complex endeavor.
  • Environment – Give actionable and timely advice and tips for how our community can save, conserve, and share resources even in an unknown and shifting world. Remind donors the importance of your mission in good times and in bad.
  • Association – Provide timely support, news, and helpful resources to your members during this time. If appropriate, ask for support, but if your members are also nonprofit organizations, think about how you can help them increase their fundraising.

Fundraising

  • Be transparent and ask for financial support for what you truly need at this time – keeping people employed, emergency needs, etc. We’ve seen that if the request is for immediate, essential expenditures, organizations have been successful.
  • People are looking for ways to help, and when they can donate online, it can give them the opportunity to do something positive and community-centered. Giving to a cause they care about can provide a feeling of control during a situation that seems quite out of control.
  • How do you raise money when people are nervous? Many of your donors are watching their stock portfolios rise and fall with each new day. At the first turn of national good news — when the media announces a reduction in cases, when people begin to recover and return to public life from social isolation — that’s the time to be ready with your message:  “We are encouraged … our organization is even more committed to … we hope you will join us in … thank you for your continued support … etc.” Sensitivity, empathy, and timing are critical to ensure you get your contributions back on track.

Management

  • Communicate schedules and availability ahead of time, and if possible, try to find times each day to connect virtually with staff. Don’t forget to include your board, too.
  • Be creative in working with other organizations. Now is not the time to compete; now is the time to collaborate.
  • Lean on your trusted advisors – ask questions, test ideas, think long-term, and listen to feedback.
  • R​ely on the passions and instincts that brought you to this work and has kept you in it.
  • Use the time to plan and get done all those tasks that never seem to make it to the top of your list.
    • Make phone calls you’ve been meaning to make—thank you to board members, to a community friend who offered ideas or resources for a recent project; check ins with community members who’ve reached out are just some examples.
    • Dust off that strategic plan to evaluate the progress you’ve made and identify next steps.
    • Revisit your governance structure and update those board policies, bylaws, and succession plans.
    • Book that introductory phone call with an executive coach.
    • Send a hand-written note to a thought leader you admire who might just find your organization the cause she’s been looking for to support.


Mary Robinson discusses corporate social responsibility on What's Working in Washington

Mary Robinson, President of Capacity Partners, and Shannon White, a partner with Guidehouse, discuss the ways corporations can be a net positive for communities and have a purpose beyond just making a profit on What's Working in Washington. 

Listen to this interesting and informative podcast here.