Have you ever wondered where nonprofits get all their money from?
It doesn’t grow on trees and donors certainly don’t write checks unprompted. There’s a lot that goes on behind the scenes when it comes to nonprofit fundraising. And, more likely than not, the person pulling all the strings is the Director of Development.
A development director is the senior fundraising manager for a nonprofit organization. They work closely with the chief financial officer with forecasting the financial needs of an organization and creating a plan to bring in revenue from donors.
How much does a Director of Development make?
According to Indeed, in 2019 the median salary for a grant writer located in the United States is $82,326
While their work can closely overlap with the CFO and grant manager, ultimately the work is focused primarily on fundraising. Depending on the size of the nonprofit they work for a Director of Development can either work solo or manage a development team.
What does a Director of Development do?
There’s a lot that goes into fundraising beyond asking people for money. Before you can expect people to write thousand dollar checks, there’s a lot of work that goes into building trust. The Director of Development is in charge of managing every piece of the fundraising puzzle.
1. Financial forecasting
All of the fundraising work done for a nonprofit organization is built on the financial needs of the organization. Before a Development Director can decide how much money they need to raise in the fiscal year, they need to know what costs the nonprofit will have to cover. This is often done by creating a fiscal budget with the help of the Chief Financial Officer and then mapping how much money will need to come from grants, donors, and more.
2. Relationship building
Would you loan money to someone you didn’t know or trust? Probably not. That’s why building relationships with donors comes well before you start asking them to donate to your cause. A good Director of Development understands that people are careful with their money. It takes time to build strong relationships with new and existing donors. These soft skills can make all the difference when trying to hit fundraising goals.
3. Data analysis
Knowing who gives can help get you started, but knowing why they give and when they give is what will really kick your fundraising into high-gear. Tracking your year-over-year giving with the help of a fundraising software can help you and your team decide the best time to make a big ask, track which of your donors are engaged, and more. This is one of the more technical aspects of the job that pays off when done correctly.
Interested in learning more about fundraising software? Read real reviews from users like you. |
4. Donor communications
It’s not enough to attract donors, you need to know how to retain your donors. Donor communications covers all aspects of the donor relationship, from communicating about your financial needs to thanking them for their contribution. Keeping donors engaged and preventing donor burnout are all part of the bigger fundraising picture.
5. Grant management
Donors aren’t the only source of income for your nonprofit. Grants offer another option for your fundraising and can be a crucial source of income. Depending on the size of the nonprofit you work at, there may be a grant writing team or you may be in charge of applying for grants. Even if you’re not the person applying for grants it’s the job of the Development Director to manage how much of a nonprofit income is coming from grants.
What skills do you need to become a Director of Development?
Knowledge of both hard and soft skills are key to your success. The ability to strike a balance between people skills and financial knowledge is key. You’ll need an eye for detail and long-term planning while being able to build trust with your donors. Here’s a quick look at the tip six skills a Director of Development.
Do you need experience to become a Director of Development?
Unlike most nonprofit fields, experience doesn’t matter as much for fundraising positions. That’s because there aren’t enough Development Directors in the field. Fundraising is one of the most cited careers for nonprofit burnout.
That’s not to say that you can walk in off the street and become a Director of Development. You’ll likely need previous work experience to start. A background in nonprofits and previous experience with fundraising can also help. Here are a few other things you can do to increase your chances.
How to gain experience as a fundraising professional:
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Some larger nonprofit organizations have roles for development associates or fundraising assistants. If you’re hesitant to jump right into managing a full scale nonprofit budget, those are two entry-level career paths you can explore to gain experience.
Do you need a degree to become a Director of Development?
If you’re looking to get a head start through education, a Bachelor’s degree in business, nonprofit administration, or public administration are all good choices. If you already have a degree and you’re looking to gain more experience, the Certified Fundraising Executive (CFRE) International certification program is another popular choice.
Every nonprofit will have different criteria for what they want in a Director of Development. Keep an eye on the job postings you’re applying to and see if you notice a trend. The right combination of skills, experience, and enthusiasm can often be worth more than a specific degree, but in the end every nonprofit is different.
Next steps for becoming a Director of Development
Fundraising isn’t the easiest career. It requires a lot of patience, kindness, and enthusiasm for the cause. But if you’re the sort of person who loves to throw themselves headfirst into their work then becoming a Director of Development might be right for you.
Ready to start applying for Director of Development jobs? Learn how to write a resume that communicates your skills.