Razin Murat The National Autism Society of Malaysia (NASOM)
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1 Razin Murat The National Autism Society of Malaysia (NASOM)
2 1. What & why fundraising 2. NGO/NPO/CSO & fundraising 3. Sustainable development 4. Fundraising how-to s 5. NASOM examples 6. Questions & answers
3 A necessary work for any NGO/non-profit organisation (NPO) to support a cause Part of core activity of any NGO/NPO Vital for financial sustainability of NGO/NPO Ongoing activity, not just one-off Major responsibility of all board members Own initiative/effort vs grant & unsolicited donations
4 Malaysian public appeals for donation a norm 7th most generous countries in World Giving Index 2014 survey by Charities Aid Foundation 71st in 2013, 76th in 2012 Singapore residents donate around S$1b annually (based on tax claim figures) Malaysia zakat collection around RM2b annually Many non-reported donation data Growing corporate CSR activities & funds
5 Why should the rest give money to NGOs vs doing it themselves? And there are over 60,000 NGOs in Malaysia competing for the same pie Relevant Ministries & Agencies Religious Institutions Corporates, Trusts & Foundations Beneficiary Community Local Community & Volunteers Philanthropists & Public Other Sources NGO/ NPO
6 Advocacy e.g. flood relief campaigns e.g. flood relief delivery operations Operational/ Service Delivery Participatory/ Capacity Building e.g. rebuilding flood hit areas together with beneficiaries Intermediary e.g. data, information, working with various authorities, agencies, donors, media
7 Advocate/champion for poor, disadvantaged, underprivileged, human rights & social justice Scalable community/citizen/local-based development & capacity building Closer to & better understand community & environmental issues on the ground Social innovation & more agile than govt. Capacity for primary research, social change, programme/project management
8 Capital Market Equity Corporate bonds Govt. securities Loans Social Capital Market Fundraising Corporate donation/csr Public donation Govt. grants Investment bankers Investment managers Financial advisors Participants & Intermediaries Charities NGOs NPOs Dividends Capital gains Interests People Social impact Well-being
9 Donor/Funder Donor/Funder Donor/Funder Donor/Funder Gives Money/cash In-kind Volunteers Support Mandates Endorsements NGO/NPO Gives in Return CSR-cause alignment Donation proposal Assurance/trust/credibility Deliver social impact Caring corporate image Tax deduction Information/reporting NGO/ NPO Beneficiary Community
10 Lifeblood of any NGO/non-profit is its ability to raise funds to avoid over dependency on uncertain free-income More NGOs/NPOs are growing trading income to reduce/avoid dependency on free-income & fundraising and to upscale
11 A B C D E F Own effort % Free income % A. Pure charity/ welfare relying fully on free income C. NGO/NPO with less organised fundraising/trading E. NGO/NPO/ social enterprise with highly organised fundraising/ trading B. Charity/welfare/ NGO with unorganised fundraising/trading D. Member-based NGO/NPO with fairly organised fundraising F. NPO/ social enterprise with highly organised trading & related activities
12 Example NGO XYZ serves a community of 20 poor & handicapped In Year 1, awarded RM80k govt. agency grant & receives RM40k public donation Spends RM100k to care for beneficiaries & help them produce some craft items for sale Managed to sell RM10k worth of crafts items produced by the community
13 150, ,000 50,000 Possible? Sustainable? - T1 T2 T3 T4 T5 T6 (50,000) (100,000) (150,000) Outgo Income Net Operating T1 T2 T3 T4 T5 T6 Outgo 100, , , , , ,000 Income 10,000 15,000 20,000 20,000 20,000 15,000 Net Operating (90,000) (105,000) (110,000) (110,000) (110,000) (110,000)
14 100,000 50,000 - T1 T2 T3 T4 T5 T6 (50,000) (100,000) (150,000) Grant (Govt) Donation (Public) Fundraising (Own) Surplus/(Deficit) Net Operating T1 T2 T3 T4 T5 T6 Grant (Govt) 80,000 80,000 70,000 60,000 45,000 35,000 Donation (Public) 40,000 40,000 30,000 25,000 20,000 15,000 Fundraising (Own) - 5,000 10,000 10,000 10,000 10,000 Surplus/(Deficit) 30,000 20,000 - (15,000) (35,000) (50,000) Net Operating (90,000) (105,000) (110,000) (110,000) (110,000) (110,000)
15 1. Know beneficiaries & local community 2. Understand own financial needs 3. Know the source of money 4. Understand requirements of funders/donors 5. Write a plan & build a compelling story 6. Organising for fundraising (& events) 7. Funder/donor relations/retention
16 Government ministries & agencies Religious/faith-based institutions Charity fundraising clubs/networks Corporates/businesses/foundations Wealthy individuals/philanthropists Local community/general public Members, family members, friends Customers - sales, services (social enterprise)
17 Purpose/objective, outcome, plan, target Strategy, research, enabling network Governance/stewardship/leadership Patrons, trustees, fundraisers Stakeholder engagement, communications Structure, working committee, staff, resource Members, volunteers, others Accounting, reporting, back office
18 Set goal/target & budget (for events) Prospecting & understanding donor criteria Building & maintaining contacts/relationships Generating awareness & publicity Building good reputation & trust Sponsorship/donor kits/packages/menus Events calendar, timeline management Appreciation, recognition & retention Donor/impact/mandate reporting
19 Section 44(6) Income Tax Act 1967 Scope of charitable purposes & activities Qualifying institutions, organisations & special purpose funds Duly registered with qualifying objectives clearly stated in governing documents, e.g. constitution, rules, by-laws, memorandum & articles or trust deed Compliance & submission of annual accounts
20 National Level Region/Zone State/District Local Community Local Centre Fundraising is the job of everyone
21 Ministries & Agencies Local Authorities Media Corporates NGO/NPO Educational Institutions Volunteer Groups Philanthropists Local Community
22 Charity dinner Shows/performances/music Contests, auctions Festive season events Fairs/festivals/community events Food fair/bake sales Car-boot/garage/jumble/craft sales Do good activity/volunteer service Walk, run, marathons Visit/tour of place/facility
23 Internal vs external cost & resources Income sharing arrangements Competitive & aggressive Potential abuse/scams/sharks Reputational risk Regulations/prohibitions Fundraiser vs event organizer Fundraising angels
24 Own platform + secure payment gateway Online banking platforms Third party platforms Crowdfunding platforms, e.g. PeopleGiving SimplyGiving GlobalGiving GIVEasia
25 NASOM Secretariat Centre 1 Centre 2 Centre 3 Centre 4 Centre 10 Centre 19 etc. The National Autism Society of Malaysia (NASOM) is pioneer & largest service provider in autism services Started in 1986 by a group of parents & professionals Registered in 1987 as a national charitable NGO Opened first autism intervention centre in 1988 Now operates 19 centres nationwide 16 early intervention & therapy centres 3 vocational centres Around 500 students and 1,000 parent members A tax exempt charity under Section 44(6) Income Tax Act 1967
26 Alor Star Kota Bharu Butterworth Penang Ipoh Setapak Garden Jalan Ipoh Titiwangsa Taman Supreme Taman OUG Setia Alam Bandar Puteri Teluk Pulai Seremban Melaka Segamat Muar Kuantan Miri
27 Charity fundraising events Sunshine September program Walk for Autism La Gourmet products Creative Arts Centre Opening Doors to Autism
28 Charity golf Charity dinner Mrs Nasom beauty pageant Charity concert Charity premiere Charity sale/bazaar Promoters/ organisers/ sponsors NASOM NASOM centres/ programs/ projects Participants/attendees/public/ VIPs/donors/sponsors
29 Suria KLCC Group NASOM Participating tenants/merchants at Suria KLCC Malls Suria KLCC, Alamanda Putrajaya, Mesra Mall Kerteh Public/shoppers/ consumers
30 Danajamin NASOM Citta Mall Donors & contributors Designated suppliers of goodies, gifts, food, drinks, etc. Supporting organisations Members of public NASOM Walk participants
31 Katrin BJ NASOM La Gourmet NASOM Kuantan Akhtar Ismail Distributors & retailers Public/shoppers/ consumers
32 Sime Darby Foundation Renovation, furnishing & equipment for CAC NASOM NASOM Creative Arts Centre, Setia Alam SP Setia Foundation 4-storey shoplot at charitable rental
33 10-25 km radius NASOM Centre Piloting at 2 NASOM centres Identify potential corporate business/institutions/individual donors/supporters within the community Understand their CSR objectives Develop/tailor program to meet CSR objectives Introduction, meet to present the case & invitation to visit centre Tour of the centre highlighting the needs of the centre Joint planning & development of CSR events Maintain continuous relationships
34 Thank you Q&A Time
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