Starting a Nonprofit Group: What You Need to Know

Starting a nonprofit organization requires much more than identifying a worthwhile cause. Organizations need to identify potential sources of money, craft a mission statement, draft bylaws, find board members, and seek tax-exempt status from the Internal Revenue Service.

What are the best ways to accomplish those tasks? What is the best way to ensure your fledgling group will be able to sustain itself over the long run? What are the potential pitfalls of starting a nonprofit group, and how can you avoid them?

The Guests

Marty Martin is a lawyer whose law practice focuses on advising and training nonprofit groups. Mr. Martin has chaired the boards of several nonprofit organizations.

Josh Sommer is executive director of the Chordoma Foundation, which he co-founded with his mother, Simone Sommer, after he was diagnosed with bone cancer in 2006. A freshman at Duke University when he was diagnosed, Mr. Sommer joined the lab of Michael Kelley, a Duke oncologist studying the disease. Mr. Sommer is also a fellow in strategic philanthropy and health at Duke's program on global health and technology access.

A transcript of the chat follows.

Peter Panepento (Moderator):

Welcome to the Chronicle of Philanthropy's weekly live discussion series. Typically, we focus these discussions on issues that are relevant to existing nonprofit organizations. But today, we're tackling a different topic -- starting a new nonprofit group.

Peter Panepento (Moderator):

Both of today's guest experts have quite a bit of experience in this area. Marty Martin is a lawyer whose law practice focuses on advising and training nonprofit groups. As part of his practice, Mr. Martin helps clients through the legal process of starting nonprofit organizations. Our other guest is Josh Sommer, who started his own organization three years ago. Mr. Sonner is executive director of the Chordoma Foundation, in Greensboro, N.C., which he co-founded with his mother, Simone Sommer, in 2006. He can provide first-hand lessons based on his experience starting the foundation.

Peter Panepento (Moderator):

They will be available for the next hour to take your questions. To submit a question, please click on the "ask a question" link on this page and type in your query. This is a text-based discussion and our guests will type responses to your questions. This page will refresh every minute with the latest answers.

Peter Panepento (Moderator):

Ok, let's begin ...

Question from Georgemarc, Sec. of "Catalyst" a startup NPO:

We are an established, but dormant NPO (educational) We are in the process of modifying our articles of incorporation to become a international funds transfer organization in order to help an orphanage in Guatemala receive US funds through an educational organization in Canada.

My question is this: "Do other organizations need this service and if so, how do I find them."

Marty Martin:

If you have been dormant tax exempt entity and are now changing what you are doing, I suggest you seek a new opinion from the IRS that what you are doing will still qualify as tax exempt.

I don't know whether organizations may need this type of service. Have you done an environmental scan and/or competitor analysis to find out who may need or already be providing this service. You may want to seek other organizations through marketing on the Internet, as well as seeking out the type of organizations you want to fund and then work backwards from their networks.

Question from Ben, arts professional:

Is there a formula to determine salaries for the founder and other potential staff members? What grants could I, as the founder, apply for which would provide me with a salary during the initial phase of the nonprofit, as many grants are for specific programs which will not be implemented until the first cycle of forming a nonprofit is completed (getting 501(c)3 status etc.). Or what other sources other than grants would there be to fund salaries?

Marty Martin:

Ben, first as a founder and executive, you will want to avoid issues related to inurement and private benefit in establishing a salary for yourself. Your board of directors should do a salary survey to establish an appropriate salary range for your type of organization and locality and contemporaneously document their findings and determinations.

If you do not yet have your tax exempt status, you likely are limited in the grants for which you may apply directly. However, when writing your grants you should be able to include a portion of your salary and benefits as a component of the grant. You should look at the grant guidelines carefully and if you have questions, talk to the funder.

Question from Laurie, small non-profit:

Is it beneficial to join an "umbrella" or "adoption" organization for fiscal sponsorship where a percentage of the funds raised go towards administration (legal, accounting, IRS filings, etc) of the nonprofit?

Marty Martin:

Laurie, the short answer is "it depends." If it is a short term sponsorship while you are seeking a determination of your tax exempt status, that is one situation. If you are looking at it as a long term solution as a cost sharing situation, then your board will need to look at its pros and cons as to what will be most effective for your organization.

Question from Lee, small nonprofit:

What's the correct way to solicit financial support from businesses and companies?

Josh Sommer:

I don't know if there is necessarily a correct way, and I think the approach will depend on your organization and the company you are soliciting from.

That said here are some tips that we've found helpful:

1. Target organizations that have some connection to your mission. This connection might be personal - i.e. a cause that one of the employees or executives cares deeply about, or it might be related to the industry that the company operates.

2. Keep in mind that some companies have two different budgets for philanthropy - one in the marketing department, and one in the corporate giving, or corporate social responsibility office.

3. Try to find ways in which a partnership with your organization can be beneficial for the company. The best example that I've seen is United Airlines partnership with Conservation International. United donates to CI and advertises for CI in their magazine and in-flight entertainment. These advertisements make the point that rain forest destruction contributes more to global warming than all of the plains, trains, and cars in the world. I cannot think of a better organization for United to support to boost it's corporate image and allay people's potential guilt about flying.

4. Identify the decision makers, and develop a relationship with them before you make an ask. If you're not just after a quick donation and want to establish a major partnership with more significant giving, you'll need to do even more relationship building and due diligence. Determine if the company's values match yours, and how you get along with the staff.

5. Finally, ASK - even if they can't give much, it seems that most companies will give something if you just ask - this is more true when the economy is performing better than it is now.

Finally, I qualify all of this by saying that we are new at corporate fund raising, and I'm still learning a lot myself. I'd recommend reading books on this subject.

Question from Christine Lindquist:

Do either of the panelists know of any innovative models for financial sustainability?

Marty Martin:

Christine, that's the Holy Grail for nonprofits. The key to a financially successful and sustainable nonprofit begins and ends with your board of directors to manage the affairs of the corporation by making certain the funding model and strategies for financial sustainability works given your resources and environment in which your nonprofit operates.

Question from Hervey and Joyce for Metro Youth:

I would like to start a youth program that is designed to help distressed teens improve their life start. Where do I get the start up information that is needed for the program. Yes I do have a program outline.

Marty Martin:

Hervey and Joyce, the first questions to ask is whether anyone else is doing a similar program in your community. If so, then how do you intend to differentiate yourself in such a way as to be sustainable over the long run. Sometimes it may be better to go to an established program that already has established infrastructure rather than trying to reinvent the wheel. Funders increasingly are looking for scale and impact rather than "another program".

If you still want to try starting the program, then you may want to contact an attorney who works in nonprofit law to advise you on the legal issues and to assist with the IRS tax filings. Liability will be a key issue for you with the need to look at risk management issues close.

In addition, you may obtain information from the IRS website and from your state nonprofit association that may prove helpful. Finally, there is a wealth of information from other organizations that work with nonprofits that will help to guide you.

Finally, if there isn't a program in your area, look to find others doing similar work in other regions. Call them and ask about their experience.

Question from Bryan, startup non-profit:

My organization will seek a small grant for a proof-of-concept exercise, then will apply for larger funding once we've proven ourselves and the concept. Where do you suggest we look for donors interested in unproven and higher-risk non-profit opportunities?

Josh Sommer:

I think this is highly dependent on the problem the exercise is meant to solve. I've found that the best donors are the ones who want personally to solve the problems that you are tackling. The more passionate and impatient a donor is about solving your problem, the more likely they will be to take a risk on you.

In general there is a subset of foundations that specifically like to fund high risk, high reward projects. Usually they will say so on their website or materials. I would suggest browsing the Foundation Center database for granters in your space that fund proof-of-concept or pilot projects.

Question from Kelly, Philanthropy and Nonprofit consultant:

1.) If I have an idea for a nonprofit and want to pitch the idea to other nonprofits who could serve as a fiscal sponsor, is there a way to "protect" my idea, perhaps having them sign some sort of confidentiality clause before I do a presentation, so they do not take my idea for the program themselves and then hire another person to do the job?

2.) I believe one part of starting a nonprofit involves forming a board. How many people must be on the board and are they liable for the financial activities of the organization, as would the board of a for profit organization?

3.) Can one "incorporate" a nonprofit and if so, are there any advantages to doing this?

4.) Are giving circles, such as the NYC Venture Philanthropy Fund, considered nonprofit organizations? And what is the difference between a giving circle and donor advised fund as I find some organizations use this term interchangeably?

5.) Is there any kind of funding one would be eligible for in the meantime or a salary one could collect while still in process of forming a nonprofit (for example, while researching the potential viability of the organization, whether its services do serve a strong enough need which donors would support etc.)?

Thank you.

Marty Martin:

Kelly, your questions could take a day long seminar. 1). Yes you can and perhaps should try to protect yourself with a confidentiality agreement. Seek legal counsel to help you. 2). There is no magic number for the number of board members. While I believe a smaller board that actually governs and manages the nonprofit is a better model, there are organizations that function with larger numbers. Use an advisory board for fund raising.

All board members are equally liable for the corporation if they serve on the board of directors. Often the standard of care for service on a NPO board is the same as business board. This is an area of the law that is changing with increasing visibility and accountability for those who serve on the governing board.

3). Incorporation is generally the better option in most instances. Liability is one key consideration here.

4). Depending upon state law, a giving circle could be considered a nonprofit organization as an unincorporated association. A giving circle generally is a more informal type of philanthropy while a donor advised fund is governed by more stringent legal and operating requirements and often overseen by a community foundation or other legal entity.

5). You have the challenge of any entrepreneur in starting an enterprise that wants to be paid. Family and friends are generally the most reliable during this early phase, as well as, maintaining current or seeking part time employment.

Question from Cyndi Ware (interested in starting nonprofit):

I am interested in starting a non-profit, an ongoing community for women where they can learn about life skills, e.g., decision making, finances, relationships, career, health in a creative and engaging way. Do you know of any organization doing that sort of thing where I might be able to do an informational interview? Also, what is the first step? How does one go about getting money to get started?

Marty Martin:

Cyndi, an interesting national organization with local affiliates called "Dress for Success" is one organization you might want to contact. They work with helping women make transitions.

Finding seed money is the challenge for the start up social entrepreneur. Start with your own network of family and friends and expand from there.

Question from Claire Grove, Stepping Onward:

I have incorporated in my state, created the bylaws and I am working on the 1023. In addition, applied to the USPTO to protect my name and logo. The initial application was rejected even though there is no organization that is close to mine with the same name. I cannot afford a patent attorney. Can you suggest another option?

Marty Martin:

Claire, patent and trademark law is a very specialized area. While you may not be able to afford full time representation, you may want to consider a consultation for an hour or two to have counsel review what you've done and give you advice.

If you can't afford a consultation, then check with your state or local bar association or law school to seek if they may have an attorney clinic that might be able to provide an hour of advice.

You may also be able to find a course at a local college or community college that may help.

Question from Ken Wyble, Liberty 7 Foundation:

What are some ways to push the IRS along and check with the IRS on the status for 1023?

Marty Martin:

Ken, unless you qualify for an expedited review which is granted in only very limited circumstances, you will have to wait out the several months delay between submitting your 1023 application and hearing from them.

The IRS tries to triage these applications so that if your organization clearly qualifies, you may hear back sooner than later. If it doesn't clearly qualify, then you will wait.

Having experienced legal counsel may help avoid some of the potential legal and drafting about which many first time or one time applicants don't know.

Peter Panepento (Moderator):

Hi Ken. You might be pleased to know that the IRS's taxpayer advocate is pushing for the IRS to speed up processing times on the Form 1023. Here's an item I wrote in July about that issue: http://philanthropy.com/news/government/5144/

irs-told-to-speed-up-applications-for-nonprofit-status

Question from Michi, ACEFC:

Hello, our mission has been rejected by the IRS twice already. what do you think our chances of success are at this point, and where can we find some exemplary mission statements for review?

Our organization is arts performance-related. The general idea is to get matching grants to make performances possible in free-to-the-public venues such as libraries and schools.

Thanks. Michi Regier

Marty Martin:

Michi, without reviewing your applications there is no way of knowing. I suggest you contact an attorney who practices in nonprofit law to review what you've done and to advise you on how to proceed.

Comment from Claire Grove, Stepping Onward:

Thank you, Mr. Martin, for answering my question.

Question from Claire Grove, Stepping Onward:

What is the best way to find a non-profit mentor in my area?

Josh Sommer:

First, is there a reason that the mentor needs to be in your area? Is the problem your organization is trying to solve unique to your locale? If not, then I wouldn't limit your search to your area.

Try contacting founders at other similar organizations. It helps if you get an introduction through a mutual acquaintance.

I've found most of my mentors through enhanced serendipity. Enhanced serendipity means intentionally setting your self for serendipitous things to happen. I'll be at an event and meet someone who knows someone who has the answer to a burning question, or has access to a needed resource. For example, I was at a 17,000-person cancer research conference and overheard the people behind me at lunch talking about their Chordoma research - turns out I had collaborated with one of their lab-mates. These guys were probably five at the entire conference doing chordoma research, and they just happened to sit behind me. I had to be at the conference to meet them - in other words, you have to play the game to win.

In general networking is probably the best way to enhance your serendipity. The bigger your network, the more opportunities will likely come across it. Tell people you know what you're looking for, whether it be a mentor or anything else - even if they don't have any ideas at the moment, they will be on the lookout for you.

Peter Panepento (Moderator):

We've reached the halfway point in today's conversation. With that in mind, I'd like to remind our audience that there is still time to ask questions. To do so, please click on the "ask a question" link and then type in your question. If you have already asked a question and are waiting for a response, please stick around. Our guests are working through your questions and we'll post the answers as they are ready. Thanks.

Question from david:

If a for-profit organization wants to take some of its community training functions and spin them off into a separate nonprofit where some of the for-profit's employees will impart services to clients for a fee, what are some of the pitfalls to avoid?

Marty Martin:

David, there are many potential pitfalls when combining a business and nonprofit organization, though it can be done. The primary one is that the tax exempt entity and/or its assets are used inappropriately for the benefit of the business. In addition, there are legal differences between operating a business as a business and operating a nonprofit, tax exempt entity. Having employees working in both may give rise to problems.

Question from Fr Fred, Episcopal Church:

I am a priest in the Episcopal Church. We want to start a nonprofit which would assist the homeless. What is the very first legal step a local congregation needs to take?

Marty Martin:

Father Fred, the fact that you are seeking to establish a nonprofit entity separate from the church is an excellent first step. Too often a church will grow a "program" while continuing to operate it directly under the church's umbrella. This is not always a good idea once a "program" begins to grow.

To establish a separate nonprofit will require incorporating pursuant to state law, creating a board of directors, and filing the IRS 1023 as some first steps.

Question from davidn:

Can you also talk about issues related to board members taking salaries? Does the issue as far as legality change whether they do/don't provide services as more than board members to the organization?

Marty Martin:

David, generally it is not a good idea for board members to take a salary for their service unless they enjoy increasing the potential for an IRS audit, repayment, and penalties, and the risk of loss of the tax exempt status. Further, public scrutiny through the new IRS 990 form will likely impact the ability to raise funds.

As for providing services to the nonprofit, this has the potential for raising similar issues and should be done only in compliance with a stringent and operating conflict of interest policy and decision to do so by a majority of the unaffected, independent board members. Again, doing so raises issues with the increasing public scrutiny of a nonprofit's 990 form which may require disclosing these transactions.

Question from Jim, considering an L3C org.:

What can you tell me about L3C organizations like RBInternational L3C? Is it beneficial to form one versus a nonprofit? Will the L3C be able to self sustain?

Marty Martin:

Jim, I'm just learning about the L3C organizations which currently are only available in four or five states. They are an interesting, though untested hybrid corporate structure that seeks to blend the social side of a nonprofit with a low capital return of a business. If you live in a state that permits the formation of an L3C, I'd be interested in information about how they're working.

Question from Peter Panepento, moderator:

Hi Josh, perhaps you can provide our audience with a little bit of background of your experience starting a group. Tell us what prompted you to create the foundation -- and a little bit about your first steps. Thanks.

Josh Sommer:

I was diagnosed with a rare form of bone cancer, called chordoma, during my freshman year of college. The prognosis and treatment options were unacceptable so my mother and I resolved to find better options. After recovering from surgery I went to work in the only federally-funded chordoma research lab in the country. Meanwhile my mom and I contacted all of the leaders in chordoma research and many in related fields, as we formed our plan of attack to cure chordoma. We started the foundation out of a need to solve some very specific problems: 1) Access to scientific resources such as tumor tissue. 2) Communication, collaboration, and sharing among researchers. 3) Synchronization and coordination of research projects.

While our overarching mission is to find a cure for chordoma, and to improve the quality of life for those that it effects, our work focuses on solving the intermediate problems needed to reach that goal. These problems are not unique to chordoma so we are developing a model that can be applied to other cancers as well.

We started the foundation when we did, in February 2007, because in May we were to co-host the First International Chordoma Research Workshop. From this workshop emerged a research road map that was entrusted to the foundation to carry out. Since then we've been driving forward that plan, all the while raising money and building infrastructure to become increasingly effective.

Comment from Claire Grove, Stepping Onward:

Thank you so much, Josh, for that great answer and the description of Enhanced Serendipity :)

Question from Keri, Small Nonprofit:

What is the best way to connect with county- and/or state-run programs?

Marty Martin:

Keri, I'd suggest contacting your county manager's office for information on the programs in which you have an interest. Similarly, you may want to contact your Governor's office to direct you to the appropriate individuals and agencies in state government. These offices are in business to help serve you and generally are most helpful.

Question from Ray, DC Stop Modern Slavery:

We are a large grassroots organization applying for 501c3 status so we can raise funds to execute our mission. Generally, can an organization start raising funds while its 501c3 application is in progress? Our fund raising would consist of applying for grants and seeking grassroots donations.

Marty Martin:

Ray, you can raise funds while awaiting for the IRS determination of your tax exempt status. If you are determined to be tax exempt, then the status will relate back to your date of incorporation.

However, you cannot indicate or suggest in any fashion to prospective donors their contribution is tax deductible. You should be totally transparent and forthcoming about your status and include a written statement that you have not yet been recognized as tax exempt and have an application pending with the IRS in all of your fund raising communications.

Question from Kristopher:

I am contemplating starting a non-profit but am aware of a few organizations already in existence doing what I'd like to do. I am cautious about not overloading the field with new organizations. Do either of you have any general thoughts regarding starting new organizations or joining with already existing ones?

Josh Sommer:

It's good that you are aware of others operating in your space. I personally believe that there are too many similar/overlapping nonprofits, and that there needs to be consolidation in many sectors.

In general I think it's far better (and probably easier) to join an existing organization. For one, you'll save a lot of time in developing relationships and a donor base. Plus you can benefit from their infrastructure, reputation, and complementary expertise/capacity. Assuming that the organization you join or partner with is adequately funded, you could devote more time and energy to the mission as opposed to fundraising. I wish there had been an organization that we could have piggy-backed on to.

All that said, if you have a very innovative idea or approach that just isn't compatible with an existing organization, or if the specific issue you are trying to address is too narrow, and would get diluted by joining another organization, then I certainly wouldn't want to discourage you from starting your own organization. Just know it's an enormous commitment.

Before you make a decision map out the entire space, and contact all of the organizations who you could potentially partner with. Really do your homework and talk with the people in charge. Get a sense of their willingness to collaborate, whether they share your philosophy, and how financially sound they are.

Comment from Jim, considering forming an L3C org.:

Comment: Thank you Marty for answering my question, I truly believe that L3C orgs can help the nonprofits. From my research, you form one and you are able to operate nationwide.

Question from Kim S.:

We're interested in learning whether we can legally act as a nonprofit without the 501c status?

Marty Martin:

Kim, if you are seeking to be recognized as tax exempt, the better practice is to file your IRS 1023 application immediately after you incorporate under state law.

Question from Starting a new nonprofit:

I'm not sure how to get started. What would you recommend? Is there a guidebook with step-by-step instructions to start a nonprofit? Do I get the 501(c)3 first? Do I need a lawyer and an accountant first?

Josh Sommer:

Yes, there are lots of guidebooks. I think we bought a bag-full when we were starting, but didn't end up turning to them very much. You don't need to get 501(c)3 status to get started. You can incorporate and operate without a federal exempt status. I would definitely recommend incorporating with the help of a lawyer with nonprofit experience. There are nuances of nonprofit law that most other attorneys just aren't familiar with. I'd recommend finding an accountant as soon as possible, but you don't need one before you incorporate. Again, you need to find an accountant that specializes in nonprofits.

Question from Susie, charter school PTA:

I have obtained 501(c)(3) status for a newly formed parent teacher organization. The school we support is a separate tax exempt organization. How careful do we need to be about maintaining our separate status? Should we avoid placing school teachers and administrators as heads of our committees to avoid conflicts of interest? We are not classified as a supporting organization.

Marty Martin:

Susie, this is a key question for the founding board to consider as it will set precedent and the culture of your PTO. I'd suggest a well considered written policy on this issue to guide the founding and future boards.

In the absence of additional information, my inclination and bias may be to consider establishing and maintaining independence between the two entities by having a majority of board members and committee members who are not school employees.

Comment from Kristopher:

Thank you Josh...I agree that consolidation would be extremely beneficial. I am afraid that by starting my own, I, and the other similar organizations, won't be as successful as we could be because we'll have to compete too much for resources, etc...

Question from Bill:

Is it better for nonprofits to join other nonprofits during these economic times if they are on the same mission?

Josh Sommer:

Unless there are compelling reasons not to, I would favor joining another nonprofit regardless of the economic situation.

Question from Naomi C. Leapheart, Philadelphia nonprofit leader and independent consultant:

Hello!

This question is for Josh in particular: What three things would you say, looking back, were the most important to do during the first six months to one year of the Chordoma Foundation's existence? How did those things lay a strong foundation for the organization as you reflect three years later?

Josh Sommer:

1. Building relationships - many that were developed three years ago are paying off today.

2. Honing in on the mission.

3. Hiring administrative assistance.

4. creating a good looking Web site.

Other things I wish we had done earlier:

1. Found an accountant.

2. Implemented a CRM and donor database.

3. Asked for money.

4. Hired more people.

Question from Steve Brand, Ways & Means Productions:

Related to my previous question, what are the typical year-to-year maintenance cost categories involved with running a nonprofit? What might a start-up's costs look like over the first few years?

Marty Martin:

Steve, this will vary from nonprofit to nonprofit depending upon what you are doing.

As part of the IRS 1023 application, you are required to create a three-year, pro forma operating budget. This is where you will need to look closely at both the sources of your revenue as well as your operating expenditures and budget. I encourage you to be as specific as you can when you establish these numbers and then create a written plan with specifics on how you intend to achieve them.

Question from Allison, small nonprofit:

I know that there are surveys of nonprofit salary averages, can you point me to the best surveys and Web sites for this?

Marty Martin:

Allison, you may want to look at Guidestar and The Chronicle of Philanthropy as two quick sources that I believe will have salary information.

Peter Panepento (Moderator):

Our annual salary survey is available to Chronicle subscribers at: http://philanthropy.com/premium/stats/salary/

Question from Tricia, small nonprofit:

Given the number of nonprofits in the U.S. and the various missions they have, what factors go into the decision to start one of your own, verses becoming an executive at an established nonprofit?

Josh Sommer:

It depends why you want to join a nonprofit. In my case it was to solve a particular set of problems that I was very passionate about, and concluded that we could not realistically solve these problems without starting a new organization. If you are just looking for experience or to make a difference, I would strongly urge you to join an existing organization. It will probably be much much easier, and as I said before, I think the nonprofit space is already pretty crowded and redundant.

Question from Laurie, small non-profit:

Mr. Martin, yes, my small non-profit would like to join (long-term) an umbrella 501(c)(3) organization that would combine the administrative costs for all of its "programs." My board has agreed that the way this particular umbrella charity operates would be both cost and time effective. Do you have any guidance you can provide about umbrella or adoption organizations?

Marty Martin:

Laurie, you should take care in drafting the agreement that defines this relationship and in particular how costs and expenditures will be allocated, as well as any attendant risks. Likely I'd limit the time frame, particularly for the initial agreement, and then make certain your board and executive director monitor the relationship and expenditures closely as you grow and develop to make certain this still makes sense economically and otherwise.

Peter Panepento (Moderator):

We're keeping the discussion open for a little longer to get to some more questions. Thanks for all who have joined us today.

Question from Dana La Force:

What are the benefits and limitations for a faith based non-profit?

Marty Martin:

Dana, unfortunately your question is too broad a question for this format and any answer will be highly dependent upon what a group is seeking to do and why.

Peter Panepento (Moderator):

For those who are starting new groups, I hope you will turn to our live discussions series as a resource for your organization. We hold these discussions every Tuesday at noon Eastern time on a wide range of topics. You can also read free transcripts from previous discussions at http://philanthropy.com/live.

Question from Steve Brand, Ways & Means Productions:

I am an independent filmmaker working on social issue documentaries, primarily for public television and educational distribution. These projects can sometimes take seven years or so to complete. Up to this point I have worked with fiscal sponsors and been the project director but have been considering setting up a nonprofit, partly because the fiscal agent fee would then be able to be plowed directly into the work. But I am not sure how much of an undertaking this would be, how much administrative time, how many tax filings (and how cumbersome), how many people I would need to manage the nonporfit, etc. Any suggestions on what pluses and minuses to consider?

Marty Martin:

Steve, the key here is what works best for what you're doing. There are benefits and costs to either arrangement--some of which your question suggests. I'd encourage you to make a list of what you currently see as the pros and cons with a dollar and estimated time expenditure for each as a starting point.

Peter Panepento (Moderator):

We have reached the end of the line. Thank you to all of you who took the time to join us today. I hope you found the information useful. I'd also like to pass along a special thank you to our guests, Josh Sommer and Marty Martin. They offered some fantastic advice.

Peter Panepento (Moderator):

Please remember to visit http://philanthropy.com/live for information about upcoming live discussions and to access our archive. Please also note that we are playing host to a special series of discussions on recession issues along with experts from the Nonprofit Finance Fund in New York. The series begins this Thursday, May 14, at noon Eastern time. You can learn more here: http://philanthropy.com/live/recession_series/

Peter Panepento (Moderator):

Thanks again.

Source - www.philanthropy.com

Using Video to Spread Your Nonprofit Group's Message and Mission

More and more nonprofit organizations are tapping into video as a powerful marketing and fund-raising tool.

But while some charities use video to reach supporters, potential donors, and the public, others have been slow to adopt the approach.

What's the best way to use video storytelling to get your group's message across to current and potential supporters? What technologies work best for public-service announcements? What's the difference between direct-response and viral video?

The Guests
Sara Fusco is assistant director for online communications at Refugees International, in Washington, where she is managing a redesign of the organization's Web site. Previously, Ms. Fusco was deputy director of development at the National Legal Aid & Defender Association, where she developed databases and marketing materials, and directed the organization's special events planning. Michael Hoffman, an expert in online business development and marketing, is chief executive officer of See3 Communications, which develops visual, audio, and photographic content for nonprofit groups wanting to raise money and spread their message. Mr. Hoffman co-founded DoGooderTV and EarthFirst.com. Mr. Hoffman is also the host of the Guide to Online Video, an introduction to online video for nonprofit groups.

Mark Horvath is a television producer who creates video content for nonprofit causes. He has worked extensively with the homeless population in Los Angeles for over eight years, and creates video narratives of the plight of homeless people in Los Angeles. His videos can be seen at http://invisiblepeople.tv/blog/. He has also developed marketing and fundraising campaigns for churches in Los Angeles, and St. Peters, Mo.

Steve Braker has produced broadcast, non-theatrical, and commissioned documentaries for more than 25 years. He founded Worthwhile Films, a Northfield, Minn., company that produces documentary and educational video, and other types of media programming for nonprofit organizations and government agencies.

A transcript of the chat follows.

Peter Panepento (Moderator):
Hello, and welcome to today's online discussion on online video for nonprofits.

Peter Panepento (Moderator):
The growth of social media has made it easier than ever before for nonprofit groups to use video to spread their message and raise money.

Peter Panepento (Moderator):
But for many organizations, video isn't part of the daily routine. And, of course, budgets are tight. So how can your group effectively create, produce, and market video on a tight budget? What are the common mistakes? What are others doing?

Peter Panepento (Moderator):
Today, we have four experts in the use of video for storytelling and advocacy available to answer these and other questions.

They include:

Sara Fusco, assistant director for online communications at Refugees International, in Washington; Michael Hoffman, an expert in online business development and marketing and chief executive officer of See3 Communications; Mark Horvath, a longtime television producer who creates video content for nonprofit causes; and Steve Braker, who has produced broadcast, non-theatrical, and commissioned documentaries for more than 25 years.

Peter Panepento (Moderator):
To ask a question of one of our guests, please click on the "ask a question" link on this page and type in your question. This discussion is text based, so there is no need to call in. The page will refresh every minute with the newest information.

Peter Panepento (Moderator):
With that, let's get started ...

Steve Braker:
Hello all, I'm Steve Braker and I've been producing "narration-free" documentary style video for NGOs / nonprofit organizations for 25 years as Worthwhile Films (http://worthwhilefilms.com).

It's exciting to see that video is in a new era in terms of its reach and potential, now that almost anything can be seen almost anywhere. That doesn't mean that the old ways of getting an org's video message in front of the right eyeballs are obsolete, they're just part of a larger mix. The challenges are the same: produce video which tells a compelling story and message, and get the right people to see it in a productive context.

Question from Ellen, small video production company:
Where can I find data on the effectiveness of using video for nonprofit fundraising?

Michael Hoffman:
There is a lot of information online. A good place to start is the Guide To Online Video at http://www.see3.net/guide/

Question from Ladd Morgan, Ernst & Young:
If a small nonprofit cannot afford a professionally done video, should it approach donors with something homemade?

Sara Fusco:
In large part I'd say it depends on the content that you have, and the donors you are approaching. "Amateur" raw footage can be extremely compelling to donors if the content is fresh - something that hasn't been seen or told before - and has an emotional story that is being told.

Don't try to over-stylize it yourself. As long as the content is there, the story is sharp, and you clearly make the case that your organization is the one who can best address the issue you're portraying, then yes, it can absolutely be homemade and work for donors.

Mark Horvath:
Quality transmits credibility. people will judge your brochure, video, or any marketing material by how professional its done. that said, with today's tools and a little extra work quality video production does not necessarily have extreme costs anymore.

Question from Jeff, Rainbow Hospice:
We have some older, non-professional equipment (digital but just barely) like a handicam. Is it worth producing something or just waiting until the budget opens up for better items?

Mark Horvath:
NEVER WAIT! Right now all I have is a laptop that cannot even edit video and a small camera. My Avid died and I cannot afford to replace it. I sat and looked at what I didn't have and got depressed. Once I started to look at what I had and just decided to make things happen I found the solution. The point is take what you have and make something. If you are missing an important piece rent or borrow.

Peter Panepento (Moderator):
We've had a couple of questions come in about this format. This is a text-only chat -- so there is no audio or video that accompanies this discussion. This page will refresh every minute with the newest material. Thanks everyone.

Question from Piper Stege Nelson, NDI:
When posting a video on your website, specifically on the CONTRIBUTE or DONATE page, what is most compelling? And what length is best?

Steve Braker:
I think in this day and age, you need to get the viewer on your side as quickly as possible. I'm still a proponent of getting people in a room to watch and discus a video, but you don't have a "captive audience" online.

Your online fund raising video might be 5 or 8 or even 12 minutes, but you want them to have a good feeling for what you're about and why they should help within the first 1 or 2 minutes.

Question from Kin Lazzaro, Sarah Lawrence College:
Would you suggest using online video as part of the acknowledgement process?

Sara Fusco:
Absolutely! It's a great treat to donors to receive something that helps them see that their money is going to an important cause. Anything that makes a donor feel special does wonders for your cultivation efforts.

Question from Scott Fortnum, ALS Canada:
I run the development program for the ALS Society of Canada and we have a stellar 60 second PSA that essentially chronicles the impact of the disease (typically 3 to 5 years) in one minute.

It is extremely powerful according to viewers and has been blogged about internationally on various marketing sites.

The industry buzz is great, but I am wondering what some of your thoughts are with regard to getting this in front of potential donors.

Steve Braker:
Congratulations, Scott. It sounds as though you're in a great position! I won't be an expert on this as it's more in the realm of web message wrangling than video itself.

But I think the challenge will be to get as many of those online placements to point back as visibly as possible to the site where people can take action. The video should include a specific call to action; if it isn't in there it should be added as text-over or at the end.

Question from Katherine, Mary's Pence:
If I have a four minute video of a grantee of ours that is compelling of our organization how can I use this to reach donors or educate people? What are the best ways to use this video?

Mark Horvath:
Interesting question. Sometimes video is not the answer. So often I hear "lets make a video" when another method would work best. The key here is to know your donors and ask THEM how they want to receive communications. For example, if they are online then add to a Web page or send in an e-blast. If the video is short make a business card sized DVD and mail it. There are many delivery methods but I must stress that you MUST know your donors. The real questions is, how do they want to receive your messages? I hope that helps

Question from Scott Squire, NonFiction Media:
As a small-footprint documentary production company, I'd like to know how to make a convincing case to organizations for making the relatively substantial up-front investment a documentary entails.

Steve Braker:
Great question. First of all I would suggest targeting yourself to the groups or types of groups that you really believe in and want to work with.

The vast majority of my projects are funded by sources outside the organization's budget. Government funding, foundation grants, individual donors who see it as valuable seed money for other donations. I help the organization in this process by providing a proposal and other materials which are then turned around as part of the appeal or application to fund the video. It's a new age, of course, but I think the same process is still alive.

Question from Nedra Weinreich, Weinreich Communications:
What are the elements you need to think about in video storytelling that are different from telling a story in print? Thanks!

Mark Horvath:
To me, the big difference is emotion. So much communication is lost in the written word where video/audio will capture everything. I personally like the person to tell their own story as I feel it's more powerful then a voice over narration. I am also not very big on locations unless they bring real meaning and emotion to the person being interviewed. Head shot so you can see the face and then add broll to visually tell the story. music plays a HUGE part in bringing emotion and is a very effective tool that print cannot provide.

Question from Abhilash Ravishankar, grassroutes.in :
I have a question, which is quite specific in nature. We fund youth to go on road-trips to rural areas, meet change-makers and document their travelogues on video.

When we process the video, we look at two audiences:
a. Donors
b. Other youth (in order to inspire them to travel for social change).

How different do you think the stories in the videos should be for the different audiences?

In your experience, what does a donor look for? Obviously impact. What else?

Michael Hoffman:
I think the most important thing is telling compelling stories. Stories that work, work for everyone. The difference between donors and others might be length and format -- you might want to use the donor videos in a presentation and you might need to have a different length or different messaging at the end.

Donors want to know that their support matters to real people. They want to know that the problem isn't so large that they can't have an impact, and they want to see their money at work with real people.

Question from Rachel, large nonprofit:
What are some of the pitfalls or obstacles I might run into as a part of a very large nonprofit? I'm interested in pitching it to my supervisors, but know I will face some resistance. Do you have any statistics of how online videos have been helpful to groups?

Sara Fusco:
It definitely can be tough to make the initial case. There are success stories that I know of, but it depends on your objective with the video (advocacy, fund raising, list-building). Michael at See3 probably has better ideas of statistics that he could share with you.

You'll need to develop a targeted campaign with a very clear objective, and then explain how online video will fold into that. Video is not the silver bullet, and can't accomplish your goal by itself. It's mostly the outreach that you do once it's produced and posted online that can make or break your campaign, and that's a huge pitfall that people can overlook. Just because you build it, it doesn't mean they will come.

Question from Jeff, Rainbow Hospice:
We're not eligable for Adobe non-profit discounts on Premiere (at least not through Techsoup) is there anywhere else to look to get decent editing software? -note no one here has a mac to use Final Cut.

Michael Hoffman:
The kind of software matters less than just getting started. Windows Movie Maker software is free and it can do basic editing. If you are committed to really building an in-house capacity for editing, I suggest speaking with your key supporters about why this investment is important and try to get them to underwrite the purchase of the software.

Question from Chris Davies, Weldmar Hospicecare Trust:
We were fortunate to have a film presented for us by a national celebrity, written for us by an Oscar winner (Gosford Park, etc) and produced by professionals - but it was too long for YouTube. I have added it as two halves. But the first half is getting 3 times the views of the second. They have offered to recut it (just needs 1 minute and 30 seconds taken out) but, as it's been there for four months now I'm not sure if this is a good idea. Will it dilute/ruin the impact we have already made?

Mark Horvath:
OUCH, these are great questions. The biggest bang was when it first went up. Unless you are going to promote it again it may not be worth the effort however, if they are offering to recut for free then do it just to have it. Personally, I never like to cut projects in parts. As I type I'd say YES, make it all into one. You'll find a use for it.

Question from Alexia Harris, adult education nonprofit:
It seems like most people are interested in nonprofits that cater to children, pets, or diseases. Do you have any suggestions for getting the public's attention if we don't serve those publics?

How can we use video to talk about the importance of adult literacy/education?

Steve Braker:
The categories you mention might be the most visible, but that doesn't mean your audience isn't out there. As Mark recently said to Katherine, video may or may not be the best vehicle for you. It's a tool to be used within the context of your overall marketing and fund raising.

I think telling genuine, straight-up stories is the best way to really reach anyone on any subject. Build a conversation with the people involved, and back it up with visual stories.

I wish I had the link for you, but there was a segment within the last month on NPR's "The Story" which was absolutely riveting - and they were talking about literacy! It took the story of one adult, in depth, and looked at how her life changed as she learned to read. There's one great example - it could have been audio, print, or video.

Peter Panepento (Moderator):
We're about halfway through today's discussion and I wanted to post a reminder that you can submit questions or comments by clicking on the "ask a question" link on this page and then typing away.

Question from Amy Welsh, The Coordinating Center:
What type of a release do you need from the constituent in the video?

Sara Fusco:
We have a standard release that essentially says the individual understands what the objective is of the video, where it will be shown, how it will be used, and that we are free to edit the footage we collect from them. This should be signed by a parent or guardian if it's a minor, too.

There is also a location release we use that says it's okay to take footage of that space and edit it for those same purposes (mostly for when we collect b-roll).

It can also be extremely useful to get the individual on tape right at the beginning of the interview, with you explaining all of these details, and getting their verbal agreement. That's your safety net.

Question from Rachel, large nonprofit:
What are some of the pitfalls or obstacles I might run into as a part of a very large nonprofit? I'm interested in pitching it to my supervisors, but know I will face some resistance. Do you have any statistics of how online videos have been helpful to groups?

Steve Braker:
I'm afraid I don't have statistics, I just know that organizations are doing more video than ever, and the ones I'm involved in report great success in public awareness, donations, and other forms of support. Just tell them the people doing video say it's a good idea.... One longtime resource for this kind of information has been the Benton Foundation, I don't know what they have now but they have a long history of tracking media trends including nonprofit use. You might also want to check out the Communicators Network, for nonprofit communications people.

Question from Lauren, higher ed:
Do you see video social media site as a good method of online philanthropy? Are there specific organizations doing this well?

Michael Hoffman:
Absolutely! Social media sites are a great way to distribute video online. Of course there is YouTube, but there are also social networks such as Facebook, MySpace and smaller social networks built on platforms like Ning. The key is to map your community online. Where do the people you want to reach go? Start there, and then bring your compelling content to them -- don't make them come to you.

Question from Melissa Hoyos, City University of Seattle:
Could each of you recommend a compelling Web site or video link that you believe is an innovative example of how to use multimedia for fund raising purposes?

Mark Horvath:
Here is my favorite right now:

http://participate.denversroadhome.org/

My friends at URM do a great job and their short videos have made "stories from skid row" in the top 20's on Itune.s

http://www.urm.org

Of course, what I do

http://invisiblepeople.tv

social media release http://pitch.pe/4732

I'm not going for fund raising although there are strong elements. This was not part of the question but one of the reasons I started this is so many nonprofit videos show VICTORY that people detach, they say "wow, look at how great they are, now we don't have to do anything." Hhomelessness is not going away and is getting worse.

The one tip I can leave you with is that in creating a cause fund raising video ,do not leave the viewer thinking you solved the issue.

Question from Melissa Hoyos, City University of Seattle:
Could each of you recommend a compelling Web site or video link that you believe is an innovative example of how to use multimedia for fundraising purposes?

Sara Fusco:
I think American Jewish World Service does great things with video...which you probably read in the accompanying article! (http://www.ajws.org)

And I'll boast a little about our own current campaign (http://www.refugeesinternational.org/iraq-release) that is centered around a take-action and list-building.

I strongly believe that video isn't the magic solution to raise money, but it's one of my best (and favorite!) tools to cultivate and build faithful donors.

Question from Robin Gabbard, Buckhorn Children & Family Services, Kentucky:
We have a great 1- minute video. I would like to have a 1 - 3-minute clip edited from the original and put on our Web site. It tells me that our site cannot handle the video stream. Can you point me to a reputable source where I can learn more about the needs of a Web site handling video and how to upgrade if needed?

Steve Braker:
Robin, I can't speak to your specific technical (or internal affairs) situation, but you may want to seriously consider the social networking sites - specifically Facebook and Youtube. If you won't be doing a lot of video I would currently suggest Facebook, as higher quality video can be integrated into external sites with minimal fuss and almost no branding ("Facebook" shows up for about three seconds on playback). Assuming you aren't on Facebok yet, there's another thing to ponder. It's very well used by the nonprofit community and has features specifically beneficial for nonprofits. Take a look at how some organizations you know are using it.

Steve Braker:
There have been a few questions about DIY video. I'm not a blogger, but in response to a request from Kivi Leroux Miler I did put up a few do-it-yourself video tips here: http://tinyurl.com/bmre6z . It is general and technical and doesn't address the questions of style and approach - which deserve the most attention. You really need to plan out exactly what you want and make sure that it meets your needs and your resources.

Question from Katherine, Mary's Pence:
What is a business-sized DVD? Will people know how to use it? I think the piece I have could go on a Web site, and could also be used at small donor gatherings as a discussion piece.

Michael Hoffman:
I'm not sure what you mean by business-sized DVD, but DVDs can be sent to donors. I think they are best used as part of a facilitated discussion. It often makes sense to do both -- have a DVD for distribution to events and to key donors/board members, etc... and put the video online.

Question from Steve Brand, Ways & Means Productions:
Can you give us a range of typical rates being charged for producing different length videos (30 second spots, 2 minutes, etc) - both for broadcast and for online? I know there can be an enormous variety depending on the nonprofit's operating funds, but any ballpark figures would be helpful. Operative word is typical.

Mark Horvath:
Oh that all depends. You can shop around and get cheap rates but lots of times you get what you pay for. Coming from the church world where staff is usually untrained volunteers and good gar is a hard sale to a pastor you get used to making excellence with a little.

It also varies on what your spot is and how extensive the production will be

To me, more important than price is you need to build a relationship with a media team that GETS your vision. There are lots of "cookie cutter" guys that will give you a rate and produce your spot. But if they cannot properly transmit your message it's a complete waste.

Comment from Jeff, Rainbow Hospice:
Here's The Story segment on Illiteracy that Steve Braker referred to earlier, http://thestory.org/archive/the_story_682_Learning_To_Read.mp3/view

Question from Melissa Hoyos, City University of Seattle:
Could each of you recommend a compelling Web site or video link that you believe is an innovative example of how to use multimedia for fundr aising purposes?

Steve Braker:
There are many, but I would point you to Mark Horvath who is in the room here. I don't know what's going on on the fund raising end, but his invisiblepeople.org makes a very compelling case for L.A.'s homeless people.

Question from Helen, Los Angeles Education Partnership:
How do videos compare if scripted by someone within the organization versus someone from the outside?

Michael Hoffman:
People within your organization know your work better than anyone from outside. And while that's important, it can also be the problem. You are sometimes too close to your issue to explain it to outsiders in the economical way necessary for good video.

When we work with someone it's a partnership. We assume they know their work better than we do, but we also know how to craft stories from the raw material. If you are working only in-house, I suggest showing it to people outside and getting and accepting honest feedback. If you are working with someone from outside, it still has to feel authentic to you, or it won't feel authentic to your audience.

Question from Jonathan Hutson, Physicians for Human Rights:
We posted a great video on our homepage, http://physiciansforhumanrights.org, to address the astronomical cost of health care in Zimbabwe. It's called "Health Care: Zimbabwe's Luxury Item." It's posted on YouTube, and we've promoted it to our supporters via email. The Zimbabwe Times also featured it on their homepage. We've Twittered about it and promoted it via our LinkedIn group. Where else could we cross-promote our Zimbabwe video?

Steve Braker:
That's a very interesting question. As a side note, I put together a piece for an organization in Zimbabwe, but for political reasons it is only shown in person at fundraising events to protect the people in it - no web viewing. I would absolutely make a Facebook page for it, and possibly a Myspace Film page in addition to YouTube. Make sure that you maintain these sites with useful information and make the call to action as easy as possible for viewers to follow. I would embed the YouTube or Facebook (I prefer) videos on your Web page so that they are seen in your own context; Otherwise just make sure that the right links are at hand anywhere the video can be seen. It sounds like you might want a social media person to handle all this if you don't yet.

Question from Jillian DeLaTorre, small nonprofit:
We have three different audiences our videos cater to - how different should these videos be?

Mark Horvath:
These really are great questions. Without knowing any more details then what you have provided, whenever possible target to your demographic. That said, three videos. But then again as I said earlier, maybe one of your audiences would prefer communication via another media. One issue is trying to have a big net to catch everything. The more you can shape your media to target your audience the better your response.

Question from Peter Panepento:
Steve, we've talked a lot today about what makes a good video? What makes a bad one? What are some common mistakes that can doom a video's impact?

Steve Braker:
Hah! Well, we know that shakycam can work, and weird awkward editing can work. The kids these days...

But really, I think what makes bad video (bad print, bad marketing, bad communications...) is lack of a clear purpose that is actually supported by video. Also a lack of understanding of what video is good and bad at. A few statistics won't hurt, but generally people won't remember them. What people remember is the FEELING that they got from the video - a feeling for what the subject or organization does, a feeling of empathy, a feeling that the wallet is weighing too heavily upon the pants. If the feeling is instead "huh? or "ugh" or "yuck", or even "ho-hum", it isn't an effective program.

Question from Amy Welsh, The Coordinating Center:
Any video we produce would be with limited equipment and probably then edited with Windows Movie Maker. Do you have an yguidelines or list of considerations before beginning?

Michael Hoffman:
The most important thing in your case is to have the end in mind before you start. Try to know what you are trying to capture before you shoot so you don't have to do massive amounts of editing. Also, focus on good sound. People forgive bad video, they do not forgive bad sound. Investing in an external/wireless microphone pays off.

Question from Michael Woolworth, The Connection, Connecticut:
Is there any caution against using consenting current clients or graduates in the video? If they recidivate, or backslide, that might prompt us to edit the video with someone else.

Mark Horvath:
ok, if i get this right you are asking if you put a graduate from a drug rehab in a video then the person goes out and uses is there a caution.

yes, you'll know if they are going to make it, but then again. lots of people fail. not because they are bad, it's just life.

i've been in this situation MANY times. usually if we find out the person has challenges we pull it from airing. that does not lesson their story or YOUR story because you helped them off drugs. in fact, it can be a good pitch to donors for more help because this is a serious issue

Question from Melissa, Montana State Univeristy:
I work as a fundraiser trying to raise foundation dollars for programs on campus. Many programs would benefit from online videos to bring attention to the great work that's being done - such as cancer prevention and awareness in tribal communities.

My question is, program officers are overworked and don't have time to do it, everyone's budgets are taxed, so who does it? What have other institutions done?

Sara Fusco:
We've recruited volunteers to put together a handful of videos for us (from local TV stations, students, friends of friends). But more importantly, we've focused a portion of our fundraising efforts on finding foundation money for staff time and outsourced projects.

This is, needless to say, really tough to do when your staff and budgets are stretched already. But making a commitment to build a comprehensive plan to create and use video can bring great rewards. It sounds like you have extremely compelling content that I'm sure a funder would be very interested in helping you create.

Question from Elisa, E.J. Associates:
We are producing a 20-minute documentary-style video for our nonprofit client. We have identified target audiences and are planning how to reach various segments, using the video as a key tool in our marketing/outreach efforts. We are planning campaigns ranging from events to targeted e-mails to Web 2.0. We've established a presence on Facebook and will start there. What are effective ways to get people on social networking sites to watch our video? Also, we haven't used viral marketing yet. How should we approach this?

Michael Hoffman:
I think you have to ask yourself and the client whether the 20-minute video by itself can achieve your goals. When we have a need for a longer form video (20-minutes counts as long-form in a world where the average web video is 1.5 minutes) we often create derivative content from this longer form video. I am sure you have enough content to create a 3-minute version, or better yet, several 3-minute versions that accentuate different aspects of the issue.

These shorter videos will likely get more traction in social networking sites. That is not to say that people won't watch longer video -- they will. The issue of length is what is the right length for the story.

In terms of getting people to watch, you need to have sharing functions built-in -- allowing people to easily embed the video on their own blogs, tell their friends through email, and post to their social networking profiles.

Mark Horvath:
there has always been a big debate about quality vs content. remember the most watched video of our time is the Rodney King video and it was shot on VHS. yes, work hard to have excellence but ALWAYS remember compelling content is what engages and motivates your audience!

Question from Peter Panepento:
Sara, what is the most worthwhile lesson you've learned about spreading your organization's mission through video?

Sara Fusco:
That it's a crowded world of video out there and it takes some hustle to really get your message heard. Creating great content can only get your so far...the success of any type of video campaign relies heavily on your outreach, responsiveness, blog promotion, etc.

Question from Maureen, Conservation Northwest:
How much of a video catalog should be kept? We have been collecting, shooting, and producing video for more than 20 years. Some of the video has no sort of tells as to what is being shown (For example, a shot of a clearcut, but where and when is unknown, or a mountain as the sun sets, or a stand of healthy trees). Should we invest to rip all the video off VHS or batamax tapes we have?

Steve Braker:
That's a tough question, Maureen. From the language it sounds as though you might rather it all just go away. But you know that as soon as they are thrown away or become unplayable, you'll want them. I would suggest getting them at least digitized, and ideally into some higher form than DV (at least DV50). When you do want them, you'll thank yourself for doing this. During the process you can be selective and let things go, or you can save that for later (at a higher digital storage cost). I can recommend a Mac product called Frameline (frameline.tv) for capturing, clipping, applying metadata to your media. I'd b hapy to be more specific in person.

Question from Steve Brand, Ways & Means Productions:
Michael, wonder if you can explicate some more on your answer on using social networking...any specific examples on getting the message out to people through a social network as opposed to having them come to you?

Michael Hoffman:
Sure. The key to social networking is authentic conversations and so building a community on social networks is something that should extend beyond the goals of one particular video or another.

You should start by mapping the community -- where are the people you want to reach? Then make your media portable. Send the embed code to key bloggers in your community of interest, with a good reason for them to view it and use it. Join groups of like-minded people and share the video in those forums. Again, this must be seen as authentic conversation -- which involves listening! -- and should not be seen as just pumping your issue.

There is more information about this in our Guide To Online Video - http://see3.net/guide

Question from Peter Panepento:
Mark, what are some quick tips you can offer nonprofit groups that are trying to produce videos on a tight budget?

Mark Horvath:
i always work backwards. what is the result you want? phone to ring? people to write? people to show up? who do you want to take action?

i've seen big budgets hurt a campaign so just because you have limited resources don't feel less than. look at the solution and not the problem. be creative.

Robert Rodriguez has a great book "Rebel without a Crew: Or How a 23-Year-Old Filmmaker With $7,000 Became a Hollywood Player"

for anyone doing video keep it short, engaging, target your audience, and get it to them FAST. lost of times nonprofits will shoot something and work on it for months and then the urgency is gone

Question from Peter Panepento:
What do you think of nonprofit groups spending big money to create videos for annual dinners and other events? Is this the best use of their resources in today's environment -- or are there more effective ways to produce and distribute video?

Michael Hoffman:
The dinner video can be useful. But if that's where it starts and ends you are missing out.

The dinner video is a product everyone understands and as such can be used to do a lot of production for your organization. The key is to use the raw material to create MANY video products -- for the dinner yes, but also for your website, for your social communities, etc.

A dinner video we did for the American Jewish World Service became 25 different video products. Some needed an additional day or shooting, but many were just repurposed from the raw material. Make sure you get all the raw footage from your dinner video work, and that investment will be much more useful.

Question from Peter Panepento:
Michael, this medium has changed significantly in the past few years. What opportunities do you see emerging for nonprofit groups over the next few years as it relates to video?

Michael Hoffman:
Remember when your organization didn't have a Web site? And then they got one, and it was bad, and people asked "Why do we need that?" It wasn't so long ago.

We are in the same place with video today. The infrastructures of the Web and TV are coming together and so while text content won't go away by any means, the mindshare -- of donors and policymakers and volunteers -- will drift toward those who are telling compelling stories. These stories need to be authentic and transparent (about real challenges and real operations) and they will attract people.

The opportunity is for those to begin building their capacity to move beyond the one video and create a library of images and video and audio that is constantly being repurposed into messages, long and short, for your site and for all of the networks in which your audience lives online.

Steve Braker:
Just want to emphasize what Mark said: "compelling content is what engages and motivates your audience!" That's key. You may or may not need professional help depending on your slills and other factors. But Compelling is really the key word.

Steve Braker:
Steve's windup: There are many many ways to approach a video project. I think the most important things are that you as the producer or collaborator believe in the message, the approach, and your collaborators, and that the project will make the right fit with the organization, other marketing messages, donors, and supporters.

I invite you to connect and continue with questions and discussion after the session: http://worthwhilefilms.com/contact.html

Michael Hoffman:
I want to thank everyone that asked a question today. Online video is here to stay so the main take-away should be GET STARTED!

Two things I want to draw your attention to. The first is the 3rd Annual Nonprofit Video Awards. This is a great opportunity to get some recognition for your work, but more importantly it is a great opportunity to learn about what other organizations are doing that works well. You can find it at http://www.dogooder.tv/contest2009/

The second is the Guide To Online Video - a series of short videos about how nonprofits can use video. This is available at http://www.see3.net/guide/

Peter Panepento (Moderator):
Thank you for taking the time to join us today and a special thanks to our four fantastic guests, who provided some excellent information. I'd like to note that we have a special live discussion scheduled for tomorrow at noon Eastern time on President Obama's proposal to change the charitable deduction for taxpayers earning more than $250,000. You can find that discussion here: http://philanthropy.com/live/2009/03/obama/

Peter Panepento (Moderator):
And as a final reminder, you can read transcripts of all of our previous discussions and get information about upcoming events at http://philanthropy.com/live. Also, you are always welcome to contact me with questions or suggestions at peter.panepento@philanthropy.com. Thanks.

Зроби свій голос почутим: 10 кроків комунікації в третьому секторі

Враховуючи сильну конкуренцію на сучасному ринку, кмітливі громадські організації постійно шукають успішні комунікаційні підходи. До Вашої уваги десять кроків, які ви можете застосувати прямо зараз, аби змінити власний підхід до комунікацій.

1. Зрозумійте, хто ви є. Почніть з виявлення слів та фраз, що характеризують вашу організацію. Що наразі ваш бренд ідентичності - те, чим ви відрізняєтесь від інших, що каже про вас? Які теми виникають, коли вас згадують? Пам’ятайте, що ваш бренд – це набагато більше, ніж просто логотип; це взаємовідносини, які ви маєте зі своїми ключовими аудиторіями. Ці відносини включають в себе всі ознаки – добрі чи погані, що розповідають про історію вашої організації та важливу роботу, яку ви робите.

2. Знайте свою ключову аудиторію. До кого ви звертаєтесь? Хто може допомогти вам досягти свою місію? Аудиторії можуть включати в себе донорів, компанії, політичних чи громадських лідерів, медіа, волонтерів, працівників організації або інші групи.

3. Розмежуйте аудиторії за пріоритетами. Іноді ми хочемо задовольнити всіх, хто взаємодіє з нашою організацією, але коли ресурсів обмаль, ключовим є саме правильна розстановка пріоритетів. Визначте три найважливіші аудиторії й запишіть все, що ви може з ними зробити. Які їхні демографічні показники? Яка їхня мотивація? Потім визначте, що ви хочете, аби робила кожна аудиторія. Яку вигоду вони отримають, долучившись до вашої організації, які цілі на їхньому шляху і як їх можна досягти?

4. Створіть ключові повідомлення (меседжі). Слова та вирази, які ви використовуєте в розмові про свою організацію, є передумовою вашого успіху. Якщо ви знаєте тих, до кого хочете достукатись, створіть теми для розмови, що чітко сформулюють те, що ви хочете, аби робила кожна аудиторія. Також покажіть вигоди від цих дій та мінімізуйте реальні та уявні виклики для членів цієї аудиторії. Можливо, ви також захочете переоцінити свою місію та установчі засади, аби пересвідчитись, що сформулювали вірну місію та бачення вашої організації.

5. Говоріть з ключовими аудиторіями. Створіть перелік ключових зацікавлених осіб (стейкхолдерів), які допоможуть вам виявити потреби, кроки на майбутнє, нагальні дії та сфери вдосконалення стосовно вашої організації. Члени такої аудиторії можуть включати в себе донорів, програмних працівників, керівників правління, наглядових рад та інших. Перед тим як завершити створення меседжів, важливо відповісти на всі питання, що можуть виникнути щодо ваших аудиторій – як внутрішні, так і зовнішні. Не робіть припущень про те, чого вони хочуть: тлумачення ваших меседжів чи своєї мотивації до дій. Розшукуйте членів потенційної аудиторії й діліться своїми думками та ідеями. Ставте їм питання, багато питань! І важливо - слухайте їхні відповіді.

6. Залучайте працівників та членів правління. Сила ваших комунікацій залежить від тих, хто їх здійснює. Будьте впевнені, що кожен член вашої команди, правління та групи волонтерів має чітке розуміння головних тез меседжів і знає, як їх поширювати. Переконайтесь, що кожен чітко розуміє цілі комунікації і не має невирішених питань чи намірів, яких не торкнулися. Розробіть комунікаційний порадник, який можна застосовувати всередині організації, аби забезпечити зрозумілість ваших очікувань щодо того, як має ширитись бренд організації.

7. Чітко висловіть свій меседж. Визначте найкращу маркетингову діяльність задля просування вашої організації. Будьте впевнені, що вона включає вірний підхід задля досягнення ваших ключових аудиторій і місце, де вони отримуватимуть інформацію. Ця діяльність має включати в себе медіа-розповсюдження, пряму поштову розсилку, партнерські можливості та спеціальні заходи.

8. Зробіть кінцевий аналіз можливих перекосів. Переконайтесь, що ви оцінили всі аспекти свого бренду. Чи ваш логотип та підзаголовок (гасло) підтримують той образ, що передається через вербальні та невербальні канали комунікації? Якщо ні, то як (йдеться про інформування щодо бренду, фінанси, час) розробити нові візуальні образи, які краще підтримають імідж бренду, що ви вибудовуєте? Чи ваш веб-сайт, брошура, прес-кіт (статті для медіа, що включають прес-реліз, роздатковий матеріал, додаткові довідки тощо), фірмовий бланк, емейл, листівка чи пропозиція для донорів мають бути вдосконалені задля найкращої підтримки іміджу бренду? Чи вони відповідають потребам кожної аудиторії? Чи вони не суперечать один одному? Переконайтесь, що кожна складова підсилює послідовну комунікаційну платформу.

9. Працюйте як одна команда. Якщо ви вже сформували основу для сильного бренду, який можна презентувати вашим аудиторіям наочно та послідовно, будьте впевнені, що кожен/кожна розуміє його/її роль в досягненні та підтримці успіху організації. І не важливо, чи це прямі послуги, фандрайзинг, організація подій, поточна робота чи відповіді на телефонні дзвінки – кожна особа має знати власну роль в донесенні історії та місії своєї організації.

10. Оцінюйте, оцінюйте, оцінюйте! Важливо оцінювати ваші успіхи та виклики регулярно, аби мати впевненість, що камені спотикання оминаються, успіхи поширюються та розбудовуються, а ключові аудиторії залучаються до роботи. Звіряйтесь зі своїми аудиторіями, що саме спрацьовує, а що потрібно доробити. Будьте чесними щодо необхідних змін і робіть ці зміни. Тримайте ваших працівників та членів правління у відповідальності за власні ролі в успішності організації. Запитуйте зворотній зв'язок та надавайте відповідну підтримку в разі потреби.

Авторка - Джилл Расмусен (Jill Rasmussen), співвласниця компанії Promoting Public Causes, Inc. (PPC) – закликає розширювати цю тему, ділитись думками, історіями досягання успіхів та долання викликів у сфері комунікацій.

Переклад: Антон Альошин

Top 20 companies: Climate change leaders show the way

СlimateChangeCorp.com picks its favourite firms set to inspire others to follow their environmental lead

By Mike Scott

Climate change has gone from being a marginal issue to being at the forefront of business leaders’ minds. The scientific evidence has been growing for years and this year’s IPCC reports appear to have settled the debate about whether man-made climate change is happening.

However, the issue’s move to the centre stage has come about thanks to a range of disparate events, including Hurricanes Rita and Katrina, which devastated the Gulf of Mexico coastline of the US in 2005 and were attributed, wrongly or rightly, to climate change.

Al Gore’s Oscar-winning film An Inconvenient Truth brought the subject to a mass audience, while The Economics of Climate Change by Sir Nicholas Stern, helped explain why action now was vital, rather than leaving future generations to deal with the problem.

The establishment of the European Union’s Emissions Trading Scheme, also in 2005, is starting to focus minds on the cost of carbon, but there is a case for saying that it was another event in the same year that really focused the minds of the business community – the launch of GE’s ecomagination initiative.

When a company as focused as GE announces that there is money to be made in providing environmental solutions, other companies sit up and take notice.

The companies highlighted in the following pages cover a range of economic sectors, illustrating that the climate change challenge is one that affects every section of the business community.

They are by no means the only companies in those sectors that are taking action, but they have all taken a lead on the basis that early action is not only vital for society as a whole but for the future performance of their business.

The opportunity picks show that it is not just the big beasts that are taking action – many of the most interesting and innovative technologies are emerging from smaller companies and some of the biggest growth stories will come from there, too.

The list also demonstrates that climate change benefits do not just come from the obvious areas such as wind turbines. Demand for products as diverse as high efficiency ball-bearings, ‘smart meters’, low energy computer monitors, financial services and household goods is driven by climate change.

ClimateChangeCorp.com’s top twenty climate friendly companies, large and small:

1) Oil and gas

Leader: Statoil

Ranked the top oil and gas company in the Dow-Jones Sustainability Index, the Norwegian oil and gas company has been storing CO2 from its Sleipner West field in a saline aquifer under the North Sea since 1996, in response to Norway’s introduction of a CO2 tax.

The Norwegian government’s 70% stake and policy that the country should be carbon neutral by 2050 are significant drivers in Statoil’s environmental efforts. The company aims to cut its CO2 emissions by 1.5bn tonnes a year by 2010.

It has invested $12.5m in the World Bank’s Community Development Carbon Fund, which provides finance to projects in the poorer areas of the developing world. In Sweden and Norway, it sells biofuel blends at its petrol stations.

Opportunity Pick: Cosan

Brazil’s largest sugar and ethanol producer is set to raise up to $2bn on the New York Stock Exchange and is expected to scale up production and accelerate acquisition activity in Brazil and Central America, leaving it well-placed to profit from explosion in demand for biofuels.

Sugarcane is a far more effective feedstock for ethanol than the corn that is used in the US and tariffs on Brazilian biofuels in Europe and the US are likely to come down over the long term.

Brazil has by far the most developed biofuels market in the world and the land to expand production to meet demand. The company says that cellulosic ethanol technologies will be more effective for sugarcane bagasse (the waste product from producing sugar) than for corn, further boosting the economics of its product.

2) Power generation

Leader: Iberdrola

The Spanish utility is the world’s largest provider of renewable energy, and has grown rapidly in recent years through acquisition, most recently buying Scottish Power earlier this year.

It has more than 44GW of renewable assets at different stages of development, 95% of it wind power. Most of its current capacity is in Spain, but its pipeline is strongest in the UK, the rest of Europe and, principally, the US. It also has biomass, solar and mini-hydro capacity.

Opportunity Pick: Ocean Power Delivery

A Scottish wave power company, OPD has leapt ahead of its rivals in attempts to bring its devices to market. Three of its Pelamis devices, which use the motion of the waves to drive hydraulic rams and produce energy, are being deployed in the world’s first commercial marine energy project in Portugal, and four machines are set to be installed in Orkney in a Scottish Power-funded project that will be the world’s biggest commercial wave project.

There are also plans for seven Pelamis machines Wave Hub, off the coast of Cornwall, which should be up and running by next year.

3) Retail

Leader: Whole Foods Markets

Despite the controversy over co-founder John Mackey’s e-mail comments about the company’s closest rival, which it wanted to buy, Whole Foods is going from strength to strength.

The company is surfing the wave of ethical consumerism both in the US and, with the opening of a flagship food hall in London, spreading into the UK, whose organic market is predicted to be worth £2.4bn by 2011.

It is committed to buying as much locally-grown seasonal food as it can, to reduce food miles and encourages reduced packaging and energy conservation. It also composts its food waste, cutting the amount it sends to landfill, its new stores are built with green building techniques and its fleet is being converted to biodiesel.

Opportunity Pick: Waitrose

The employee-owned UK supermarket chain focuses on locally-sourced produce, selling more than 1,200 products from within a 30-mile radius of its stores.

The company grows produce on its own farm in Hampshire, which is partly powered by wind and solar power and certified to LEAF (Linking Environment and Farming) standards and grows its own feedstock for biofuels.

It has initiatives to reduce the number of miles driven per £million sales and supports research into community renewables initiatives. It has committed to cutting its CO2 emissions by 10% by 2010, from 2001 levels through a carbon management programme.

4) Transportation

Leader: MTR Corp

MTR operates Hong Kong’s mass transit railway system. It is set to merge Kowloon-Canton Railway Corp and has won a profile-lifting seven-year deal to help operate a new London rail service that will be a vital link for the 2012 Olympics.

In Hong Kong, an eight-year, HK$2bn platform screen doors (PSD) retrofit programme in all its 30 underground stations contributed to a 15% cut in energy use from 2002-2005. The installation of regenerative braking systems, an automatic control system that drives trains at optimum energy usage and monitoring of individual carriages to optimise air-conditioning has also cut power use.

Opportunity pick: Johnson Matthey

The company supplied platinum to Sir William Grove, inventor of the fuel cell, in 1839. Since then, it has become the world’s largest supplier of catalysts and components for fuel cells and is one of the companies best-placed to profit from the hydrogen economy when it eventually arrives.

It is also the biggest maker of catalysts to control emissions from vehicles, supplying one third of all catalysts ever made and a leader in catalysts that reduce volatile organic compound emissions from industrial processes.

Its CRT system can be retrofitted to diesel engines in buses, trucks, trains and stationary applications.

5) Engineering

Leader: SKF

The Swedish company is the world’s largest rolling bearing manufacturer. Its bearings reduce the friction involved with rotation and movement and therefore reduce energy consumption.

As industry strives to reduce energy consumption SKF is likely to see increased demand for its products, which are found in everything from oil refineries to in-line skates to the A-380, the world’s largest airline.

Its bearings can also be found in solar panels and wind turbines and its drive-by-wire products cut energy use and pollution by replacing hydraulic and mechanical processes. The company has a target of cutting its own emissions by 5% every year.

Opportunity Pick: Westport Innovations

Canadian company Westport Innovations has developed a mechanism for running diesel engines on directly injected natural gas.

The technology offers significant reductions in emissions, nitrogen oxides and particulates, compared to conventional engines. The company believes natural gas vehicles provide the bridge from petroleum to hydrogen.

Hydrogen-enriched Compressed Natural Gas (HCNG) improves combustion and offers a viable path, using readily available commercial vehicles, towards the eventual goal of pure hydrogen fuel, as well as offering immediate and material environmental benefits over even natural gas.

Its products are used in heavy-duty and light trucks, buses and passenger cars.

6) Household Goods

Leader: Unilever

One of the world’s largest household goods and food producers, Unilever has reduced CO2 emissions in its manufacturing operations by more than 30% over the past decade in absolute terms.

In 2006, it sourced 14.8% of its energy from renewable sources, of which 8.2% it generated itself. The company has installed video-conferencing facilities in five regional offices to help reduce business travel.

It has introduced ice-cream cabinets that use hydrocarbon (HC) refrigerants instead of CFC or HCFC gases. HC cabinets use up to 9% less energy than older technologies and HC refrigerant does not increase the concentration of greenhouse gases.

Opportunity pick: Ecover

The Belgian company offers phosphate-free cleaning products based on environmentally-friendly ingredients and produced using low-energy manufacturing processes at its eco-factories – it has just opened its third plant in Boulogne to cope with increased demand.

Because the company’s products use plant and mineral-based ingredients rather than fossil-fuel-based chemicals, their total carbon footprint is much lower than traditional cleaning products and they are biodegradable.

7) Financial Services

Leader: HSBC

The world’s third-biggest bank was the first to announce it would go carbon-neutral. It has introduced a range of energy efficiency measures, buys renewable electricity and offsets the emissions it cannot remove.

The bank has launched a $100m partnership on climate change with The Climate Group, Earthwatch Institute, Smithsonian Tropical Research Institute and WWF and Sir Nicholas Stern, author of the seminal report The Economics of Climate Change, has joined the bank as an adviser on its investments..

It has also introduced a global energy efficiency programme that will enable HSBC offices worldwide to showcase environmental innovation and share best practice.

Opportunity pick: Triodos

Netherlands-based ethical bank Triodos, which also operates in the UK, Spain and Belgium, was one of the first institutions to invest in wind power in the 1980s, after the Chernobyl nuclear disaster, and solar power in the 1990s.

Triodos Climate Clearing House, a clearing house for CO2 emission credits, processed its first transactions in 2001. It has invested in companies involved in wind, recycled heat, small-scale hydro-electric power – one of its most recent investments was in Marine Current Technology, which is working to develop the world’s first commercial tidal power scheme.

Triodos also offers customers the opportunity to invest in renewable energy projects through its Renewables Fund.

8) Construction & buildings

Leader: Lafarge

Cement production is one of the biggest emitters in industry, responsible for 5% of all emissions. Lafarge was one of the leaders in establishing the World Business Council for Sustainable Development’s Cement Sustainability Index.

It has committed to a 20% cut in net emissions per tonne of cement worldwide and a 10% cut in absolute emissions in industrialized countries by 2010, from 1990 levels.

Lafarge has also committed 11% of its R&D budget to carbon capture and storage and employs a range of energy efficiency measures including using materials ranging from rice husks to bone meal to scrap car tyres to heat its kilns.

The company aims to secure 14% of its fuel from alternative fuels by 2010.

Opportunity Pick: Itron

With buildings responsible for 40% of carbon emissions, there is a real focus on the sector’s energy performance. Itron is a ‘smart-metering’ company that allows remote meter reading.

Smart meters not only allow utilities to improve efficiency and improve demand response, they can also help consumers manage their domestic energy consumption more effectively.

The meters are vital in tracking energy distributed by micro-generation and sold back to the grid. With an increasing focus on energy efficiency, energy security and distributed generation, the demand for smart metering is likely to be strong and Itron has 50% of the market.

9) Electronics

Leader: Sharp

The Japanese consumer electronics giant is committed to reducing the environmental impact of all of its products including energy consumption during use. It has a target of 40% of its Japanese sales being from green products by 2010, by which time it also aims to be carbon-neutral.

The company’s Japanese manufacturing plant is one of the most environmentally advanced factories in the world. Its ‘Green Seal’ range of high efficiency products includes its range of LCD televisions, which have received the coveted EU Eco-label.

In addition, it is a world-leading producer of solar cells, which it has been producing for 45 years.

Opportunity Pick: Delta Electronics

Taiwan's Delta Electronics makes power management components for PCs, helping to make PCs more energy-efficient as well as providing low-energy visual display units.

As a supplier to companies including Dell, HP, IBM, Intel, Microsoft, NEC, GE and Sony, it is well-placed to benefit from the increased attention on the electricity use of computers.

Its subsidiary DelSolar makes solar cells and is set to expand production to 100MW per year by the end of 2007. Other energy efficiency or environmental products include electronic ballasts, mercury-free displays, AC motor drives, inverters for renewable energies, and fuel cell components.

10) Vehicles

Leader: Honda

While Toyota’s Prius hybrid has taken most of the plaudits, its Japanese rival, which has its own hybrid range, is rated the greenest vehicle maker overall by the Union of Concerned Scientists in the US.

The company has demonstrated a fully-functional fuel cell vehicle, has a hydrogen production and refuelling station at its Los Angeles research unit and is introducing a clean diesel car to the US in 2009, offering lower emissions of both CO2 and particulates.

The company is working on new technology to produce ethanol from soft biomass, including waste wood and leaves, and has a unit that sells thin-film solar cells.

Opportunity Pick: Tanfield

Tanfield’s subsidiary, Smith Electric Vehicles a former milk float maker, is the world’s largest manufacturer of road-going commercial electric vehicles.

Its zero emission trucks and vans can travel at up to 50mph and have a range of 150 miles, making them ideal for commercial fleets within a closed environment, such as airports or with defined routes, such as supermarket home delivery services.

It has won orders from Marks and Spencer, J. Sainsbury, logistics company TNT and Scottish & Southern Energy.

Sales have doubled every year since 2004. The company is building a plant in the US that can produce 1,000 vehicles a year and expects to open another by 2009 that will lift US capacity to 5,000 vehicles a year.