The purpose of this module is to point out to artists the form of project financing. This module also wants to explain more about fundraising ideas, the importance of developing fundraising strategies and planning for completing the project and fulfilling its mission and goals.
By the end of this module, you should be able to...
The largest number of artistic projects are financed by the State, City or Municipality.
Institutional organisations have a mixed funding model. They are funded from the budget and/or by sponsors.
Independent organizations are funded by their own funding methods (grants, donations, crowdfunding…)
Forms of financing
Self generating income (selling products, tickets, renting a hall, organizing guest appearances or fundraisers)
A donation is a gift that provides financial support to the theater without any request of service.
Sponsorship means giving financial resources to the organization and asking for the certain compensation.
Applying with the project idea to foundations’ open calls.
Cultural organizations also organize donor evenings to the business sector for promoting their product to provide grants.
Which strategies would you apply for funding your project?
The fundraising process or fund-raising is the process of seeking and gathering voluntary financial contributions by engaging individuals, businesses, charitable foundations, or governmental agencies.
Although fundraising typically refers to efforts to gather money for non-profit organizations, it is sometimes used to refer to the identification and solicitation of investors or other sources of capital for for-profit enterprises.
It is important to find as many sponsors and support as possible in money or in-kind.
Traditionally, fundraising has consisted of asking for donations through face-to-face fundraising, such as door-knocking. In recent years, though, new forms such as online fundraising or reformed versions of grassroots fundraising have emerged.
For sponsors it is important to be socially accepted. That is one of the reasons why they enter the theater.
In the last ten years, banks have been investing funds and becoming sponsors of the theatre season.
Creating the financial plan
Setting the real budget and allocation of funds. The financial plan is a set of all the costs and expenses of a project.
Finding sponsors will strengthen your contacts and communication skills.
Donor evenings will allow you to promote your project.
Stephen Stacey - Social Media Manager at Wootton George Consulting
The influence of organizational culture on fundraising is an issue rarely discussed in our sector but in these challenging times, it may make the difference between success and failure. Whether you are raising funds in a national charity, a hospital or a small local charity, the culture in which you operate will to a considerable extent determine what you can achieve. In other words, your success as a fundraiser will in part be defined by how the culture works for you or against you.
What Determines Fundraising Culture?
So, what is it that determines the fundraising culture of an organization? It is linked to things like: The age and size of the organization; How long fundraising has been carried out; The status of fundraising within the organization (e.g. valued versus tolerated); The extent to which fundraising is “owned” across other functions; The internal decision making processes (e.g. bureaucratic and slow versus quick and lean); The involvement or otherwise of those at the top; Whether trustees understand fundraising or not; Attitudes to risk and innovation; The balance between empowerment and control of fundraising staff; The willingness to invest for the future (or not); Whether fundraising is represented at senior management level or not.
Step 1 – Research
Step 2 – Brainstorm
Step 3 – Share
Step 4 – Celebrate
Benefits – Identify your fundraising methods
Community-Business Partnerships (Sponsorships)
Theaters are increasingly organizing donation
evenings to raise money
Potential sponsors can meet their artists at
Adapting to the Art Market
Acquiring knowledge in the field of management
Independent production calculation.
Independent management of phases of projects work.
Developing of negotiation skills.
Creative approach to fundraising
Conduct market research
Conduct market research with members, friends, etc., collecting their good ideas and examples of what has worked to raise money.
Developing independent projects.
Expanding contacts and partner networks.
Creating a platform for future events.
The possibility of making money and travel.
Creating different and new theatrical forms.
Moving the boundaries of performing arts.
1 – Step 1
Make a list of expenses of one theater play. Determine the amount of fees of the authors team. Determine the cost of costume making, scenography and renting the space and all necessary cost for your production.
2 – Step 2
Determine how much money you need for the project.
Determine again resources for each element of the project.
3 – Step 3
Make a list of all sources of funding.
Make a list of potentially obtained funds.
Consider whether your project is realistic and feasible.