What are effective strategies for building relationships with distant funders?
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Fundraising from distant funders can be difficult, especially without the chance to meet them in person and build trust. Fortunately, there are some powerful strategies that can help you bridge the gap of distance and create meaningful relationships with potential and existing donors. This article will discuss how to research your funders and tailor your communication, use technology to your advantage and create engaging content, follow up and show appreciation, seek feedback and learn from mistakes, and collaborate and network with other organizations.
One of the first steps to building relationships with distant funders is to do your homework and learn as much as you can about them. What are their goals, values, interests, and preferences? What are their funding criteria, deadlines, and processes? How do they like to communicate and receive information? By doing your research, you can tailor your communication to match their needs and expectations, and show them that you understand and respect their perspective. You can also use this information to identify common ground and points of connection, such as shared values, vision, or mission.
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Danielle Patterson
The plug to Family Offices 🔌 If you’re raising capital or a UHNWI building a legacy, Family Office List is #TechThatConnects 🎯
Understanding the audience you are trying to engage is mission critical. No one likes feeling pitched to and if you haven’t taken the first step of putting in the effort to understand investor preferences, you might as well give up. Knowing what value you can bring to the table based upon your research will position you for value-add communication. Seek to give before you ask. Learn a way, weather through social media support or engagement how you can first help them.
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Jakob Lundvall
Video Producer 🎥 Fundraising for Start-ups, Scale-ups and Growth Companies
Most founders start their investment journey from themselves, and not from their investor. This is the best way to get off track, because you aim wide in order to reach small. Its a horrible strategy. Instead, begin from your target investors perspective, and lead them back to you.
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Another key strategy to building relationships with distant funders is to use technology to your advantage and create engaging content that showcases your impact and value. Technology can help you overcome the limitations of distance and time, and allow you to communicate with your funders in various ways, such as email, phone, video, social media, or webinars. However, you need to make sure that your content is relevant, clear, concise, and compelling, and that it captures the attention and interest of your funders. You can also use multimedia elements, such as photos, videos, infographics, or testimonials, to make your content more appealing and memorable.
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Danielle Patterson
The plug to Family Offices 🔌 If you’re raising capital or a UHNWI building a legacy, Family Office List is #TechThatConnects 🎯
I like to think of technology is my magnet. If I put my authentic self out there for the world to see in speak from the heart, it will attract the right people. I always seem to engage and add value versus posting achievements are trying to teach people things. This engagement opens up meaningful conversation and allows everyone within my network to gain value and insights. I further leverage technology through our Family office platform to organize the data so making it easily to identify well-suited funders based on their unique characteristics.
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Jakob Lundvall
Video Producer 🎥 Fundraising for Start-ups, Scale-ups and Growth Companies
Most marketers will tell you to do it all, I highly recommend the exact opposite. Keep it simple, easy and tailored made for your investor where he is. Remember, the goal isn't to create content, but to secure an investment.
A third strategy to building relationships with distant funders is to follow up and show appreciation. Following up is essential to maintain the contact and interest of your funders, and to demonstrate your professionalism and accountability. You can follow up by sending thank-you notes, progress reports, updates, invitations, or newsletters, depending on the stage and nature of your relationship. Showing appreciation is also crucial to express your gratitude and recognition for your funders' support and contribution. You can show appreciation by sending personalized messages, cards, gifts, or acknowledgments, or by highlighting their impact and success stories.
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Danielle Patterson
The plug to Family Offices 🔌 If you’re raising capital or a UHNWI building a legacy, Family Office List is #TechThatConnects 🎯
Maintaining a constant line of communication is key as you never quite know when the timing might be right. Showing gratitude for each prospects time is a winning strategy as they receive lots of communication and this extra touch point will show your respect. You always want to be mindful of their time, but consistent in periodically checking in.. seek to find unique ways where it’s not just about some thing you need, but rather some thing you can offer or even better, something personal that clicked between the two of you. These thoughtful gestures go far as long as they are from the heart. I’m a naturally empathetic person, so it’s easy to put myself in others shoes and think how I would like to be communicated with.
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Jakob Lundvall
Video Producer 🎥 Fundraising for Start-ups, Scale-ups and Growth Companies
Relationships are the way to grow your startup. Just as you build relationships within your team to create a healthy company, and relationships with your customers to create a healthy customer base, so you must build relationships with your investors.
A fourth strategy to building relationships with distant funders is to seek feedback and learn from your mistakes. Seeking feedback is a way to show your funders that you value their opinion and input, and that you are willing to improve and grow. You can seek feedback by asking questions, conducting surveys, requesting testimonials, or inviting comments. Learning from your mistakes is also important to show your funders that you are honest, transparent, and resilient, and that you can overcome challenges and learn from them. You can learn from your mistakes by admitting them, apologizing for them, explaining how you fixed them, or sharing what you learned from them.
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Danielle Patterson
The plug to Family Offices 🔌 If you’re raising capital or a UHNWI building a legacy, Family Office List is #TechThatConnects 🎯
Not every person you speak with will be a great partner. Respectfully understand this and seek feedback so that when the right investment partner comes your way, you will be better versed. Even if there was nothing you could do to improve your communication, simply knowing why someone said no will help you find a better matched prospect. Remember, set backs are just a learning lessons to make you stronger.
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A fifth strategy to building relationships with distant funders is to collaborate and network with other organizations. Collaborating and networking can help you expand your reach and visibility, and create opportunities for mutual learning and support. You can collaborate and network with other organizations by joining or creating coalitions, alliances, or partnerships, or by participating in events, forums, or webinars. By doing so, you can also showcase your credibility and reputation, and increase your chances of getting referrals, endorsements, or introductions from other organizations to your funders.
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Danielle Patterson
The plug to Family Offices 🔌 If you’re raising capital or a UHNWI building a legacy, Family Office List is #TechThatConnects 🎯
It’s amazing how one door often leads to another. When you lied from a place of generosity, people want to get back to you. They often will introduce you to others that may have the solutions you’re seeking. Constantly have an open mind and don’t be afraid to ask for opportunities to be included in future events. When you put yourself out there and continuously show up, great things are bound to happen.
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Wandia R. Mukaburu-Mutura
Programme Management: ▶Working hand in hand with GoK and NGOs to spearhead programmes focused on Improving health, livelihoods for communities, towards attaining sustainable development.
Being present is crucial as you network, you may realize that your organization's input was "just the missing link" to the needs of the potential funders.