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1. Build and nurture supporter relationships
As a board member, one of the most meaningful contributions you can make to the organisation's private investment goals is building supporter relationships. Use your skills, expertise and network to:
- introduce prospective supporters
- nurture relationships
- encourage giving.
Record your interactions with donors
Organisations often use tools or systems to manage donor engagement and relationships. Recording interactions is especially important when multiple people are in contact with the same donor. It gives everyone visibility.
Advocate to use recording tools if your organisation doesn't have them.
2. Provide input into the private investment strategy
Boards are responsible for the strategic oversight of private investment activities.
As a board member, use your skills and expertise to ensure the private investment strategy:
- balances short-term viability with long-term direction
- includes an income mix that’s intentional
- has private investment targets that are realistic and aligned with strategic priorities, resources and capacity.
Make private investment a standing agenda item
Private investment should be a standing agenda item at board meetings.
Advocate for clear and high-level reporting to help your strategic oversight and decision-making.
3. Communicate the case for support
Get familiar with your organisation’s case for support. When you understand it you can:
- communicate it confidently and explain why private investment matters
- advocate for the organisation in different settings
- help inspire potential donors to give and businesses to partner.
Your board, executive leadership and fundraising lead should be aligned on the case for support. That way supporters hear a clear and consistent message about the organisation and why their support matters.
As a board member, you should be able to speak about:
- the organisation’s case for support
- current private investment projects and priorities
- why you’re personally involved with the organisation and why its work matters to you.
You do not need to repeat the case for support word for word. Speaking about the organisation in your own words brings authenticity to your message.
What is a case for support?
Understand what's in a case for support so you can get involved or advocate for your organisation.
Creating a case for support that will turn doubters into donors
Learn how to create a compelling case for support – one that helps people understand your work and encourages them to give. This webinar shares fundraising ideas, messaging techniques and practical tools for building long-term support.
4. Make sure private investment activities are resourced
Effective private investment activities and strategies need appropriate resourcing. In other words, it takes money to raise money.
As a board member, you can advocate for having adequate private investment resourcing and ensure there is appropriate budget allocated.
Resources needed for private investment
- Staffing: salaries and associated costs for dedicated fundraising or development roles.
- Systems and technology: can include Customer Relationship Management (CRM) systems, prospect research tools and digital donation platforms.
- Campaigns and communications: includes design, content, printing, advertising and digital promotion costs.
- Events and supporter engagement: such as venue hire, catering and entertainment for supporter events, hospitality for supporter engagement visits, travel and accommodation costs if required.
- Business partnership delivery: includes the costs of delivering agreed benefits or partnership activations.
- Training and professional development: such as conference registration, travel and accommodation, workshops and online training costs.
5. Manage risk and ethical decision making
Boards are obligated to manage risks. This includes the potential reputational, legal or ethical risks in funding sources or activities.
As a board member, advocate for clear documentation about managing these risks. For example, a policy document about receiving gifts.
Keep risk management up to date
Private investment should be in your risk management processes. Risk settings can change quickly, such as:
- sector conditions
- community expectations
- economic factors.
Make sure your risk processes are regularly reviewed to reflect any changes.
Understand and manage ethical risks
Different types of private investment can have different ethical risks.
Ethical risks and considerations for private investment
Use these guides as a starting point to consider ethics and protect your organisation’s reputation.
