Fundraising: It's All About 'I' (Integrity, That Is)
Knowing your organization's overhead is essential. This can be calculated from the 990 (add total management and general expense + total fundraising expense, and divide that sum by your total revenue). If it seems high, do some fact-checking. What is the overhead of your competitors? Is there a reason for a higher overhead (i.e., your organization was paying down a mortgage or launching a new program)? Is your overhead reasonable considering mitigating factors that you need to consider? Being able to address a donor's concerns means always being prepared, so make sure you understand this important measurement.