Fundraising is often seen as an exercise in constantly seeking more resources. However, one of the most crucial skills for a fundraiser is knowing when and how to say no. Let’s explore why and how establishing healthy boundaries can strengthen your organization in the long term.
1- The Hidden Consequences of a “Accept Everything” Approach
Systematically accepting all funding opportunities might seem tempting, particularly during times of economic uncertainty. However, this approach carries significant risks:
- Mission dilution: Funding with overly specific conditions can force you to deviate from your primary objectives. For example, an environmental organization that agrees to modify its project evaluation criteria to satisfy a donor risks compromising its real impact.
- Team burnout: The multiplication of reporting requirements, sometimes contradictory between different donors, can create excessive administrative burden. This diverts human resources from fieldwork and can lead to professional exhaustion.
- Loss of independence: Over-reliance on funding from a single source can create dangerous dependency and limit your ability to make autonomous strategic decisions.
2- Three Inspiring Examples of Strategic “No”
a. Doctors Without Borders and European Funding
In 2016, MSF made the historic decision to refuse funding from the European Union and its member states, representing approximately 63 million euros annually. This decision followed the EU-Turkey agreement on migration flow management, which the organization deemed contrary to its humanitarian principles. Despite the significance of these funds, MSF chose to preserve its operational independence and ability to denounce policies it considers harmful to vulnerable populations.
b. The Body Shop Foundation and L’Oréal
In 2006, when L’Oréal acquired The Body Shop, The Body Shop Foundation chose to end its collaboration with the company. The foundation feared that L’Oréal’s practices regarding animal testing would compromise its core values. This courageous decision allowed the foundation to maintain its integrity, even though it meant giving up a major source of funding.
c. Greenpeace and the Systematic Refusal Principle
Greenpeace has institutionalized a policy of refusing any funding from corporations or governments. This radical position allows it to maintain complete independence in its campaigns and advocacy actions. The organization relies exclusively on individual donations, which strengthens its credibility when denouncing questionable environmental practices.
3- How to Evaluate When to Say No: Practical Guide
a. Establish Your Criteria in Advance
- Clearly define in writing your ethical red lines and exclusion criteria
- Involve your board of directors in this reflection
- Communicate these criteria to your teams to ensure consistent application
b. Analyze the Overall Impact
Before accepting funding, ask yourself these essential questions:
- Is the management cost (reporting, monitoring) proportionate to the amount received?
- Do the imposed conditions respect your operational autonomy?
- Is the source of funds consistent with your values?
- Are there long-term reputational risks?
c. Prepare Your Response
- Carefully document the reasons for your refusal
- Remain professional and courteous in your communication
- If possible, propose alternatives or redirect the donor to other more suitable organizations
Conclusion
Knowing when to say no in fundraising isn’t a luxury: it’s a strategic necessity to ensure the sustainability and impact of your organization. This skill requires courage, but it’s essential for building healthy relationships with your donors and preserving the integrity of your mission. By establishing clear criteria and applying them with discernment, you will strengthen stakeholder trust and contribute to more ethical and effective philanthropy.
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