Guest Blogger: Amy Lewis is currently completing her Bachelor of Communications-Public Relations Degree at Mount Royal University with an anticipated graduation Summer 2010.  Amy has diverse range communication experience.  Including marketing, media relations and, event planning. For her first internship Amy held the position of marketing coordinator for WorldSkills Calgary 2009.  Amy enjoys exploring the variety of options that Marketing and Public Relations presents. 

Things as of late are looking pretty good, the housing market is in recovery, the economy is beginning to rebound but it wasn't that long ago that we were all crying the sky is falling. Everything appeared to be doom and gloom.

People were fearful of investing, donating, doing just about anything. With the current upswing of the economy I think its time we shed our chicken little's and begin feeling confident in the choices we make.

Are you a Chicken Little donor? Are you skeptical how your hard earn money will be used? Heard one to many donor horror stories? If you've answered yes to any of those questions, here are some tips to donating with confidence:

1. Don't be afraid to research, Google has made it incredibly easy to find information on just about everything and anything.

2. Pick a cause or organization that resonates with you personally.

3. Decide how you plan to give, the frequency and amount. Do you plan ongiving locally, nationally or internationally?

4. When in doubt ask questions. Talk to friends, family, experts and even the charity in question. For the most part, charities want to be accountable to their donors. 

5. If you are not satisfied or feel uncomfortable don'tmake that charitable investment.

Don't be afraid to talk to the potential recipient about concerns, or to ask them questions. Below is an except from a post Gena (Dexterity Consulting, President) has created of with some basic questions you may want to ask a charity before investing:

1.     Has the agency adopted the Code of Ethical Fundraising (see Resources on this site for a copy) developed by Imagine Canada

2.     Can the agency provide you with two years audited financial statements?  You want two years (preferably three) because you need to compare growth in both revenue and expenses.

3.     Who is on the Board of Directors?  What are their terms?  Does the Executive Director have a vote? Are any ofthe Board Members financially compensated?

4.     Where does the core funding come from?  How longis that funding in place?

5.     Does the agency have a strategic plan?  How often is it reviewed?  How is the organization measuring itself against the plan?

6.     What percentage of the operating budget goes to the highest paid salary?  How many paid staff is there?

7.     How much does it cost to raise a dollar?  You mightwant to take the following measurements into consideration: 40% of Executive Director's salary, 100% of Fund Development staff salary, 50% of marketing/communications budget and 5-7% of general overhead expenses (rent,phone, etc.).  Under the Donor Bill of Rights written by the Association of Fundraising Professionals, as a philanthropic investor you have the right to know this information.  A copy of the Donor Bill of Rights can be found in the Resources section of this website.

8.     Finally, and probably the question you are most interested in knowing the answer to, how will this agency invest your money?  How many people will be helped, animals saved, programs delivered,etc.