From the start, we have placed particular emphasis on culture. We understand the needs of cultural organisations as well as their desire to preserve their programming freedom within the context of private funding.
Cultural funding issues
The government's time-honoured contributions have democratised access to culture. Today, the public takes this access for granted. Since the State has gradually withdrawn its management and funding of culture, cultural organisations have dreamed up various ways of finding new funding sources, while ensuring access to their cultural events.
The cultural sector is facing a peculiar paradox: it must obtain an increasingly large portion of its funding from the private sector, whose interests may appear to be in conflict with their own. However, in the United States, philanthropy is entrenched in cultural mores and represents a significant portion of funding for symphony orchestras, ballet companies, literary institutions, and more. Thus, private funding does not restrict programming any more so than public funding, as State officials are just as biased by their own values and preferences.
Solutions to increase funding for cultural organisations
To increase their funding, cultural organisations can:
- Turn to private funding (patronage)
- Increase their customers' entrance fees
- Sell goods and services: room rentals, merchandise, sale of collections, etc.
Increasing entrance fees to cultural services has significant limitations. It restricts the public's access to services and generates only a slight increase in revenue. Selling goods and services is a more profitable approach. It is aimed at a clientele that is familiar with philanthropy, and it often generates greater revenue.
As an additional source of funding, philanthropy offers great development and growth potential for cultural institutions. It allows orchestras to build new concert halls, museums to open new exhibit rooms, etc. This funding approach is still underused, especially in Europe, and it is likely to become increasingly popular.
Assets of the cultural sector in philanthropic funding
The cultural sector has unquestionable advantages when it comes to philanthropic funding. For example, it has a nearly infinite and particularly diversified network of donors. Not only can it receive donations from major sponsors, but it can also count on the support of the general public and the contributions of a significant number of minor donors.
For cultural organisations, it is easier to publicly acknowledge their gratitude to their donors thanks to the excellent visibility that their events provide. This visibility benefits donors as well as their clients and partners, who can participate in the events organised by cultural organisations.
Culture has become an important issue for donors, great philanthropists, and individual benefactors alike. The brand image and prestige of their companies often depend on it, as does the cultural reputation of their city, region or country.
How cultural organisations can develop fundraising
- Establish a long-term relationship with subscribers and "friends."
- Develop close ties and build partnerships with businesses and other institutions.
- Involve all the parties in the development process.
- Promote a culture that is conducive to philanthropy and set the pace.
- Professionalise the management of fundraising campaigns.
- Design customised communications tools to better solicit donors.
- Invest the money needed to implement effective campaigns.
Please consult our list of SERVICES to find out more about how to fund your cultural mission.