How do nonprofit consultants get paid?
A fundraising consultant like Team Kat & Mouse can be a tremendous asset to your nonprofit, but, like almost all good things, consultants come with a cost or an investment in the case of a great consultant. But always remember, building a solid relationship with a fundraising consultant can set up your nonprofit for long-term success that goes beyond the scope of your contract.
There are three main ways that a nonprofit consulting firm like Team Kat & Mouse will work with your nonprofit
Project fee is a fixed payment for a project within a defined period, with specific deliverables. For example, a nonprofit may pay a flat fee for a consultant to create a case for support, execute a board retreat, or write a specific grant application.
Retainer — A retainer fee is an upfront, recurring charge for more extensive, long-term projects. A nonprofit may pay a monthly retainer fee for a consultant’s help throughout a capital campaign or ongoing training and coaching.
Hourly — An hourly fee is usually paid to consultants for simple projects that don’t require much time or involvement from the fundraising consultant. For example, a nonprofit may pay an hourly fee for weekly coaching or research, or writing of grants.
Some professional fundraisers will choose to be paid a percentage of the money they raise. This is often frowned upon as it puts donor intent in question (does the donor want their funds going as commission?)
Team Kat & Mouse, consultants for nonprofits does not work on a percentage of the donation, finders fees, or other payment methods as outlined by AFP.
Additional costs might include:
Consultant travel and lodging
Design and printing
Event or retreat fees