How to Answer the Most Important Question of Every Investor
One of the most important question every investor asks:
“WHERE does the money go?”
Parenthetically, they’re also asking “WHY does it go there?”
We have boiled down the PRESENTATION to PURPOSE, PRIORITIES and PLAN.
PRIORITIES are where we answer the question about “Where the money goes” or “Use of Funds.” A great frame for this is YOUR 3 BUCKETS. The 3 Buckets represent the most important priorities that you need to be funded – the symbolic ‘buckets’ represent the ‘HOW’ you do ‘WHAT’ you do.
Some examples might include:
- Disaster Relief
- Family Literacy
- Teen Mentoring
- Read Aloud Classrooms
This last example (PEOPLE, PROGRAMS, PLACE) is a very simple way to capture almost every FOR IMPACT ORGANIZATION’S PRIORITIES.
One terrific way to see if this works is to take your Operating Budget and see if you can “fit” almost every line item into one of your Three Buckets.