Certified Fund Raising Executive (CFRE) Practice Test

What is an effective approach to creating confidence among donors regarding the organization's capacity?

1. Focus solely on past successes

2. Involve them in the prospect research process

3. Showcase peer comparisons

4. Limit communication to comprehensive reports

The correct answer is: Involve them in the prospect research process

Involving donors in the prospect research process is an effective approach to creating confidence among them regarding the organization's capacity. Engaging donors in this manner fosters a sense of ownership and inclusion, allowing them to see firsthand the organization's commitment to transparency and active participation in strategic fundraising initiatives. By including donors in research efforts, they become more aware of not only the organization's strengths but also its mission and goals, which helps build trust. This collaborative approach demonstrates that the organization values their input and perspective, ultimately enhancing their confidence in the organization's ability to achieve its objectives. Focusing solely on past successes may highlight achievements but does not actively engage donors in the current and future efforts of the organization. Showcasing peer comparisons can provide context but does not necessarily involve the donor in a meaningful way. Limiting communication to comprehensive reports may restrict interaction, preventing donors from feeling connected to the organization and its fundraising processes, which can undermine their confidence in its capacity.