The project “Promoting Connections” was initiated by the Bundesverband Freie Darstellende Künste e. V. and will be funded from 2020 to 2025 by the Federal Government Commissioner for Culture and the Media on the basis of a resolution by the German Bundestag.
The project aims to promote networking, qualification, and knowledge exchange between actors in the independent performing arts – across federal states and on a network basis.
As part of a training program set up for this purpose, “Promoting Connections,” actori gave a keynote speech on the topic of “Opportunities and Limitations of Private Financing for Performing Arts Networks.”
The qualification program is aimed at actors in the independent performing arts and offers participants the opportunity to raise their own questions, exchange experiences, and jointly develop strategies for sustainable financing of networks in the cultural sector. The aim of the presentation was to examine the opportunities and limitations of acquiring private funding for networks in the independent performing arts, taking into account the specific conditions.
The presentation covered various forms of private financing and support, from fundraising and sponsorship to donations, corporate volunteering, and crowdfunding. The main aim here was to explain the organizational requirements for tapping into private sources of funding and, at the same time, to discuss whether and to what extent they are suitable for independent performing arts networks. It became clear that all forms of financing require human resources and necessitate an investment before initial financial success can be achieved. It became clear that it is difficult for networks to successfully engage in sponsorship on their own, as they have little access to artistic products or venues and are therefore unable to offer attractive rewards to potential supporters. In addition, financing personnel and infrastructure is not very appealing to sponsors. To overcome these challenges, it is advisable to closely involve the individual network members and to design creative funding models. In this way, the network can act as an intermediary vis-à-vis sponsors, while the members provide the specific services. This creates attractive funding opportunities. Alternatively, the network can act as an organizer of joint projects that are more interesting for sponsors.
A vivid example of successful fundraising is the annual Advent calendar of non-profit networks. A specially designed calendar is sold at a fixed price. The proceeds go into the association's donation pot. Behind each door is the chance to win a (donated) prize. The format engages a broad audience and at the same time activates network members through their own contributions to the individual doors (e.g., studio visits, free tickets). This creates a low-threshold contact bridge to potential sponsors and a collaborative self-financing model.
Another best practice example presented is the corporate volunteering cooperation between Kulturraum München and State Street Bank International GmbH. Here, bank employees regularly volunteer at Kulturraum's “GästeCafés” (guest cafés). In addition to practical support, financial support is paid for each assignment, followed by a larger donation at the end of the year. This model not only provides the network with direct financial resources, but also paves the way for access to companies as a first point of contact. Corporate volunteering thus has a double effect: it creates social engagement and enables long-term corporate cooperation that goes beyond mere monetary donations.
The starting point for the presentation was an inventory of existing fundraising and sponsorship activities and a review of internal structures and resources of networks. Differentiated offer formats for sponsorship and fundraising were developed, tailored specifically to companies, foundations, and private individuals. Attractive rewards such as networking opportunities, exclusive event formats, and communicative added value were taken into account. In addition, measures for partner retention were designed, including personal support, transparent communication structures, and regular evaluation and documentation of the services provided and the use of funds.
The special features of sponsorship and fundraising for networks can be summarized as follows:
- Resource management: Establishing a professional structure is essential for successful fundraising. This requires an initial investment (in personnel) to identify and acquire suitable contacts. Maintaining partnerships on an ongoing basis continues to tie up human resources, but contributes to the sustainable development of sponsorship activities.
- Solidarity model: Private funds are acquired centrally by the network, with part of the funds being used to finance the network and the rest being distributed specifically to members or their projects. Members benefit from professional acquisition, while duplication of work and competitive situations are avoided.
- Creative funding models: Development of a project- and mediation-based sponsorship model that responds to the specific interests of companies and foundations and highlights the social contribution of networks.
- Opportunities: A strong network pools expertise, increases attractiveness to sponsors, opens up new target groups, and generates synergies through joint communication channels.
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A lecture by Marietta Schoenberg and Dr. Dimitra Will as part of the “Promoting Connections” support program of the Bundesverband der Freien Darstellenden Künste (BFDK).