1. Capacity Building Initiative
04/05/2012 Learning Sessions

2. To invest, inform, and impact
the administrative capacity of arts organizations
toward artistic excellence.

3. Capacity Building Initiative
Sustainability
(Formerly the MODE Stabilization Program)
Accelerator
(Formerly the MODE Intensive Services Program)
Incubator
Pre-Incubator

5. The Initiative at-a-glance
PROGRAM: Pre-Incubator Incubator Accelerator Sustainability
Develop orgs from Incubate orgs from Accelerate orgs from Sustain mature orgs through
Goal idea to start-up start-up to growth growth to maturity decline & turnaround
Partnership Term 12 months 36 months 12 months 12 months
Limited awards of $15,000/year Up to Up to
Investment $5000 - $7500 for three years $10,000 - $20,000 $20,000
Client residency, Technical funding for
Technical funding for
Management services & management multiyear strategic
Services capacity funding services, & capacity planning or
multiyear strategic planning
or implementation
funding implementation
Client budget size $10K - $75K $75K - $200K $100K - $750K $750K+
Client staff size 0 – 1 FTE 0.5 – 2 FTE 2 – 4 FTE Staff > 3 FTE
(Full Time Equivalent)
Class of 2013 Class of 2013 Class of 2012
Art Cars of Houston Brazilian Arts ArtBridge Class of 2012
Aperio Foundation Houston Center for
BooTown Aurora Picture Show Contemporary Craft
The Back Porch Players Classical Theatre
Houston Blues Museum Company Houston Center for Class of 2013
25 Horse Head Theatre Company Photography MECA
Current Clients KASH Dance Source
Lone Star Lyric Theatre Festival Houston Voices Breaking HITS Theatre
Mildred’s Umbrella Boundaries
NobleMotion Dance Freneticore
Stark Naked Theatre Company Class of 2013
WindSync InterActive Theatre Hope Stone Inc.
Company

6. Building a Culture of Learning
Sustainability clients
inform Accelerators as …
Accelerator clients
inform Incubators as …
Incubator clients
inform Pre-Incubators as …
Pre-Incubators
establish critical
infrastructure.

7. Important Dates
• Deadline to Apply with Required Support Materials:
– Friday, May 25, 2012 5:00 P.M.
– Not a postmark deadline
• Timeline:
– July 2012 - Panel Review
– August 2012 – Award Notifications Sent
– September 2012 – Program Orientation
• Grant Period Term:
– October 1, 2012 to September 30, 2012

8. Capacity Building Initiative
Informational Workshop:
Accelerator & Sustainability Programs
Thursday, April 26, 2012 | 12:00pm – 1:00pm | at Houston Arts Alliance
Register now at:
http://haacapacitybuilding.eventbrite.com
8

9. Insert photo 1 Client:
Grant Term:
09/2010 – 08/2011
Contact:
Keelan Wackman
Executive Director
kwackman@cityartworks.org
713-681-1331
www.cityartworks.org
Accelerator Phase 1

10. Use of Funds
ISP Phase I (Strategic Plan) :
To engage consultants and the creation of a long-term strategic plan.
Process Outputs
• A Leadership Team was assembled. • Refined Mission/Vision statements, core values,
and organizational value proposition.
• The Leadership Team reviewed consultants’
proposals and made a determination of whom to • Specific and attainable goals were established
contract. and immediate progress was made in the areas of
facility improvements, staff capacity, community
• In bi-weekly meetings the Leadership Team was
engagement, and technological optimization.
guided by the consultant in reviewing materials,
discussing values and objectives, as well as • Work Groups continue to provide a valuable
brainstorming ideas about CA’s present and future. entre for new stakeholders and assist in
progressing various initiatives while providing
• Specific workgroups further discussed various
meaningful insight and connections.
aspects of the organization.
• A newly formed Teachers’ Leadership Council is
• Ideas were distilled, evaluated against objectives,
bolstering program quality and teacher/staff
and prioritized as they were integrated into the
relations.
strategic plan.
• CA Board and staff became better aligned in
• A three-year plan was finalized and approved by
their understanding of the organization and
the Board of Directors.
keenly focused on shared goals with shared
values.

11. Outcomes & Indicators
ANTICIPATED ACTUAL INDICATORS
SHORT TERM SHORT TERM (Indicators measure whether or
not a program achieves its
OUTCOMES OUTCOMES expected outcomes. )
(beginning of grant) (end of grant)
Develop a business plan which ensures A sound value proposition and •20 more classes at elementary
financial stability. thoughtful goals guides revenue schools in spring 2012 than in spring
development and stakeholder 2011.
engagement. •Host committee for new membership
drive of over 50 people.
• New CA Scene events will entice
more participation, awareness, and
revenue.
Increase staff capacity to better New staff and adjusted roles and • A Program & Marketing Coordinator
manage work load. responsibilities make best use or staff hired in the summer of 2011 has
resources allowing CA to grow increased stakeholder communication
programming in multiple new in all arenas and recruited additional
directions. volunteers.
•Program Director became a full time
position encompassing curriculum
development.
•Short –term, project specific Contract
positions created.

12. Outcomes & Indicators
ANTICIPATED ACTUAL INDICATORS
SHORT TERM SHORT TERM (Indicators measure whether or
not a program achieves its
OUTCOMES OUTCOMES expected outcomes. )
(beginning of grant) (end of grant)
Technology use is optimized. Better hardware and software is • New software allows CA to combine
increasing staff efficacy and improving event management, class registration,
organizational functionality. database , and online marketing.
•Donated computers and printers
improve function of the office.
•New staff increases utilization of
social media drawing more
stakeholders.
Financial analysis will ensure best use Financial analysis yields real-time • Budgets and tuition costs move
of resources and provide financial pricing and budget metrics. Financial toward reflecting actual expenditures.
stability. procedures are documented. Cost • Staff and Board are aligned and
savings measures are identified and planning for succession.
acted upon. •Annual and monthly savings in vendor
relationships are realized.
•Fixed and variable expenses are better
understood.

13. Outcomes
• What is different now compared to the
beginning of the grant term?
– Procedures have been created,
documented and utilized to
ensure thorough systems are in
place in all aspects of the
organization.
– Board and community have new
opportunities to engage with CA.
– Renewed vision aligns all
communications and is infused
into decision making at every
level.
– Staff and Board capacity is
recognized as the keystone to
realizing CA’s vision.
• Are these changes that will last?

14. Org logo here
Keys to Success
• List significant accomplishments and strides
made throughout your grant
– The Leadership Team and work groups
were inclusive of Board, staff and
community members.
– The need for change and improvement
was diplomatically discussed ensuring
that the legacy and past efforts of the
organization were not devalued.
– Meeting facilitation allowed for unique
view points and candid dialogue about
the organization strengths and
opportunities.
– Strategic goals were based on shared
values and objectives allowing them to
be implementable.

15. Org logo here
Lessons Learned
• What were your course corrections?
– The amount of time which staff and
Board members needed to focus on
strategic planning was
underestimated. Timelines had to be
adjusted to allow for other
programmatic priorities as necessary.
– Managing new initiatives along with
existing work load is challenging
without the staff and monetary
resources needed. Thoughtful change
management is needed to ensure
continued staff buy-in as roles and
responsibilities grow and change.
– Consistent and clear communication
of the details of the plan must be
infused into all conversations to be
sure all stakeholders are kept in the
loop.

16. Org logo here
Summary of Future Plans
• Three-year strategic initiatives will be
distilled to specific and measurable yearly
goals.
• Additional resources will be sought to
implement aspects of the plan enabling CA
to be well equipped for growth.
• Efforts to broaden our base and engage new
stakeholders will focus on revenue
development, programmatic collaborations,
and building the Board of Directors.
• A fund-development/ grant-writing position
will be formed as budget allows.
• A new community studio/office will be
sought after and the resources needed to
realize this dream will be evaluated.
• Increased PR and Marketing efforts will be
infused with powerful and consistent
messaging to build our brand and leverage
our value proposition.

17. Client:
Insert photo 1
Grant Terms:
09/2005 – 08/2006
09/2007 – 08/2008
09/2009 – 08/2010
09/2010 – 08/2011
Contact:
Deborah Lugo
Executive Director
dlugo@mercurybaroque.org
713-533-0080
MercuryBaroque.org
Accelerator Phase II

18. Use of Funds
To engage consultants and increase organization capacity through a hire of a new full time:
1) Executive Director 2) Marketing Director 3) Development Director
Activities Activities
1) Executive Director 2) Marketing Director
Main Goal: To build a healthy organization Main Goal: Audience Development
•Transferred all management tasks from • Created a new Marketing Campaign
the Artistic Director and Founder to the that focused on freshness and
new Executive Director. accessibility
•Board Development • 1st time musicians were
•Fundraising showcased in pictures
•Budgeting and Planning •Launched Mercury to the 21st century
•Marketing by establishing our web presence:
•Concert production Youtube, podcasts, e-newsletter and
new website.
•Developed new relationships with the
media.

19. Use of Funds
4) To Increase organization capacity through the hire of a part time staff member to
support new marketing initiatives and increase earned income from ticket sales.
Activities Activities
3) Development Director 4) Marketing Initiatives and Part time Staff
Main Goal: Grow Contributed Income Main Goal: Increase Earned Income
• Brought new contributed income •Implemented new marketing strategies
opportunities in the areas of individuals, with the purpose of growing our audience.
foundations and corporations. •Purchased a new database and ticketing
•Developed the Patron Program and the software to be able to handle all ticket
Adopt an Instrument Capital Campaign. sales in house and offer the best service to
•Assisted in organization of the Gala . our patrons.
•Managed and expanded silent and live •Hired a part time Marketing Associate to
auctions. implement and oversight all these tasks.

20. Outcomes & Indicators
ANTICIPATED ACTUAL INDICATORS
SHORT TERM SHORT TERM (Indicators measure whether or
not a program achieves its
OUTCOMES OUTCOMES expected outcomes. )
(beginning of grant) (end of grant)
Executive
- Increase the overall revenue of - Higher revenue than expected - 45% revenue increase in one
the organization from contributed and earned season
income
- Add new board members and - More members were added and -The board grew from 13 to 15
increase level of giving board contributions were also members
higher -Board contributions increased
by 53%
- Grow Audience - Increase concert attendance -Ticket revenue grew by 38%
-Transfer management tasks - Able to transfer most tasks. -Due to increase in revenue and
from Artistic Director to new Some artistic administration tasks controlled expenses, we had a
Executive Director remained under the AD position 9% surplus at the end of the
season

21. Outcomes & Indicators
ANTICIPATED ACTUAL INDICATORS
SHORT TERM SHORT TERM (Indicators measure whether or
not a program achieves its
OUTCOMES OUTCOMES expected outcomes. )
(beginning of grant) (end of grant)
Marketing
- Increase ticket sales - The growth in ticket sales was - 77% revenue increase in one
evident season
- Retain subscribers - High renewal subscription rate - 83% of subscribers came back
for the following season
- Develop relationships with the - Strong relationships were -Received free advertisement in
media established. Part of the ISP funds the Houston Press and Houston
were used to contract a publicist Chronicle.
who helped with the relationship - 002 Magazine became our print
building. sponsor for the season .
- Several articles about us were
written in the Chronicle.

22. Outcomes & Indicators
ANTICIPATED ACTUAL INDICATORS
SHORT TERM SHORT TERM (Indicators measure whether or
not a program achieves its
OUTCOMES OUTCOMES expected outcomes. )
(beginning of grant) (end of grant)
Development
- Increase contributions from - Contributed income increased -Highlights include $75,000 from
Foundations, Corporations, almost $100,000. From $439,743 the Houston Endowment, a two-
Government and Individuals to $535,917 year $40,000 grant from the
Brown Foundation, $25,000 from
JPMorgan Chase and $12,000
from NEA, our first grant from
them
- Assist with the Gala fundraiser - Even more successful than the - $105,000 net revenue, up from
previous year $75,000 the year before
- Develop new programs - Two new programs were - 22 members joined the Patron
created: Patron Program and the program at $2,000+ per year
Adopt an Instrument Campaign - One violin ($10,500) was
adopted

23. Outcomes & Indicators
ANTICIPATED ACTUAL INDICATORS
SHORT TERM SHORT TERM (Indicators measure whether or
not a program achieves its
OUTCOMES OUTCOMES expected outcomes. )
(beginning of grant) (end of grant)
Earned Income
-Increase our sustainability by -Extremely successful in achieving - Earned income grew 88%, from
growing earned income our main goal $208,000 to $391,000
- Pick 3 for $45 Campaign - The outcome of this campaign - 254 Pick 3 Packages sold.
was better than imagined
- Purchased new database and - Successfully implemented - All ticket sales are handled
ticketing software through the office.
-Has transformed the way we do
business since all staff members
can access the patrons’
information.
-Improved customer service
-Most importantly: we know our
patrons and they know us.
- Hire a part time Marketing - The person hired was able to - Very successful. The position
Associate implement and oversee all the was made into a full time
different tasks position for the following season

24. Outcomes
• A Healthy Mid-Size Organization focused on
artistic excellence, passionate and intimate
performances, education and accessibility
– A 436% revenue growth in 7
years
– 6 Staff Members (4 added
through ISP grants)
– 27 Board Members
– Performing over 50 concerts a
season
– Established partnerships and
collaborations with many
organizations in Houston
– A strong education program
– International touring to France,
Ecuador and Mexico
– A loyal base of supporters

25. Keys to Success
• Have a clear understanding of the
organization’s needs. Make sure that
what you are asking in the application is
really what is most needed for the
organization.
• Plan, plan, plan
• Convey your needs in a way that
everyone on the panel understands it.
Make sure the proposal is clear, specific
and well-written.
• Talk to the HAA staff member before
submitting the application.

26. Lessons Learned
– Stay on track. Make sure you revise
the activities and outcomes
necessary to be successful at the
end of the grant period.
– If hiring a staff member, think
carefully about who the right person
for the job is. This is critical. Once
hired, stay on top of the training
and explain what the expectations
are and how their work will be
evaluated at the end of the season.
– Keep track of all of the receipts and
expenses.

27. Summary of Future Plans
• Mercury has been able to keep all the
staff positions that were added through
the ISP grants. We will continue to add
personnel as funding permits.
• We continue to focus on growing earned
income. This is a must in order to
continue to build a sustainable
organization.