WATERVILLE -- Sometimes to raise funds, you need to return the money you receive.

Fundraising expert Marc Pitman did that several years ago when he sent back a $40,000 check to a donor.

The donor, Pitman said, had contributed $40,000 annually to his former boarding school in recognition of a teacher who had changed his life.

When the teacher resigned, the donor saw no need to continue the contributions.

"The donor asked for his $40,000 back," Pitman said. "We did cut it back. Not that we had to, but there was nothing to be gained by saying this is not refundable."

Pitman, though, stayed in contact with the donor, a wealthy venture capitalist, and eventually convinced the man of the boarding school's intrinsic value -- a place that naturally attracted exceptional teachers like the one the donor had experienced.

The refund ultimately resulted in a considerable windfall for the school.

The previously disgruntled donor sent The Stony Brook School in Long Island, N.Y. a $500,000 gift, $250,000 of it in cash.

"What was fascinating about it," Pitman said, "is when he got to our campus he said, 'Stony Brook School was there when I needed it' -- not the teacher, the school."

This is one of many stories Pitman tells. As director of Inland Foundation, the charitable wing of Inland Hospital, Pitman knows that stories are critical to successful fundraising.

He tells his clients as much as a consultant with his business, The Fundraising Coach.

Such advice also will be part of his forthcoming book, "The Real Simple Guide for Asking for Money: Connecting donors with what matters most to them."

Except for a brief stint in a college admissions office, Pitman has made his living around the art of soliciting money.

And he's good at it.

He is convinced that many others could be, too, if they learned the art.

Lesson No. 1 is to respect your donors.

"One of the things I detest about some nonprofits is the sense of entitlement," Pitman said. "Just because people donated one year doesn't mean they should donate again. Every year we have to earn that donation again. Nobody owes us anything. It is only out of the generosity of their hearts that they are supporting us."

Pitman makes liberal use of acronyms in dispensing his fundraising theories.

CPI is not consumer price index. In the fundraising world, the three letters stand for capacity, philanthropy and interest, Pitman said.

Those three variables make up the donation equation.

A person may be philanthropic and have a great interest in your cause, he said, but if that person has no capacity to give, there's no sense approaching him for money.

REAL is another important fundraising concept. "R" refers to researching your cause and prospective donors, while "E" is about engaging your prospects. "A" is the act of asking for money and "L" is the importance of liking the people you ask even when they say no.

Ultimately, though, Pitman comes back to the importance of stories. Every cause has one, he said, and the more passionate you are in telling that story, the more likely people will want to contribute to your fundraising goal.

Pitman loves his job.

But then he is a storyteller at heart.

Colin Hickey -- 861-9205

chickey@centralmaine.com