Two years ago, Arizona Theatre Company faced a $1 million deficit and there was deep concern for its survival.
This week, the company announced that an anonymous donor has given a $500,000 matching donation. If it is met, ATC will surpass its fundraising goal for the fiscal year.
βEvery dollar donated to ATC is matched dollar for dollar as it comes in the door,β said Matt Lehrman, interim managing director, of the donation.
βIn the end, itβs worth $1 million to ATC. As you can imagine, this is very important.β
This year, the fundraising goal was $2.4 million, said Lehrman.
βThis has been a challenging year from a contributed revenue perspective,β he said. βBut I have no problem saying that we were confident we would achieve our objectives. The availability of our challenge grant helps considerably.β
About 40 percent of ATCβs roughly $6.8 million budget relies on fundraising; earned revenue, which includes ticket sales and rent income, provides 60 percent.
βLike any nonprofit arts organization, the mission is greater than the ticket sales,β Lehrman said. βFundraising is essential β¦ to support the continuing operations. We had a good year, sold a lot of tickets, did some wonderful art. But before the fiscal year is over we have to hit the contributed revenue objective. (The donation) puts a lot of fuel in the ask.β
The campaign to raise the matching funds runs through the end of ATCβs fiscal year, June 30.
The company did some low-key fundraising before the campaign was announced and has already raised about $300,000.
βWe have almost two months left to raise the money, and we are well past the 50-yard line,β says Cameron Artigue, the chairman of ATCβs board, calling the challenge grant βthe best thing to happen to ATC in years.β
If the goal is met, it will put the company in the most financially stable spot it has been in since the 2013 crisis.
βItβs about having enough cash on hand,β says Lehrman. βThis certainly does help restore vital working capital to the company.β
When ATCβs financial crisis hit, management was in turmoil β managing director Mark Cole left in the wake of the financial shortfall, and artistic director, David Ira Goldstein, who had stepped down, agreed to stay until a successor was named. He is still there.
Jessica Andrews, who was managing director for years and had retired, agreed to come back until the board could find a new executive director. In September, Lehrman, an arts consultant, replaced Andrews as interim director, though Andrews has an βemeritusβ title and is working on the matching-funds campaign.
The board has not yet launched a search for either position, said Artique.
βWe are totally comfortable and happy with Matt and David,β said Artigue. βAt some point weβll be doing national searches, but right now, weβre happy.β
The turmoil in the organization is a thing of the past, he added.
βATC went through a rough patch in 2013. Since then, weβve moved on and turned around. Things have been looking up in a major way.β