Show Me the Money!

Reach your funding growth goals

Julie Wente, Chief Financial Officer

Jen Benson, Development Director

Presentation Overview

• Development Cycle and types of activities donors support

• Raising funds for specific budget items by developing a case for support

• Fundraising activities and ideas for chapters

• Cost benefits of special events

• Special tax circumstances

• Reporting donations• Stewardship and

recognition

THE DEVELOPMENT CYCLE

SHARE your TeamMates Story/Case for Support

LEARN about the donor

CULTIVATE & engage

Provide STEWARDSHIP

DONOR RECOGNITION

SOLICITATION: Ask for a specific amount based on research and donor’s ability.

IDENTIFY PROSPECT

What do Donors Support?

• Operating Expenses

• Events/Sponsorships

• Scholarships

• Specific programs

• Endowments

• Special needs of the organization – one-time costs, supplies, special purchases

Fundraising for a budget item or event

TeamMates Mentoring ProgramCase for Support

• Who does your chapter serve?

• What are the benefits of providing support to a youth in your community?

• When does your event happen? When do you need the money?

• Where does your event take place? Where do your matches meet (i.e. what school locations)?

• Why is TeamMates important in your community? Talk about the impact – grades, attendance, behavior, HOPE.

• How does having a mentor improve the life of a TeamMates youth? How does TeamMates strengthen your community?

• Concession Stands

• Candy Machines

• Bake Sale

• School Dance

• Football Raffle

• Ice Cream Social

• Pancake Breakfast

• Business Opening

• Stadium Seats

• Split -the-Pot

• Coffee Sales

• Gift Wrapping

• Coin Challenge

• Restaurant Night

Give Days

• Many local community foundations and United Ways are now sponsoring Give Days.

• Chapters usually receive matching funds for donations made on a certain day.

• More marketing = more funds for your chapter!

Cost/Benefit of Fundraiser:

How much will the event cost?

What is a reasonable profit?

Will this have positive exposure for the

program?

What are the tax and insurance implications?

What is the time commitment?

Is it worth the time/investment to hold the

event?

Raffles:

Gross proceeds may not exceed $5,000 (# of tickets x ticket price)

Cannot apply discounts (6 tickets for $5) when determining the gross proceeds

Must sell at least ten tickets

At least 80% of the prizes must be merchandise

Auctions Involve Sales TaxTeamMates needs to collect sales tax as we are acting as a retailer

Item is sold at above fair market value (FMV), sales tax is only collected on the FMV

Gift certificates are not subject to sales tax

The sales tax is included in the amount paid for the item

The amount paid above the FMV is a contribution

Example: $30 item sells for $45

$30 x .07 = $2 sales tax paid to State of Nebraska

Donation amount is $13

*Chapter is responsible for sales tax, central office files return monthly

Sales and Use Tax

TeamMates is a 501(c)(3)

We are NOT exempt from sales tax

We must pay sales tax on all purchases

Invoices not including sales tax must have sales tax added

If a purchase is made through an exempt organization (such as a school), Use tax must be paid to the state of Nebraska

Chapter is responsible for Sales and Use tax

Central office files return monthly

THE DEVELOPMENT CYCLE

SHARE your TeamMates Story/Case for Support

LEARN about the donor

CULTIVATE & engage

Provide STEWARDSHIP

DONOR RECOGNITION

SOLICITATION: Ask for a specific amount based on research and donor’s ability.

IDENTIFY PROSPECT

Stewardship and RecognitionSTEWARDSHIP: process of caring for and protecting your philanthropic support – gifts and donors who give them in a way that responds to the donor’s expectations and respects the act of giving•Donors want to feel appreciated•Always say thank you in a timely manner•Stewardship is the key to getting the second and subsequent gifts.•Stewardship creates loyalty.•Helps donors feel good about giving

Stewardship and RecognitionRECOGNITION: the final step in the development process, recognizing the support of the donor in a public or private way, depending on the desires and wishes of the donor.•Notify TeamMates Central Office of all gifts received.

– Tax Acknowledgement letter sent through Central Office

– Recognized in TeamMates Annual Report•Send note of thanks from local chapter – NO Tax Statement•Provide naming opportunities –

– John Doe Memorial Walk– Susie Smith Chapter Scholarship

•Recognize sponsors on t-shirts, print materials, in local papers during public programs.•Spell and list names correctly!