Saving money for every non profit is a big deal! Postage cost can me a line item that tends to add up fast to big numbers. As a tax exempt organization you may qualify for a discount. Below is information taken directly from the US Postal Service website...also keep reading! If you had rather not hassle with jumping through all those governmental hoops and still want a discount on your postage; I'll tell you how to get postage at a reduced rate...FREE!
Non profit postage rates are lower than regular rates, but not everyone can qualify. The following information will help you determine if your business or organization is eligible for nonprofit postage rates.
Organizations wishing to mail at nonprofit Standard Mail rates first must be authorized by the Postal Service as eligible. Then, they must make sure that the material being mailed complies with strict requirements for nonprofit rates.
TIPS-Nonprofit postage rates are available only for domestic mail, not for international mail. -Please review Publication 417, Nonprofit Standard Mail Eligibility, or get advice from your local business mail entry unit personnel while you are designing your nonprofit rate material, especially if your mail piece contains any advertising.
Publication 417 - PDF Publication 417 - text
Who qualifies for nonprofit rates?
How to apply for nonprofit rates
Quick Service Guide 703, Standard Mail—Nonprofit Eligibility
Quick Service Guide 703 in PDF format
Quick Service Guide 703 in HTML format
Calculate your nonprofit postage costs
How to prepare nonprofit mail
Source: http://www.usps.com/businessmail101/rates/nonprofit.htm
Ok, after reading all the above if you're saying....This it too much hassle, plus we don't send out that many letters but, hey, I'd still like a pay less.... So how can I do this and it be legal?
Here is my secret! You can buy unused postage stamps at below face value on eBay from stamp dealers who have too much inventory. Granted, you might have to buy a glue stick, because the older stamps were not pre-gummed or you might have to put five stamps together to make .39 cents. But, if you can get a dollars worth of stamps for ninety or even eighty five cents, in the long run that can add up to some serious saving for your organization or even for you individually. Plus, if you are trying to attract attention to your newsletters all those stamps might actually help!
~ John~ P.S. If you need more help... send me an email john@minges.com and I'll be happy to get you the postage you need at a discount!
Tuesday, January 30, 2007
Resources for Non profits - homeless shelters, street ministries, safe houses etc.
If you are a non profit who's mission involves running a homeless shelter, street ministry, or operate a safe houses then this post will be directed towards you!
Rarely will I openly promote a company or service unless I think they do such an outstanding job and really deserve a little extra credit. Such is the case with a company called:
Start-Rite, Inc. www.startriteinc.com.
The company is now celebrating ten years in business and I guess I found them when they first got stated. They are in the business of selling pre-packaged and heat sealed "kits" mainly to non profit organizations. The kits could be for hygiene, school, first aid, bed and bath, kitchen, cleaning, babies etc. What impressed me so much was the quality of the product and the price!
Along time ago I served on the board, and later as president, of our local homeless shelter. If you ever get involved with an organization like this, you quickly find out how much stuff clients consume and how simple things like toothbrushes, shampoo and most importantly deodorant are!
As one example, Start-Rite can provide a toothbrush, .85 oz toothpaste, 2 oz of mouthwash, 2 oz shampoo and 1 oz of soap for just .94! When you give out what seems like a ton of stuff like this nightly, you quickly appreciate what an unbelievable deal this truly is!
So today, I wanted to make sure and pass this information on to non profits looking for a good deal. I hope this helps! ~ John~
Rarely will I openly promote a company or service unless I think they do such an outstanding job and really deserve a little extra credit. Such is the case with a company called:
Start-Rite, Inc. www.startriteinc.com.
The company is now celebrating ten years in business and I guess I found them when they first got stated. They are in the business of selling pre-packaged and heat sealed "kits" mainly to non profit organizations. The kits could be for hygiene, school, first aid, bed and bath, kitchen, cleaning, babies etc. What impressed me so much was the quality of the product and the price!
Along time ago I served on the board, and later as president, of our local homeless shelter. If you ever get involved with an organization like this, you quickly find out how much stuff clients consume and how simple things like toothbrushes, shampoo and most importantly deodorant are!
As one example, Start-Rite can provide a toothbrush, .85 oz toothpaste, 2 oz of mouthwash, 2 oz shampoo and 1 oz of soap for just .94! When you give out what seems like a ton of stuff like this nightly, you quickly appreciate what an unbelievable deal this truly is!
So today, I wanted to make sure and pass this information on to non profits looking for a good deal. I hope this helps! ~ John~
Monday, January 29, 2007
Is Money owed to you? Find out FREE! - www.ncrefund.com
I'll admit from the beginning that this post does not deal specifically with non profits directly but honestly with all of us who live in America!
Let me take a moment, if I may, and re-live a little of my past! When I first became a Pitt County Commissioner in Greenville, North Carolina, now over four years ago; Prior to running for office and winning my election I had been friends with a North Carolina state Senator Ed Warren and also Richard Moore who is now the North Carolina state treasurer. I have had and interest for some time been in the escheat and unclaimed property funds not just here is North Carolina but on a national level. I would talk from time to time with various folks in the political arena on how to get these funds back into the pockets of the people where they belong. I quickly found out that this is just one small issue that gets lost in a hurry and for most people the topic only comes up on slow news days or one time a year when a report is released.
After getting elected, one of the first things I wanted to do to help people was bring to light all the monies out there that was owed to the citizens of Pitt County. So using my own money, I got the list from the state and had it published in a pullout insert for the local newspaper. It was very expensive to do this! The twelve page insert had micro print and 9,775 individual names and business names that represented over 1.9 million dollars owed being held by the state just in our county alone! There are over 100 counties in North Carolina I might add!
Fast forwarding to more recent national news; Oprah Winfrey did a show on unclaimed monies
and she stated 9 in 10 Americans were owed millions while I'd read others say the number is more like seven out or ten people are owe monies. Regardless; how much money is owed?
Try twenty-four billion on for size that is all being kept "safe" from it's rightful owners. You got to love it don't ya!
Why you might ask? Unfortunately it is simple.
The money held earns interest that is not paid out even if you are one of the luck ones to claim your money. So, there is no real incentive for the state or federal government to give you your money back!
No one, not even Oprah Winfrey, can change that simple fact!
Where does that money and the interest earned on the money go? Well, it is used to help run various government services i.e. college scholarships etc. While this might sound noble, the money is not the governments to give away, it's yours!
This thought process, however, goes back to a common theme that I've been bumping into a lot lately. Where can you I find a group of individuals that are not willing to accept the mantra "It can't be done;" and more importantly, who are those folks that are willing to take responsibility for not just themselves but others as well? My friends, those people are few and far between; mainly because there is no glory in this type of work, only frustration!
Speaking of frustrated, I created this website a long time ago: www.ncrefund.com. This site pulls all the various federal government databases that are online I could find in one spot and it is for FREE! But while this is my lame attempt, I know that with technology the way it is and with all the massive government databases on hand, this problem would be easy to solve if it was seen as a problem and folks would not be allowed to drag their heels! But obviously short of a presidential executive order, I don't think it is going to happen in my life time.
Think about this folks: Cross reference the list of who money is owed to with the Social Security database, IRS database, and criminal and driving records databases and then when a match is found confirm it and either credit it to income tax owed or cut a check! If you determine that the person has died you look toward death records and funeral homes and then try to track down the living relatives of those individuals. A harder task, but it could be done.
So, what do you think? ~John~
Let me take a moment, if I may, and re-live a little of my past! When I first became a Pitt County Commissioner in Greenville, North Carolina, now over four years ago; Prior to running for office and winning my election I had been friends with a North Carolina state Senator Ed Warren and also Richard Moore who is now the North Carolina state treasurer. I have had and interest for some time been in the escheat and unclaimed property funds not just here is North Carolina but on a national level. I would talk from time to time with various folks in the political arena on how to get these funds back into the pockets of the people where they belong. I quickly found out that this is just one small issue that gets lost in a hurry and for most people the topic only comes up on slow news days or one time a year when a report is released.
After getting elected, one of the first things I wanted to do to help people was bring to light all the monies out there that was owed to the citizens of Pitt County. So using my own money, I got the list from the state and had it published in a pullout insert for the local newspaper. It was very expensive to do this! The twelve page insert had micro print and 9,775 individual names and business names that represented over 1.9 million dollars owed being held by the state just in our county alone! There are over 100 counties in North Carolina I might add!
Fast forwarding to more recent national news; Oprah Winfrey did a show on unclaimed monies
and she stated 9 in 10 Americans were owed millions while I'd read others say the number is more like seven out or ten people are owe monies. Regardless; how much money is owed?
Try twenty-four billion on for size that is all being kept "safe" from it's rightful owners. You got to love it don't ya!
Why you might ask? Unfortunately it is simple.
The money held earns interest that is not paid out even if you are one of the luck ones to claim your money. So, there is no real incentive for the state or federal government to give you your money back!
No one, not even Oprah Winfrey, can change that simple fact!
Where does that money and the interest earned on the money go? Well, it is used to help run various government services i.e. college scholarships etc. While this might sound noble, the money is not the governments to give away, it's yours!
This thought process, however, goes back to a common theme that I've been bumping into a lot lately. Where can you I find a group of individuals that are not willing to accept the mantra "It can't be done;" and more importantly, who are those folks that are willing to take responsibility for not just themselves but others as well? My friends, those people are few and far between; mainly because there is no glory in this type of work, only frustration!
Speaking of frustrated, I created this website a long time ago: www.ncrefund.com. This site pulls all the various federal government databases that are online I could find in one spot and it is for FREE! But while this is my lame attempt, I know that with technology the way it is and with all the massive government databases on hand, this problem would be easy to solve if it was seen as a problem and folks would not be allowed to drag their heels! But obviously short of a presidential executive order, I don't think it is going to happen in my life time.
Think about this folks: Cross reference the list of who money is owed to with the Social Security database, IRS database, and criminal and driving records databases and then when a match is found confirm it and either credit it to income tax owed or cut a check! If you determine that the person has died you look toward death records and funeral homes and then try to track down the living relatives of those individuals. A harder task, but it could be done.
So, what do you think? ~John~
Thursday, January 25, 2007
Non Profit Contributions - Handling Them Correctly
In the non profit arena, many times I see a big mistake being made by the non profit thinking that if they send a receipt for the contribution in the mail then that is all they should do to recognize the donor.
I think this is absolutely wrong and all non profits should know better! Also, if you have a donor calling you at the end of the year as they prepare their taxes to get a receipt for a contribution they made during the year then, shame on you, for not doing your job! I feel not only as a consultant for non profits but also as a donor that a written receipt for my contribution is always appreciated, no matter how much I gave! If for no other reason, in today's world, donors don't necessarily get back a paper copy of a process checks, so the donor needs something for proof.
If you are serious about building a relationship with your donors then you need to be thinking about how you can properly thank them! This may mean sending a written thank you note or card, or make sure in your next newsletter you say thank you. If you publish an annual report that is also another good opportunity to let someone know you appreciate them. At your next fundraising event, have a display board that has written out the words "thank you" and have a list of all your donors. Think about giving your donor a little memento to say thank you. Post-it-notes cubes with your non profit logo work great and look nice on your donor's desk at his or her office and will keep you image in from of him or her daily! A coffee mug full of mints or chocolates can be an inexpensive and a nice touch, etc... Be creative, but most of all be genuine!
The IRS does have specific guidelines you need to be aware of as well; see below:
Charitable organizations described in section 501(c)(3), other than testing for public safety organizations, are eligible to receive tax-deductible contributions in accordance with section 170.
A charitable organization must provide a written disclosure statement to donors of a quid pro quo contribution in excess of $75. A quid pro quo contribution is a payment made to a charity by a donor partly as a contribution and partly for goods or services provided to the donor by the charity. For example, if a donor gives a charity $100 and receives a concert ticket valued at $40, the donor has made a quid pro quo contribution. In this example, the charitable contribution portion of the payment is $60. Even though the part of the payment available for deduction does not exceed $75, a disclosure statement must be filed because the donor's payment (quid pro quo contribution) exceeds $75.
The required written disclosure statement must:
Inform the donor that the amount of the contribution that is deductible for federal income tax purposes is limited to the excess of any money (and the value of any property other than money) contributed by the donor over the value of goods or services provided by the charity, and Provide the donor with a good faith estimate of the value of the goods or services that the donor received.
The charity must furnish the statement in connection with either the solicitation or the receipt of the quid pro quo contribution. If the disclosure statement is furnished in connection with a particular solicitation, it is not necessary for the organization to provide another statement when the associated contribution is actually received.
No disclosure statement is required when:
The goods or services given to a donor meet the standards for "insubstantial value" set out in Rev. Proc. 90-12, 1990-1 C.B. 471, and Rev. Proc. 92-49, 1992-1 C.B. 987 (as updated);
There is no donative element involved in a particular transaction with a charity (for example, there is generally no donative element involved in a visitor's purchase from a museum gift shop); or There is only an intangible religious benefit provided to the donor. The intangible religious benefit must be provided to the donor by an organization organized exclusively for religious purposes, and must be of a type that generally is not sold in a commercial transaction outside the donative context.
A penalty is imposed on a charity that does not make the required disclosure in connection with a quid pro quo contribution of more than $75. The penalty is $10 per contribution, not to exceed $5,000 per fund-raising event or mailing. The charity can avoid the penalty if it can show that the failure was due to reasonable cause.
Donors taking a deduction under section 170 are required to obtain contemporaneous written substantiation for a charitable contribution of $250 or more. To be "contemporaneous" the written substantiation must generally be obtained by the donor no later than the date the donor actually files a return for the year the contribution is made. If the donee provides goods or services to the donor in exchange for the contribution (a quid pro quo contribution), this written substantiation (acknowledgment) must include a good faith estimate of the value of the goods or services. The donee is not required to record or report this information to the IRS on behalf of a donor. The donor is responsible for requesting and obtaining the written acknowledgement from the donee. Although there is no prescribed format for the written acknowledgment, it must provide sufficient information to substantiate the amount of the contribution. For more information, see Publication 1771.
For more information, see Updates on Disclosure and Substantiation Rules. Also see IRC 6700 and IRC 6701 and Charitable Contribution Deductions .
For a general discussion of the federal income tax deduction for charitable contributions, see Publication 526, Charitable Contributions.
Source: http://www.irs.ustreas.gov/charities/article/0,,id=96102,00.html
Also the recently Provisions in legislation signed by the President on August 17, 2006, affect non profits with specific new requirements:
New Law Revises EO Tax Rules
On August 17, the President signed the Pension Protection Act of 2006. The new law contains numerous changes to the tax law provisions affecting tax-exempt organizations.
Forms Changes Certain provisions of the Pension Protection Act of 2006 result in new reporting requirements for Forms 990, 990-EZ, 990-PF, 990-T and 4720. The 2005 forms and instructions will not be changed to reflect these reporting requirements. Click here for instructions on how to provide the required information on 2005 forms.
Key provisions of the legislation include the following:
Controlling organizations must report income from and loans to controlled organizations as well as transfers between controlled and controlling organizations. This provision is effective for returns due (without regard to extensions) after the date of enactment.
Section 501(c)(3) organizations that file unrelated business income tax returns (Forms 990-T) must now make them available for public inspection. This provision is effective for returns filed after the date of enactment.
Private foundation and excess benefit penalty excise taxes are doubled.
Donor advised funds, supporting organizations, and credit counseling organizations are subject to new requirements.
Supporting organizations that want to change their public charity classification should follow the procedures outlined in Announcement 2006-93.
Notice 2006-109 provides interim guidance on issues affecting supporting organizations and sponsoring organizations of donor advised funds.
Individual Retirement Account (IRA) owners age 70 ½ or older are permitted to directly transfer tax-free, up to $100,000 per year to an eligible charity.
Notice 2007-7 clarifies several issues related to this provision.
Charitable contribution deductions for food, book, and certain conservation property are increased.
Charitable contribution deductions for monetary donations, certain easements, taxidermy property, clothing and household goods, and certain other items are limited.
Notice 2006-96 provides guidance regarding appraisal requirements for non cash charitable contributions, including transitional guidance relating to the definitions of qualified appraisals and qualified appraiser.
Notice 2006-110 provides guidance on new record keeping requirements for charitable contributions made through payroll deductions
The IRS highlighted changes that may affect charitable giving in News Release IR-2006-92.
Beginning in 2008, exempt organizations with gross receipts under $25,000 must file an annual notice.
Additional information can be found by clicking the links below:
Full text of legislation
EO provisions
Technical explanation of new law, prepared by the staff of the Joint Committee on Taxation
Detailed summary, issued by House Committee on Ways and Means, of provisions affecting charitable organizations
~John~
I think this is absolutely wrong and all non profits should know better! Also, if you have a donor calling you at the end of the year as they prepare their taxes to get a receipt for a contribution they made during the year then, shame on you, for not doing your job! I feel not only as a consultant for non profits but also as a donor that a written receipt for my contribution is always appreciated, no matter how much I gave! If for no other reason, in today's world, donors don't necessarily get back a paper copy of a process checks, so the donor needs something for proof.
If you are serious about building a relationship with your donors then you need to be thinking about how you can properly thank them! This may mean sending a written thank you note or card, or make sure in your next newsletter you say thank you. If you publish an annual report that is also another good opportunity to let someone know you appreciate them. At your next fundraising event, have a display board that has written out the words "thank you" and have a list of all your donors. Think about giving your donor a little memento to say thank you. Post-it-notes cubes with your non profit logo work great and look nice on your donor's desk at his or her office and will keep you image in from of him or her daily! A coffee mug full of mints or chocolates can be an inexpensive and a nice touch, etc... Be creative, but most of all be genuine!
The IRS does have specific guidelines you need to be aware of as well; see below:
Charitable organizations described in section 501(c)(3), other than testing for public safety organizations, are eligible to receive tax-deductible contributions in accordance with section 170.
A charitable organization must provide a written disclosure statement to donors of a quid pro quo contribution in excess of $75. A quid pro quo contribution is a payment made to a charity by a donor partly as a contribution and partly for goods or services provided to the donor by the charity. For example, if a donor gives a charity $100 and receives a concert ticket valued at $40, the donor has made a quid pro quo contribution. In this example, the charitable contribution portion of the payment is $60. Even though the part of the payment available for deduction does not exceed $75, a disclosure statement must be filed because the donor's payment (quid pro quo contribution) exceeds $75.
The required written disclosure statement must:
Inform the donor that the amount of the contribution that is deductible for federal income tax purposes is limited to the excess of any money (and the value of any property other than money) contributed by the donor over the value of goods or services provided by the charity, and Provide the donor with a good faith estimate of the value of the goods or services that the donor received.
The charity must furnish the statement in connection with either the solicitation or the receipt of the quid pro quo contribution. If the disclosure statement is furnished in connection with a particular solicitation, it is not necessary for the organization to provide another statement when the associated contribution is actually received.
No disclosure statement is required when:
The goods or services given to a donor meet the standards for "insubstantial value" set out in Rev. Proc. 90-12, 1990-1 C.B. 471, and Rev. Proc. 92-49, 1992-1 C.B. 987 (as updated);
There is no donative element involved in a particular transaction with a charity (for example, there is generally no donative element involved in a visitor's purchase from a museum gift shop); or There is only an intangible religious benefit provided to the donor. The intangible religious benefit must be provided to the donor by an organization organized exclusively for religious purposes, and must be of a type that generally is not sold in a commercial transaction outside the donative context.
A penalty is imposed on a charity that does not make the required disclosure in connection with a quid pro quo contribution of more than $75. The penalty is $10 per contribution, not to exceed $5,000 per fund-raising event or mailing. The charity can avoid the penalty if it can show that the failure was due to reasonable cause.
Donors taking a deduction under section 170 are required to obtain contemporaneous written substantiation for a charitable contribution of $250 or more. To be "contemporaneous" the written substantiation must generally be obtained by the donor no later than the date the donor actually files a return for the year the contribution is made. If the donee provides goods or services to the donor in exchange for the contribution (a quid pro quo contribution), this written substantiation (acknowledgment) must include a good faith estimate of the value of the goods or services. The donee is not required to record or report this information to the IRS on behalf of a donor. The donor is responsible for requesting and obtaining the written acknowledgement from the donee. Although there is no prescribed format for the written acknowledgment, it must provide sufficient information to substantiate the amount of the contribution. For more information, see Publication 1771.
For more information, see Updates on Disclosure and Substantiation Rules. Also see IRC 6700 and IRC 6701 and Charitable Contribution Deductions .
For a general discussion of the federal income tax deduction for charitable contributions, see Publication 526, Charitable Contributions.
Source: http://www.irs.ustreas.gov/charities/article/0,,id=96102,00.html
Also the recently Provisions in legislation signed by the President on August 17, 2006, affect non profits with specific new requirements:
New Law Revises EO Tax Rules
On August 17, the President signed the Pension Protection Act of 2006. The new law contains numerous changes to the tax law provisions affecting tax-exempt organizations.
Forms Changes Certain provisions of the Pension Protection Act of 2006 result in new reporting requirements for Forms 990, 990-EZ, 990-PF, 990-T and 4720. The 2005 forms and instructions will not be changed to reflect these reporting requirements. Click here for instructions on how to provide the required information on 2005 forms.
Key provisions of the legislation include the following:
Controlling organizations must report income from and loans to controlled organizations as well as transfers between controlled and controlling organizations. This provision is effective for returns due (without regard to extensions) after the date of enactment.
Section 501(c)(3) organizations that file unrelated business income tax returns (Forms 990-T) must now make them available for public inspection. This provision is effective for returns filed after the date of enactment.
Private foundation and excess benefit penalty excise taxes are doubled.
Donor advised funds, supporting organizations, and credit counseling organizations are subject to new requirements.
Supporting organizations that want to change their public charity classification should follow the procedures outlined in Announcement 2006-93.
Notice 2006-109 provides interim guidance on issues affecting supporting organizations and sponsoring organizations of donor advised funds.
Individual Retirement Account (IRA) owners age 70 ½ or older are permitted to directly transfer tax-free, up to $100,000 per year to an eligible charity.
Notice 2007-7 clarifies several issues related to this provision.
Charitable contribution deductions for food, book, and certain conservation property are increased.
Charitable contribution deductions for monetary donations, certain easements, taxidermy property, clothing and household goods, and certain other items are limited.
Notice 2006-96 provides guidance regarding appraisal requirements for non cash charitable contributions, including transitional guidance relating to the definitions of qualified appraisals and qualified appraiser.
Notice 2006-110 provides guidance on new record keeping requirements for charitable contributions made through payroll deductions
The IRS highlighted changes that may affect charitable giving in News Release IR-2006-92.
Beginning in 2008, exempt organizations with gross receipts under $25,000 must file an annual notice.
Additional information can be found by clicking the links below:
Full text of legislation
EO provisions
Technical explanation of new law, prepared by the staff of the Joint Committee on Taxation
Detailed summary, issued by House Committee on Ways and Means, of provisions affecting charitable organizations
~John~
Monday, January 22, 2007
Non Profit Donor Loyality - Building A Solid Foundation
Today we are bombarded by loyalty programs! Your credit card is not just a credit card any more, it is a card that offers points, cash back etc. If you stay at this hotel or fly on this airline you might qualify for something "free"! Shop at this grocery story, use their free membership card, you qualify for a discount i.e. "a savings" off your purchases. WOW!
So, how can non profits tap into to this idea of creating a loyal donor? The concept of having repeat business, and in the non profit's case, having a repeat giver is understandability worthy. However, the approach a non profit takes should differ greatly from the for profit arena.
First, as a non profit you need to stop looking at your donor with only dollar signs in your eyes! Non profits can't fake being genuine and if you really only see the donor as Mr. or Mrs. Moneybags then you need to stop reading this now.
Donor loyal requires a great deal of effort on your part as a non profit organization. You have to EARN the donor's RESPECT first. Getting respect and admiration is not something that happens overnight.
Donors in general give to non profits because their were either touched in some way by that organization or they are impressed with the work done by the organization.
In order to create a loyal donor you need to learn more about what interest the donor actually has! What is in his or her heart? What motivation do you see? Where are they in their professional career; Who are their social contacts? What type of lifestyle does your donor live?
These are just a few of the questions, you as a non profit, need to know the answer too in order to build the relationships you need to build to create a loyal donor.
It has been said many times but these truths are worth repeating: People give to people, you need to friend raise first long before you fund raise and lastly it's all about building relationships!
~John~
So, how can non profits tap into to this idea of creating a loyal donor? The concept of having repeat business, and in the non profit's case, having a repeat giver is understandability worthy. However, the approach a non profit takes should differ greatly from the for profit arena.
First, as a non profit you need to stop looking at your donor with only dollar signs in your eyes! Non profits can't fake being genuine and if you really only see the donor as Mr. or Mrs. Moneybags then you need to stop reading this now.
Donor loyal requires a great deal of effort on your part as a non profit organization. You have to EARN the donor's RESPECT first. Getting respect and admiration is not something that happens overnight.
Donors in general give to non profits because their were either touched in some way by that organization or they are impressed with the work done by the organization.
In order to create a loyal donor you need to learn more about what interest the donor actually has! What is in his or her heart? What motivation do you see? Where are they in their professional career; Who are their social contacts? What type of lifestyle does your donor live?
These are just a few of the questions, you as a non profit, need to know the answer too in order to build the relationships you need to build to create a loyal donor.
It has been said many times but these truths are worth repeating: People give to people, you need to friend raise first long before you fund raise and lastly it's all about building relationships!
~John~
Non Profits Need To Understand Their Donor!
I have yet to run across a non profit that has told me they have plenty of money!
Most that I'm aware of are trying to figure out how to raise more money or to attract those folks who have the big bucks! Subconsciously, I think, many non profits are treating donors more like lottery numbers, somehow believing their contributions are all part of a bigger game of chance. They wait patiently for their numbers to come up, having a false sense of hope. Success must
just be around the corner! Non profits that take this approach are destined to be moderately
successful at best.
Non profits have a hard time understanding their donor, because they have not taken the time to get to know them! They have not made the effort to find what the donor's hot button or passion. Therefore, the donor drifts and many times disappear completely!
Here are some simple facts to ponder: In 2005: 76.5% of all the money contributed came from individuals, 6.7% charitable bequests, 11.5% from foundations and 5.3% from corporations.
Why are non profits ignoring each individual donor?
As a reader, I want you to think about who you are currently making charitable contributions too and I want you to also think about who you gave too in the past year but are no longer giving to that organization now. Why have you stopped giving to these organizations?
Has the organization stopped doing the good work they were doing? For most people that answer would be, NO!. What happened then? Did you, as a donor, get bored or did the the organization lose touch with you?
I think the majority of the time the answer is the following: As individuals we want to feel like our contribution counts and matters! We want and many times "need" to feel appreciated! The moment we feel the least bit taken for granted we move on.
Sadly, in the consultant world non profits are so lost that on many occasions before they even thinking about raising money, especially for larger capital campaigns, the organization will choose to run out and hire an "expert." Normally these folks come from out of town, often times get paid thousand of dollars, to tell the non profit what "their donors" think about them. The consultant also will gladly for that fee give their opinion on the "chances" the organization has in raising the money they are talking about needing. Wait a second....please.. help me out, OK!
This is not a game of "chance" is it?
I know this will not be a popular position to express and I'm not against anyone seeking professional help! Hello, I'm a consultant after all, and I enjoy helping and non profit organizations find the answers to the questions they have.
But folks, as non profits you should have a better handle on who your donor is and what they think about you! You should not need someone on like myself to come in from the outside who knows nothing about you, your history, your organization or what you have accomplished to find that answer out. You should already know!
I know what some of you are saying now: As strange as it sounds, it is true, that it is easier to talk to strangers rather than be so blunt to the staff of a non profit.
Regardless, I would like to make a challenge today to all non profit executive directors as well as to all non profit board members. You both need to take the time today to get to know your top twenty donors to your organization, before someone else does. You have everything to lose if you don't!
Right now pull out your calendar, and set up weekly lunch appointments with those folks, NOW!
Do not, I repeat, do not ask for a contribution on this visit! If the donor wants to give you a check instead of meeting with you tell them, no thanks, you're not looking for a check! You want to let them know what the organization is doing i.e. a status report! You heard me right, this is more of a social call, not a fund raising call. In fact, if lunch or dinner is arranged I want you, as soon as you walk in the restaurant, to tell the server that you are paying as well! Now sit back and hear what the donor has to say, find out what is important to them. You might be surprised what you learn! ~John~
Most that I'm aware of are trying to figure out how to raise more money or to attract those folks who have the big bucks! Subconsciously, I think, many non profits are treating donors more like lottery numbers, somehow believing their contributions are all part of a bigger game of chance. They wait patiently for their numbers to come up, having a false sense of hope. Success must
just be around the corner! Non profits that take this approach are destined to be moderately
successful at best.
Non profits have a hard time understanding their donor, because they have not taken the time to get to know them! They have not made the effort to find what the donor's hot button or passion. Therefore, the donor drifts and many times disappear completely!
Here are some simple facts to ponder: In 2005: 76.5% of all the money contributed came from individuals, 6.7% charitable bequests, 11.5% from foundations and 5.3% from corporations.
Why are non profits ignoring each individual donor?
As a reader, I want you to think about who you are currently making charitable contributions too and I want you to also think about who you gave too in the past year but are no longer giving to that organization now. Why have you stopped giving to these organizations?
Has the organization stopped doing the good work they were doing? For most people that answer would be, NO!. What happened then? Did you, as a donor, get bored or did the the organization lose touch with you?
I think the majority of the time the answer is the following: As individuals we want to feel like our contribution counts and matters! We want and many times "need" to feel appreciated! The moment we feel the least bit taken for granted we move on.
Sadly, in the consultant world non profits are so lost that on many occasions before they even thinking about raising money, especially for larger capital campaigns, the organization will choose to run out and hire an "expert." Normally these folks come from out of town, often times get paid thousand of dollars, to tell the non profit what "their donors" think about them. The consultant also will gladly for that fee give their opinion on the "chances" the organization has in raising the money they are talking about needing. Wait a second....please.. help me out, OK!
This is not a game of "chance" is it?
I know this will not be a popular position to express and I'm not against anyone seeking professional help! Hello, I'm a consultant after all, and I enjoy helping and non profit organizations find the answers to the questions they have.
But folks, as non profits you should have a better handle on who your donor is and what they think about you! You should not need someone on like myself to come in from the outside who knows nothing about you, your history, your organization or what you have accomplished to find that answer out. You should already know!
I know what some of you are saying now: As strange as it sounds, it is true, that it is easier to talk to strangers rather than be so blunt to the staff of a non profit.
Regardless, I would like to make a challenge today to all non profit executive directors as well as to all non profit board members. You both need to take the time today to get to know your top twenty donors to your organization, before someone else does. You have everything to lose if you don't!
Right now pull out your calendar, and set up weekly lunch appointments with those folks, NOW!
Do not, I repeat, do not ask for a contribution on this visit! If the donor wants to give you a check instead of meeting with you tell them, no thanks, you're not looking for a check! You want to let them know what the organization is doing i.e. a status report! You heard me right, this is more of a social call, not a fund raising call. In fact, if lunch or dinner is arranged I want you, as soon as you walk in the restaurant, to tell the server that you are paying as well! Now sit back and hear what the donor has to say, find out what is important to them. You might be surprised what you learn! ~John~
Sunday, January 21, 2007
Filing A Complaint About A Non Profit
It seems folks are always complaining about something the non profit did or did do they they think maybe should have done! Ugh..... A question I get asked from time to time is: What agency should I contact if I have a compliant about a non profit?
I know from past emails some people believe that the Better Business Bureau has some legal authority and it does not. The BBB is an independent agency with no legal authority to make anyone do anything! Complying to rules they set is totally done on a voluntary basis.
Depending on what violation you feel has occurred, you may want to consider talking to your State Attorney Generals office.
However, if you believe that the activities or operations of a tax-exempt organization are inconsistent with its tax-exempt status, you may file a complaint with the Exempt Organizations Examination Division, at the following address:
IRS EO Classification
Mail Code 49101100
Commerce Street
Dallas, TX 75242
The complaint should contain all relevant facts concerning the alleged violation of tax law.
The IRS cannot advise you of any action it has taken or may take in response to a complaint. The confidentiality and disclosure provisions of the Internal Revenue Code preclude the Service from discussing matters relating to any activity it might undertake regarding the tax-exempt status of an entity with anyone other than the principal officers or authorized representatives of that entity. These provisions were enacted by Congress to protect the privacy of all taxpayers.
The IRS maintains an active examination program to ensure that tax-exempt organizations, as well as taxpayers, meet the requirements imposed on them by the Internal Revenue Code.
Source: http://www.irs.gov/charities/article/0,,id=139029,00.html
~John~
I know from past emails some people believe that the Better Business Bureau has some legal authority and it does not. The BBB is an independent agency with no legal authority to make anyone do anything! Complying to rules they set is totally done on a voluntary basis.
Depending on what violation you feel has occurred, you may want to consider talking to your State Attorney Generals office.
However, if you believe that the activities or operations of a tax-exempt organization are inconsistent with its tax-exempt status, you may file a complaint with the Exempt Organizations Examination Division, at the following address:
IRS EO Classification
Mail Code 49101100
Commerce Street
Dallas, TX 75242
The complaint should contain all relevant facts concerning the alleged violation of tax law.
The IRS cannot advise you of any action it has taken or may take in response to a complaint. The confidentiality and disclosure provisions of the Internal Revenue Code preclude the Service from discussing matters relating to any activity it might undertake regarding the tax-exempt status of an entity with anyone other than the principal officers or authorized representatives of that entity. These provisions were enacted by Congress to protect the privacy of all taxpayers.
The IRS maintains an active examination program to ensure that tax-exempt organizations, as well as taxpayers, meet the requirements imposed on them by the Internal Revenue Code.
Source: http://www.irs.gov/charities/article/0,,id=139029,00.html
~John~
Friday, January 19, 2007
Non Profits And Individuals Need To Claim Telephone Tax Refund!
Telephone Tax Refund Questions and Answers
What is the telephone tax refund?
The telephone tax refund is a one-time payment available on your 2006 federal income tax return, designed to refund previously collected federal excise taxes on long-distance or bundled services. It is available to anyone who paid such taxes on landline, wireless, or Voice over Internet Protocol (VoIP) service.
Why is the government refunding these taxes?
Several recent federal court decisions have held that the tax does not apply to long-distance service as it is billed today. The IRS is following these decisions and refunding the portion of the tax charged on long-distance calls. The IRS is also refunding taxes collected on telephone service under plans that do not differentiate between long distance and local calls including bundled service.
The telephone tax continues to apply to local-only service, and the IRS is not refunding taxes charged on local-only service.
The IRS will refund to you the taxes on long-distance or bundled service billed to you for the period after Feb. 28, 2003 and before Aug. 1, 2006. Taxpayers should request this refund when they file their 2006 tax returns.
Who is eligible to request the telephone tax refund?
In general, any individual, business or nonprofit organization that paid the tax for long distance or bundled service billed after Feb. 28, 2003 and before Aug. 1, 2006 is eligible to request the refund.
What is a refund-eligible bundled service?
Bundled service is local and long distance service provided under a single plan that does not state the charge for the local telephone service separately from other services. Bundled service plans include, for example, Voice over Internet Protocol (VoIP) service, and landline and wireless (cellular) service plans that provide both local and long distance service for either a flat monthly fee or a charge that varies only with the elapsed transmission time for which the service is used. Telecommunications companies provide bundled service for both landlines and wireless (cellular) service. If VoIP service provides both local and long distance service and the charges are not separately stated, such service is bundled service.
The method of sending or receiving a call, such as on a landline telephone, wireless (cellular), or some other method, does not affect whether a service is local-only or bundled.
How do I get the telephone tax refund?
In general, anyone who paid the telephone tax on their long-distance or bundled service may be eligible to request the refund on their 2006 federal income tax return. This includes individuals, businesses and nonprofit organizations. The 2006 return is usually filed during 2007.
The IRS is making it easier for individual taxpayers by offering a standard refund amount between $30 and $60, so that these taxpayers don’t need to gather old phone bills. Taxpayers who choose the standard amount will only need to fill out one line on their tax returns. The standard amount is based on actual telephone usage data and the amount applicable to a family or other household reflects the taxes paid on long-distance or bundled phone service by similarly sized families or households. Using this amount may be the easiest way for taxpayers to get their refunds and avoid gathering 41 months of old phone records.
What is the standard amount?
Individual taxpayers can take a standard amount from $30 to $60 based on the number of exemptions claimed on their tax return. For those claiming:
one exemption, the standard refund amount is $30
two exemptions, the standard refund amount is $40
three exemptions, the standard refund amount is $50
four exemptions or more, the standard refund amount is $60
The instructions to the 2006 1040 tax forms will provide more information on how to determine the correct number of exemptions. (Because the term “exemptions” does not appear on Form 1040EZ, people who fill out this form should follow the instructions carefully.)
The standard amount is based on actual telephone usage data, and the amount applicable to a family or other household reflects taxes paid on long-distance or bundled service by similarly sized families or households. Using this amount may be the easiest way for taxpayers to get their refund and avoid gathering 41 months of old phone records.
How did the government come up with the standard amounts?
Telephone industry and IRS data were used to determine the refundable standard amounts. Telephone industry data showed that spending on long distance correlated directly with the number of persons in a household; therefore, a scaled refund structure was selected based on the number of exemptions claimed on the tax return.
What forms do I file to request the refund?
For many individual taxpayers who want to take the standard amount, there are no additional forms to file, and you only need to fill out one additional line on your regular income-tax return.
Individuals choosing the standard amount can simply fill in the amount on Form 1040, 1040A, 1040NR or 1040EZ. People who don’t need to file a return can use a new, simple form (Form 1040EZ-T) to choose the standard amount.
Taking the standard amount is optional. It is also the easiest way to get a refund. A married couple filing a joint return with two dependant children, for example, will be eligible for the maximum standard amount of $60.
Individuals who decide not to use the standard amount must figure their refund using the actual amount of tax they paid. To choose this option, taxpayers can fill out Form 8913 and attach it to their regular income-tax returns.
The standard amount is not available to businesses and nonprofits. Accordingly, businesses and nonprofits must fill out Form 8913 and base their refund requests on the actual amount of tax they paid. Businesses should attach this form to the income-tax returns they normally file — Form 1120, 1120S, 1065 or 1041. Nonprofits, including churches, charities and other tax-exempt organizations, should attach it to Form 990-T.
Alternatively, businesses and tax-exempts can review their bills for 2 months and use a special formula to figure the refund. For more information, see Telephone Tax Refunds: Questions and Answers for Businesses and Tax-Exempt Organizations.
Can I e-file to get this refund?
Yes. Virtually anyone who files an individual return qualifies for electronic filing, and the telephone tax refund is one of many tax benefits that can be reported on an e-filed return. Whether you file electronically or on paper, you can get your refund even faster by having it deposited directly into your checking or savings account.
I don’t have to file an income-tax return. How do I get the telephone tax refund?
For those people who do not otherwise have to file a tax return, there is a new simple form (1040EZ-T) that can be used to get this refund. Beginning in mid-January, this form can also be filed electronically for free via the Free File link this Web site.
If you choose the standard amount, all you need to do is fill out this simple form using the number of exemptions you are eligible to claim. For example, a married couple with two dependent children (for a total of four exemptions) will be eligible for the maximum standard amount of $60.
If you decide not to use the standard amount, you must figure your refund using the actual amount of tax paid. To choose this option, you must fill out an additional form (Form 8913) and attach it to Form 1040EZ-T.
Do Internet long-distance plans qualify for the refund?
Yes. If you paid the federal excise tax on your long-distance Internet plan, you can request the telephone tax refund. Internet long distance plans include broadband VoIP long-distance plans.
Why do I only get a refund for the past few years?
Under the applicable statute of limitations in the Internal Revenue Code, the IRS is generally not permitted to refund taxes that were paid more than three years before the date on which the refund program was announced. Accordingly, the telephone tax refund is available for long-distance taxes billed after Feb. 28, 2003, and before Aug. 1, 2006.
How do I determine how much federal excise tax I have paid on my long-distance service?
Taxpayers who choose to base their refund requests on the actual amount of tax paid should review their phone bills since Feb. 28, 2003. Taxes paid on local-only service are not eligible for the refund. In general, federal excise taxes paid on other types of service qualify. Federal access charges and state or local taxes and charges are not eligible for the refund.
The standard amount is based on actual telephone usage data, and the amount applicable to a family or other household reflects the phone tax on long-distance or bundled service paid by similarly sized families or households. Using this amount may be the easiest way for taxpayers to get their refund and avoid gathering 41 months of old phone records.
What if I don’t know whether I paid this tax?
Your phone service providers were required to include the federal excise tax on your monthly telephone bills. So if you had long distance or bundled service and received a monthly bill from your phone service provider, and you paid the bill including the tax amounts, then you should be eligible to request the refund.
Where do I go for more information?
Instructions for requesting this refund will be included with your tax forms and on this Web site. Therefore, most people will not need to call the IRS. If you decide to figure the actual amount of the refund rather than the standard refund, you will need copies of your phone bills. Telephone companies have already provided their customers with copies of their bills during the original billing periods and may charge for replacement copies of past bills, if they are available. Before contacting your telephone company, should you need to obtain replacement copies of past bills, you may want to check the company’s Web site.
What do I have to do now?
In most cases, nothing. Taxpayers will request this refund on their 2006 return. Accordingly, the IRS will begin accepting refund requests in January 2007.
The only decision you have to make is whether to use the standard amount or to request the amount of tax you actually paid. To take the standard amount, you don’t need to do anything now. You can figure it when you fill out your 2006 return.
If you are considering using the actual expense method, you may want to start gathering your phone bills since Feb. 28, 2003. As with any other line item on your return, starting early and keeping good records always makes the tax-preparation process easier.
Will the IRS pay interest on the refunded telephone tax?
Yes. The standard amount includes interest For those basing their request on the actual amount of tax paid, the instructions for Form 8913 explain how to figure the interest amount.
How do I decide if it’s better for me to use the actual or take the standard amount?
You can use whichever method gives you the larger refund. The standard amount is based on actual telephone usage data and the amount applicable to a family or other household reflects the tax on long-distance or bundled service paid by similarly sized families or households. Using this amount may be the easiest way for taxpayers to get their refund and avoid gathering 41 months of old phone records.
Example A: If a couple filing jointly had $20 in local service and $15 in long distance service each month over the 41 month period, their telephone tax refund based on their actual billing would be $15/month X 0.03 X 41 months = $18.45 (not including interest) in comparison to the standard refund amount of $40. The telephone tax paid on the local portion of their service is not eligible for the refund.
Example B: If a sole proprietor had $20 in local service, $50 in long distance per month and $150 in cellular phone charges for each month over the 41 month period, the telephone tax refund based on actual billing would be $200/month (50 +150) X 0.03 X 41 months = $246.00, in comparison to the standard refund amount of $30 (which would cover both personal and business expenses). The telephone tax paid on the local portion of their service is not eligible for the refund. The sole proprietor determines that they would benefit from requesting the actual amount of tax paid versus using the standard refund amount of $30. The taxpayer must maintain supporting documentation for their tax records.
Do I have to itemize to request this refund?
No. Because this is a refund of taxes previously paid, it does not matter whether you itemize or take the standard deduction.
Will I get a separate check?
No. The telephone tax refund will be treated as a one-time payment on your 2006 return. Accordingly, it will reduce the amount you owe on your return or increase the amount of your refund. What is the total amount the government expects to refund?
Economists at the U.S. Department of the Treasury estimate the amount refunded to individuals will be about $10 billion.
Source: http://www.irs.gov/newsroom/article/0,,id=161506,00.html
Additional help is available for exempt organizations to claim a refund of telephone excise taxes paid. In addition to the "Question and Answers" article, please see the "Frequently Asked Questions" article at the bottom of the webpage and Fact Sheet 2007-1 .
~John~
What is the telephone tax refund?
The telephone tax refund is a one-time payment available on your 2006 federal income tax return, designed to refund previously collected federal excise taxes on long-distance or bundled services. It is available to anyone who paid such taxes on landline, wireless, or Voice over Internet Protocol (VoIP) service.
Why is the government refunding these taxes?
Several recent federal court decisions have held that the tax does not apply to long-distance service as it is billed today. The IRS is following these decisions and refunding the portion of the tax charged on long-distance calls. The IRS is also refunding taxes collected on telephone service under plans that do not differentiate between long distance and local calls including bundled service.
The telephone tax continues to apply to local-only service, and the IRS is not refunding taxes charged on local-only service.
The IRS will refund to you the taxes on long-distance or bundled service billed to you for the period after Feb. 28, 2003 and before Aug. 1, 2006. Taxpayers should request this refund when they file their 2006 tax returns.
Who is eligible to request the telephone tax refund?
In general, any individual, business or nonprofit organization that paid the tax for long distance or bundled service billed after Feb. 28, 2003 and before Aug. 1, 2006 is eligible to request the refund.
What is a refund-eligible bundled service?
Bundled service is local and long distance service provided under a single plan that does not state the charge for the local telephone service separately from other services. Bundled service plans include, for example, Voice over Internet Protocol (VoIP) service, and landline and wireless (cellular) service plans that provide both local and long distance service for either a flat monthly fee or a charge that varies only with the elapsed transmission time for which the service is used. Telecommunications companies provide bundled service for both landlines and wireless (cellular) service. If VoIP service provides both local and long distance service and the charges are not separately stated, such service is bundled service.
The method of sending or receiving a call, such as on a landline telephone, wireless (cellular), or some other method, does not affect whether a service is local-only or bundled.
How do I get the telephone tax refund?
In general, anyone who paid the telephone tax on their long-distance or bundled service may be eligible to request the refund on their 2006 federal income tax return. This includes individuals, businesses and nonprofit organizations. The 2006 return is usually filed during 2007.
The IRS is making it easier for individual taxpayers by offering a standard refund amount between $30 and $60, so that these taxpayers don’t need to gather old phone bills. Taxpayers who choose the standard amount will only need to fill out one line on their tax returns. The standard amount is based on actual telephone usage data and the amount applicable to a family or other household reflects the taxes paid on long-distance or bundled phone service by similarly sized families or households. Using this amount may be the easiest way for taxpayers to get their refunds and avoid gathering 41 months of old phone records.
What is the standard amount?
Individual taxpayers can take a standard amount from $30 to $60 based on the number of exemptions claimed on their tax return. For those claiming:
one exemption, the standard refund amount is $30
two exemptions, the standard refund amount is $40
three exemptions, the standard refund amount is $50
four exemptions or more, the standard refund amount is $60
The instructions to the 2006 1040 tax forms will provide more information on how to determine the correct number of exemptions. (Because the term “exemptions” does not appear on Form 1040EZ, people who fill out this form should follow the instructions carefully.)
The standard amount is based on actual telephone usage data, and the amount applicable to a family or other household reflects taxes paid on long-distance or bundled service by similarly sized families or households. Using this amount may be the easiest way for taxpayers to get their refund and avoid gathering 41 months of old phone records.
How did the government come up with the standard amounts?
Telephone industry and IRS data were used to determine the refundable standard amounts. Telephone industry data showed that spending on long distance correlated directly with the number of persons in a household; therefore, a scaled refund structure was selected based on the number of exemptions claimed on the tax return.
What forms do I file to request the refund?
For many individual taxpayers who want to take the standard amount, there are no additional forms to file, and you only need to fill out one additional line on your regular income-tax return.
Individuals choosing the standard amount can simply fill in the amount on Form 1040, 1040A, 1040NR or 1040EZ. People who don’t need to file a return can use a new, simple form (Form 1040EZ-T) to choose the standard amount.
Taking the standard amount is optional. It is also the easiest way to get a refund. A married couple filing a joint return with two dependant children, for example, will be eligible for the maximum standard amount of $60.
Individuals who decide not to use the standard amount must figure their refund using the actual amount of tax they paid. To choose this option, taxpayers can fill out Form 8913 and attach it to their regular income-tax returns.
The standard amount is not available to businesses and nonprofits. Accordingly, businesses and nonprofits must fill out Form 8913 and base their refund requests on the actual amount of tax they paid. Businesses should attach this form to the income-tax returns they normally file — Form 1120, 1120S, 1065 or 1041. Nonprofits, including churches, charities and other tax-exempt organizations, should attach it to Form 990-T.
Alternatively, businesses and tax-exempts can review their bills for 2 months and use a special formula to figure the refund. For more information, see Telephone Tax Refunds: Questions and Answers for Businesses and Tax-Exempt Organizations.
Can I e-file to get this refund?
Yes. Virtually anyone who files an individual return qualifies for electronic filing, and the telephone tax refund is one of many tax benefits that can be reported on an e-filed return. Whether you file electronically or on paper, you can get your refund even faster by having it deposited directly into your checking or savings account.
I don’t have to file an income-tax return. How do I get the telephone tax refund?
For those people who do not otherwise have to file a tax return, there is a new simple form (1040EZ-T) that can be used to get this refund. Beginning in mid-January, this form can also be filed electronically for free via the Free File link this Web site.
If you choose the standard amount, all you need to do is fill out this simple form using the number of exemptions you are eligible to claim. For example, a married couple with two dependent children (for a total of four exemptions) will be eligible for the maximum standard amount of $60.
If you decide not to use the standard amount, you must figure your refund using the actual amount of tax paid. To choose this option, you must fill out an additional form (Form 8913) and attach it to Form 1040EZ-T.
Do Internet long-distance plans qualify for the refund?
Yes. If you paid the federal excise tax on your long-distance Internet plan, you can request the telephone tax refund. Internet long distance plans include broadband VoIP long-distance plans.
Why do I only get a refund for the past few years?
Under the applicable statute of limitations in the Internal Revenue Code, the IRS is generally not permitted to refund taxes that were paid more than three years before the date on which the refund program was announced. Accordingly, the telephone tax refund is available for long-distance taxes billed after Feb. 28, 2003, and before Aug. 1, 2006.
How do I determine how much federal excise tax I have paid on my long-distance service?
Taxpayers who choose to base their refund requests on the actual amount of tax paid should review their phone bills since Feb. 28, 2003. Taxes paid on local-only service are not eligible for the refund. In general, federal excise taxes paid on other types of service qualify. Federal access charges and state or local taxes and charges are not eligible for the refund.
The standard amount is based on actual telephone usage data, and the amount applicable to a family or other household reflects the phone tax on long-distance or bundled service paid by similarly sized families or households. Using this amount may be the easiest way for taxpayers to get their refund and avoid gathering 41 months of old phone records.
What if I don’t know whether I paid this tax?
Your phone service providers were required to include the federal excise tax on your monthly telephone bills. So if you had long distance or bundled service and received a monthly bill from your phone service provider, and you paid the bill including the tax amounts, then you should be eligible to request the refund.
Where do I go for more information?
Instructions for requesting this refund will be included with your tax forms and on this Web site. Therefore, most people will not need to call the IRS. If you decide to figure the actual amount of the refund rather than the standard refund, you will need copies of your phone bills. Telephone companies have already provided their customers with copies of their bills during the original billing periods and may charge for replacement copies of past bills, if they are available. Before contacting your telephone company, should you need to obtain replacement copies of past bills, you may want to check the company’s Web site.
What do I have to do now?
In most cases, nothing. Taxpayers will request this refund on their 2006 return. Accordingly, the IRS will begin accepting refund requests in January 2007.
The only decision you have to make is whether to use the standard amount or to request the amount of tax you actually paid. To take the standard amount, you don’t need to do anything now. You can figure it when you fill out your 2006 return.
If you are considering using the actual expense method, you may want to start gathering your phone bills since Feb. 28, 2003. As with any other line item on your return, starting early and keeping good records always makes the tax-preparation process easier.
Will the IRS pay interest on the refunded telephone tax?
Yes. The standard amount includes interest For those basing their request on the actual amount of tax paid, the instructions for Form 8913 explain how to figure the interest amount.
How do I decide if it’s better for me to use the actual or take the standard amount?
You can use whichever method gives you the larger refund. The standard amount is based on actual telephone usage data and the amount applicable to a family or other household reflects the tax on long-distance or bundled service paid by similarly sized families or households. Using this amount may be the easiest way for taxpayers to get their refund and avoid gathering 41 months of old phone records.
Example A: If a couple filing jointly had $20 in local service and $15 in long distance service each month over the 41 month period, their telephone tax refund based on their actual billing would be $15/month X 0.03 X 41 months = $18.45 (not including interest) in comparison to the standard refund amount of $40. The telephone tax paid on the local portion of their service is not eligible for the refund.
Example B: If a sole proprietor had $20 in local service, $50 in long distance per month and $150 in cellular phone charges for each month over the 41 month period, the telephone tax refund based on actual billing would be $200/month (50 +150) X 0.03 X 41 months = $246.00, in comparison to the standard refund amount of $30 (which would cover both personal and business expenses). The telephone tax paid on the local portion of their service is not eligible for the refund. The sole proprietor determines that they would benefit from requesting the actual amount of tax paid versus using the standard refund amount of $30. The taxpayer must maintain supporting documentation for their tax records.
Do I have to itemize to request this refund?
No. Because this is a refund of taxes previously paid, it does not matter whether you itemize or take the standard deduction.
Will I get a separate check?
No. The telephone tax refund will be treated as a one-time payment on your 2006 return. Accordingly, it will reduce the amount you owe on your return or increase the amount of your refund. What is the total amount the government expects to refund?
Economists at the U.S. Department of the Treasury estimate the amount refunded to individuals will be about $10 billion.
Source: http://www.irs.gov/newsroom/article/0,,id=161506,00.html
Additional help is available for exempt organizations to claim a refund of telephone excise taxes paid. In addition to the "Question and Answers" article, please see the "Frequently Asked Questions" article at the bottom of the webpage and Fact Sheet 2007-1 .
~John~
Thursday, January 18, 2007
What is the liability for individuals volunteering on a non profit board?
As the emails continue to pour in it's getting tougher to pick the topic I want to cover because all the questions are good ones! One however that seems to surface often involves board members or officers of the non profit board and the question of liability or the concern that an individual could be sued for actions they took while working on the non profit's behalf.
A great question!
The answer as I understand it, not being a lawyer, is not as straight forward as you might hope. Anyone, anywhere, can be sued for practically anything these days! Just because you are "doing good work" with a non profit does not prevent you from being sued. However in 1997 Congress passed the federal Volunteer Protection Act.
After reading the act itself and looking at what other experts say about the act, I think Don Kramer does the best job of giving you in layman's terms the clearest answer: "The new law (42 USCA Sec. 14501 et seq.) generally provides that volunteers will not be personally liable for their acts or omissions if they are acting within the scope of their responsibility for the organization and the harm is not caused by willful or criminal misconduct, gross negligence, reckless misconduct, or a conscious, flagrant indifference to the rights or safety of the individual harmed." Ref: December 1997 issue of Don Kramer’s Nonprofit Issues®. By the way, I really like Mr. Kramer's website and it is worth visiting and reading all the information he offers freely: http://www.nonprofitissues.com/.
In doing further research I read that the federal Volunteer Protection Act pre-empts existing state laws except those, like New Jersey's, that provide broader volunteer protection than the federal law. However, the new law does allow states to enact their own legislation to make the federal law inapplicable in a particular state.
It is important to note that the Act itself DOES NOT eliminate liability of the organization for the acts or omissions of its volunteer agents! Most non profits should have director's and officers
insurance to protect themselves and their volunteers. If the non profit doesn't carry insurance the volunteer will have to pay out of pocket for their defense.
I also found another website I would recommend reader glance over offered by ESIX, that sells liability insurance: http://www.amsportsinsurance.com/Education.aspx
~John~
A great question!
The answer as I understand it, not being a lawyer, is not as straight forward as you might hope. Anyone, anywhere, can be sued for practically anything these days! Just because you are "doing good work" with a non profit does not prevent you from being sued. However in 1997 Congress passed the federal Volunteer Protection Act.
After reading the act itself and looking at what other experts say about the act, I think Don Kramer does the best job of giving you in layman's terms the clearest answer: "The new law (42 USCA Sec. 14501 et seq.) generally provides that volunteers will not be personally liable for their acts or omissions if they are acting within the scope of their responsibility for the organization and the harm is not caused by willful or criminal misconduct, gross negligence, reckless misconduct, or a conscious, flagrant indifference to the rights or safety of the individual harmed." Ref: December 1997 issue of Don Kramer’s Nonprofit Issues®. By the way, I really like Mr. Kramer's website and it is worth visiting and reading all the information he offers freely: http://www.nonprofitissues.com/.
In doing further research I read that the federal Volunteer Protection Act pre-empts existing state laws except those, like New Jersey's, that provide broader volunteer protection than the federal law. However, the new law does allow states to enact their own legislation to make the federal law inapplicable in a particular state.
It is important to note that the Act itself DOES NOT eliminate liability of the organization for the acts or omissions of its volunteer agents! Most non profits should have director's and officers
insurance to protect themselves and their volunteers. If the non profit doesn't carry insurance the volunteer will have to pay out of pocket for their defense.
I also found another website I would recommend reader glance over offered by ESIX, that sells liability insurance: http://www.amsportsinsurance.com/Education.aspx
~John~
Wednesday, January 17, 2007
Non profit mergers and other topics!
As I have said in my previous posts, the emails I receive daily literally span the globe from origin and the questions asked can be very technical or rather common. I find myself often starting my email conversation with the line: I am not a lawyer or a CPA so I cannot give legal advice and if that is what you need you should consultant with them first before moving forward.
I have to admit there are times when I struggle and sometimes question my sanity because I offer my time, energy and knowledge so freely, but I do!
A sidebar story: I'm helping a friend of mine sell some of his stuff on eBay. One of the things he has to sell are stamps, which I know absolutely nothing about. After putting some online a potential buyer asked me a question i.e was the stamp hinged? Not knowing any better I thought he was asking had the stamp been bent or creased. Anyway the guy emailed me back a short but good description on basic stamp lingo. I emailed him back thanking him and ask a few more question about the value of certain stamps I knew I'd eventually list. His response was this: Seek expert advice; be willing to pay for it; opinions you paid nothing for are usually worth just that!
I have to admit that bothers me because as crazy as it sounds and is I work hard helping total strangers all day, everyday practically, 365 days out of the year! As I've said may times most of the time it is without pay. The advice I offer is valuable, it has the potential in many cases to change a life! In no way am I being braggadocio but I've read the pleas and in some ways felt the pain bleeding through the words. A few times after I respond I will get a email back thanking me for helping them find what they need. Thank you, is always nice to here!
So on to the emails....How do non profits merge?
Merger under state law may result in a new entity or in one of the parties to the merger ceasing its existence. In either case, the IRS must determine whether the post-merger entity continues to be organized and operated for section 501(c)(3) purposes.
Accordingly, you should notify the IRS, by letter to EO Customer Account Services, of the merger, and submit copies of any amendments to your articles of organization or by-laws as part of the merger transaction. You may also wish to consider whether the merger will result in other adverse tax consequences, such as recognition of gains on assets transferred.
See an article on the effect of Internal Revenue Code section 337 and Treasury Regulation section 1.337(d)-4 on exempt organizations. You may want to request a private letter ruling on the tax consequences of a merger.
Source: http://www.irs.gov/charities/charitable/article/0,,id=123188,00.html
~John~
I have to admit there are times when I struggle and sometimes question my sanity because I offer my time, energy and knowledge so freely, but I do!
A sidebar story: I'm helping a friend of mine sell some of his stuff on eBay. One of the things he has to sell are stamps, which I know absolutely nothing about. After putting some online a potential buyer asked me a question i.e was the stamp hinged? Not knowing any better I thought he was asking had the stamp been bent or creased. Anyway the guy emailed me back a short but good description on basic stamp lingo. I emailed him back thanking him and ask a few more question about the value of certain stamps I knew I'd eventually list. His response was this: Seek expert advice; be willing to pay for it; opinions you paid nothing for are usually worth just that!
I have to admit that bothers me because as crazy as it sounds and is I work hard helping total strangers all day, everyday practically, 365 days out of the year! As I've said may times most of the time it is without pay. The advice I offer is valuable, it has the potential in many cases to change a life! In no way am I being braggadocio but I've read the pleas and in some ways felt the pain bleeding through the words. A few times after I respond I will get a email back thanking me for helping them find what they need. Thank you, is always nice to here!
So on to the emails....How do non profits merge?
Merger under state law may result in a new entity or in one of the parties to the merger ceasing its existence. In either case, the IRS must determine whether the post-merger entity continues to be organized and operated for section 501(c)(3) purposes.
Accordingly, you should notify the IRS, by letter to EO Customer Account Services, of the merger, and submit copies of any amendments to your articles of organization or by-laws as part of the merger transaction. You may also wish to consider whether the merger will result in other adverse tax consequences, such as recognition of gains on assets transferred.
See an article on the effect of Internal Revenue Code section 337 and Treasury Regulation section 1.337(d)-4 on exempt organizations. You may want to request a private letter ruling on the tax consequences of a merger.
Source: http://www.irs.gov/charities/charitable/article/0,,id=123188,00.html
~John~
Monday, January 15, 2007
Non Profit Website Fundraising - The Truth!
The thing I like most is that every time I press the send/receive button I have no idea what adventure or interesting story I'm about to hear!
My personality is one of those that likes the thrill of the hunt, as well as finding the unusual treasure buried deep in the pile passed over and ignored by hundreds.
You're emails keep coming in, so this is keeping me busy! The last few emails have been rather unique. One was from a woman in Virginia looking for several specific cemetery plots in Rhode Island. While I realize cemetery companies are nonprofits i.e. 501(c)(13) many days I think I'm not a nonprofit consultant but a online cruise director answering questions like; When is the midnight buffet? Or answering the person saying, I need money can you send me some? Oh yea, I'll get right on that one for ya!
Still while the cemetery question was an odd one, I did help help this woman find her long lost relatives by providing her the phone number of the company that owns the cemetery as well as a link to an online reference giving the history of the cemetery and information on some of the plots. After all, I am a connector of people ~ be it dead or alive!
Now on to the topic for today........ It's my hope that today you can understand the truth, as I see it, about all the hype concerning online fundraising!
Sadly, I think, many non profits blindly jump when given the chance to sign up for a program that is touted as, the super secret and greatest money making deal of the century, instead of doing what they were taught to do in grade school: stop, drop and roll when you find yourself on fire!
Most of these new age snake oil salesman quickly and easily tell non profits that big money is just around the corner if they just do a few simple things! If you ever hear this statement:
"This plan really is the future of fundraising. In just a few weeks you can have a continuous and effortless stream of income 24/7 by just......."
Please folks, politely tell the person, thank you, but you are not interested! You're, after all, a non profit organization that doesn't have the staff or the time to be their sales force and you have enough work of your own to do just to survive!
Most of the online fundraising concepts I'd seen or heard pitched involve the following themes:
The person trying to sell you this great fundraising/money making concept gives you a "free web page;" which most times is a template page with a few fill in the blank sections. All in all these pages are completely worthless because they don't have any unique content and rarely show up on any search engine. Plus you don't have a specific domain name! However, the sales guy tries to convince you it is so easy to make money this way..... Oh they say: Just tell all you family, friends and donors to go to this page i.e. that promotes or sell their product or service, and you get a percentage by doing nothing. Come on guys!
Obviously the company selling this concept doesn't have the advertising dollars nor does it have the sales force to do the work they want done and that is why they want you! Trust me, it's not out a being civic minded or because they have a wonderful love for your non profit. It's all hype!
Please ask yourself these questions! Is the product or service that is being sold have any real point of difference or can you find it everywhere? Is this something the consumer really wants? Lastly, is what is being sold something some one, a reasonable person mind you, would be willing to make the effort to buy it from you?
To borrow a catch phase: Quality, Value and Convenience! All in all, it has to make good sound logical sense and be hassle free in order to work! Being successful online in selling goods or services only happen when; people want it and you have it at the lowest or at a reasonable price and you have repeated your message of how you can be found over and over so they know where to look!
Another twist to this same concept is the company gets you to place their information on your website and then tells you that you will get paid X percentage when people buy their product or service through your site. Usually there is no third party verification and it's all done on faith that you will get paid for what actually happens through your site. Sometimes the percentage payback is so low on these sales that it take tons of purchases before you ever get for first check, if you ever get one!
Now before I get a lot of flaming emails, and by the way I don't mind agreeing to disagree, I will admit that some affiliate programs do work but they are few and far between and you're not going to get rich doing this!
It's all based off of the web traffic you can generate, how sticky your site is because of your content and it boils down to a numbers game!
Again, let me ask you a simple question:
How many non profits are known for their web traffic? Very few!
Finally as I close I want to extinguish another myth that's floating around:
Being on the web is important for most non profits; but you have to put all this into prospective!
Establishing a website I think should only be attempted after a non profit has established themselves and become relatively stable in their funding. Then and only then, should they consider putting their information on the web. You don't want to have a website that is never updated or has no information in it.
Even before this happens you really first have to ask yourself WHY! Why do we want a website? It can't be for vanity sake or because other non profits have one! Secondly, what is the purpose for the website? Who is going to keep the information fresh and updated? Lastly, how are people going to know the site exist? All this has to be a part of your overall marketing plan. If you don't have a marketing plan...then forget the website idea!
Websites can be used as a decent advertising tool letting people know who you are and why you exist. But please folks, don't expect that people will just read you're information and think they will be flooding your mail box with checks! Likewise understand that using broadcast emails, faxes and in many cases emailed newsletters can, in some cases, be effective but it will be on a very limited basis!
In general, people don't want to waste their time and the real key is:
If they don't feel personally connected to your non profit via face to face time then the chance of them reading your emails, faxes and newsletters I think are slim too none!
~ John~
My personality is one of those that likes the thrill of the hunt, as well as finding the unusual treasure buried deep in the pile passed over and ignored by hundreds.
You're emails keep coming in, so this is keeping me busy! The last few emails have been rather unique. One was from a woman in Virginia looking for several specific cemetery plots in Rhode Island. While I realize cemetery companies are nonprofits i.e. 501(c)(13) many days I think I'm not a nonprofit consultant but a online cruise director answering questions like; When is the midnight buffet? Or answering the person saying, I need money can you send me some? Oh yea, I'll get right on that one for ya!
Still while the cemetery question was an odd one, I did help help this woman find her long lost relatives by providing her the phone number of the company that owns the cemetery as well as a link to an online reference giving the history of the cemetery and information on some of the plots. After all, I am a connector of people ~ be it dead or alive!
Now on to the topic for today........ It's my hope that today you can understand the truth, as I see it, about all the hype concerning online fundraising!
Sadly, I think, many non profits blindly jump when given the chance to sign up for a program that is touted as, the super secret and greatest money making deal of the century, instead of doing what they were taught to do in grade school: stop, drop and roll when you find yourself on fire!
Most of these new age snake oil salesman quickly and easily tell non profits that big money is just around the corner if they just do a few simple things! If you ever hear this statement:
"This plan really is the future of fundraising. In just a few weeks you can have a continuous and effortless stream of income 24/7 by just......."
Please folks, politely tell the person, thank you, but you are not interested! You're, after all, a non profit organization that doesn't have the staff or the time to be their sales force and you have enough work of your own to do just to survive!
Most of the online fundraising concepts I'd seen or heard pitched involve the following themes:
The person trying to sell you this great fundraising/money making concept gives you a "free web page;" which most times is a template page with a few fill in the blank sections. All in all these pages are completely worthless because they don't have any unique content and rarely show up on any search engine. Plus you don't have a specific domain name! However, the sales guy tries to convince you it is so easy to make money this way..... Oh they say: Just tell all you family, friends and donors to go to this page i.e. that promotes or sell their product or service, and you get a percentage by doing nothing. Come on guys!
Obviously the company selling this concept doesn't have the advertising dollars nor does it have the sales force to do the work they want done and that is why they want you! Trust me, it's not out a being civic minded or because they have a wonderful love for your non profit. It's all hype!
Please ask yourself these questions! Is the product or service that is being sold have any real point of difference or can you find it everywhere? Is this something the consumer really wants? Lastly, is what is being sold something some one, a reasonable person mind you, would be willing to make the effort to buy it from you?
To borrow a catch phase: Quality, Value and Convenience! All in all, it has to make good sound logical sense and be hassle free in order to work! Being successful online in selling goods or services only happen when; people want it and you have it at the lowest or at a reasonable price and you have repeated your message of how you can be found over and over so they know where to look!
Another twist to this same concept is the company gets you to place their information on your website and then tells you that you will get paid X percentage when people buy their product or service through your site. Usually there is no third party verification and it's all done on faith that you will get paid for what actually happens through your site. Sometimes the percentage payback is so low on these sales that it take tons of purchases before you ever get for first check, if you ever get one!
Now before I get a lot of flaming emails, and by the way I don't mind agreeing to disagree, I will admit that some affiliate programs do work but they are few and far between and you're not going to get rich doing this!
It's all based off of the web traffic you can generate, how sticky your site is because of your content and it boils down to a numbers game!
Again, let me ask you a simple question:
How many non profits are known for their web traffic? Very few!
Finally as I close I want to extinguish another myth that's floating around:
Being on the web is important for most non profits; but you have to put all this into prospective!
Establishing a website I think should only be attempted after a non profit has established themselves and become relatively stable in their funding. Then and only then, should they consider putting their information on the web. You don't want to have a website that is never updated or has no information in it.
Even before this happens you really first have to ask yourself WHY! Why do we want a website? It can't be for vanity sake or because other non profits have one! Secondly, what is the purpose for the website? Who is going to keep the information fresh and updated? Lastly, how are people going to know the site exist? All this has to be a part of your overall marketing plan. If you don't have a marketing plan...then forget the website idea!
Websites can be used as a decent advertising tool letting people know who you are and why you exist. But please folks, don't expect that people will just read you're information and think they will be flooding your mail box with checks! Likewise understand that using broadcast emails, faxes and in many cases emailed newsletters can, in some cases, be effective but it will be on a very limited basis!
In general, people don't want to waste their time and the real key is:
If they don't feel personally connected to your non profit via face to face time then the chance of them reading your emails, faxes and newsletters I think are slim too none!
~ John~
Ugh, I need chocolate! - Today is a tough day!
Well the non profit world is still humming for me and I had an email again from across the world, this time from Bangladesh! Others in the U.S. are continuing o email me with questions. A common question I seem to get several times a year is: How much money can a non profit have? I know of no IRS regulation that restricts the amount of funding a non profit can keep on hand. Obviously operating capital is needed and everyone needs funding for emergencies that take place.
Also, as I have mentioned in earlier posts I have been working with a computer program that was or is suppose to help me in building a database i.e. by going out and reviewing websites automatically and then storing the information it retrieves. I still have to go in manually and verify the information and I've spent hours and hours doing this! Darn it if it didn't screw up again and I can't get it to FTP to my website and when I tried to manually load it, it's still not working! So frustrating! I have or had over 900 different new websites collected to add to the information on http://www.nonprofitexpert.com/ I'm not sure now if it will work! I need chocolate!
A few days ago I got an email from another nonprofit blogger. She told me how it was interesting that her post about her car got more reads than some of her other posts! I had to chuckle and I was reminded of her story today when I had my own car troubles! No biggie, but passenger side window will not roll down, at least some of the time! This morning I took it to the car dealership.
Like usual when you drive in, it works, and after playing with it is didn't so there is a wire shorted out, luckily not the motor. Anyway today I'm without a car until this afternoon and I had to be dropped off at my office by their shuttle! So now sit back and relax and I want you to read my very own car story! ~ ENJOY~ :-)
The actor Will Smith had a line in a movie not long ago as he supposedly drove an alien spaceship, “I got to get me one of these!” Well, that was the same comment I made about a specific car I’d been looking at for some time! Now, for the ladies reading this article, you need to understand that for a man, in some cases that is, the vehicle he drives is like an extension of his personality. Maybe it’s just a mid-life thing. Honestly, I'm not sure what all the cars I have owned really say about me. But I'm sure the car I now own and drive has given me a new found “respect” on the road. That is why I consider it my own daily treasure! Let me explain further, as I delve back into my not so distant past. My previous cars have been no slouches; NO SIR, not at all. The movie Smokey and the Bandit inspired my first car - a blue Trans Am, minus the CB radio, but including the gaudy silver and gold eagle spread out on the hood. In retrospect, the car’s appearance screamed “hot rod,” and the interior fish scale reflector dashboard was nothing but cool back then. I longed to have the 455 four-barrel but parental pressure “persuaded” me that the smaller engine size would be best – if I wanted the car. Next, I moved up to a white limited production Turbo Trans Am - not much difference, but there were three glowing indicator lights i.e. low, medium and high on the hood scoop which made you think you had something special. Now it was time for a real biggie - the first brand new body style “arrest me red” Corvette with t-tops. When you looked at the car in the front, you would swear it was smiling at you! This chick magnet was perfect in a small college town, but needless to say the law enforcement community was also keenly aware of its presence. “Time flies,” as they say. All the pressures of real life and the need for full time employment made me turn conservative real fast. I wrapped myself in a comfy leather-bound Buick Park Avenue. Now, after going that route for several years, I’m finally driving the car that will be perfect for the rest of my life! There are no ifs ands or buts about it. This is the car, and I’m at the point in my life where I no longer care about impressing anyone and could care less if the car is brand new. I just want it to be functional and hassle free! My definition of functional and hassle free means I want to put gas in it, drive it, change the oil and tires every now and then and be done! So what is the prefect car, at least for me? Drum roll please, nothing has given me more pleasure than driving my Ford Crown Victoria! The car is white with gray leather interior and best of all it looks like a police car! My added front “Booze it and Lose It” license plate gives it a nice touch, and since I wear a suit some days I get all the waves from marked police cars and the friendly highway patrolmen also driving Crown Vic’s. Another great bonus is that the two lanes of rush hour traffic stop just about every afternoon to let me out of my parking lot! I love it! At the fair grounds this a few years back, I was waved in and directed to park up front between a deputy sheriff’s car and an unmarked highway patrol car. Plus, you can’t beat the service at the local Krispy Kreme. Every time I order at the drive-thru window they try to give it to me free! You’ve got to love a car that gives you all this while providing a smooth ride. I am however considering adding one other extra final touch to finish off this baby. On EBay™ they have a nice little sticker that says “Police Interceptor” you can put on the back of your car just for fun. Like Will Smith said, “I got to get me one of these!” ~John~
Also, as I have mentioned in earlier posts I have been working with a computer program that was or is suppose to help me in building a database i.e. by going out and reviewing websites automatically and then storing the information it retrieves. I still have to go in manually and verify the information and I've spent hours and hours doing this! Darn it if it didn't screw up again and I can't get it to FTP to my website and when I tried to manually load it, it's still not working! So frustrating! I have or had over 900 different new websites collected to add to the information on http://www.nonprofitexpert.com/ I'm not sure now if it will work! I need chocolate!
A few days ago I got an email from another nonprofit blogger. She told me how it was interesting that her post about her car got more reads than some of her other posts! I had to chuckle and I was reminded of her story today when I had my own car troubles! No biggie, but passenger side window will not roll down, at least some of the time! This morning I took it to the car dealership.
Like usual when you drive in, it works, and after playing with it is didn't so there is a wire shorted out, luckily not the motor. Anyway today I'm without a car until this afternoon and I had to be dropped off at my office by their shuttle! So now sit back and relax and I want you to read my very own car story! ~ ENJOY~ :-)
The actor Will Smith had a line in a movie not long ago as he supposedly drove an alien spaceship, “I got to get me one of these!” Well, that was the same comment I made about a specific car I’d been looking at for some time! Now, for the ladies reading this article, you need to understand that for a man, in some cases that is, the vehicle he drives is like an extension of his personality. Maybe it’s just a mid-life thing. Honestly, I'm not sure what all the cars I have owned really say about me. But I'm sure the car I now own and drive has given me a new found “respect” on the road. That is why I consider it my own daily treasure! Let me explain further, as I delve back into my not so distant past. My previous cars have been no slouches; NO SIR, not at all. The movie Smokey and the Bandit inspired my first car - a blue Trans Am, minus the CB radio, but including the gaudy silver and gold eagle spread out on the hood. In retrospect, the car’s appearance screamed “hot rod,” and the interior fish scale reflector dashboard was nothing but cool back then. I longed to have the 455 four-barrel but parental pressure “persuaded” me that the smaller engine size would be best – if I wanted the car. Next, I moved up to a white limited production Turbo Trans Am - not much difference, but there were three glowing indicator lights i.e. low, medium and high on the hood scoop which made you think you had something special. Now it was time for a real biggie - the first brand new body style “arrest me red” Corvette with t-tops. When you looked at the car in the front, you would swear it was smiling at you! This chick magnet was perfect in a small college town, but needless to say the law enforcement community was also keenly aware of its presence. “Time flies,” as they say. All the pressures of real life and the need for full time employment made me turn conservative real fast. I wrapped myself in a comfy leather-bound Buick Park Avenue. Now, after going that route for several years, I’m finally driving the car that will be perfect for the rest of my life! There are no ifs ands or buts about it. This is the car, and I’m at the point in my life where I no longer care about impressing anyone and could care less if the car is brand new. I just want it to be functional and hassle free! My definition of functional and hassle free means I want to put gas in it, drive it, change the oil and tires every now and then and be done! So what is the prefect car, at least for me? Drum roll please, nothing has given me more pleasure than driving my Ford Crown Victoria! The car is white with gray leather interior and best of all it looks like a police car! My added front “Booze it and Lose It” license plate gives it a nice touch, and since I wear a suit some days I get all the waves from marked police cars and the friendly highway patrolmen also driving Crown Vic’s. Another great bonus is that the two lanes of rush hour traffic stop just about every afternoon to let me out of my parking lot! I love it! At the fair grounds this a few years back, I was waved in and directed to park up front between a deputy sheriff’s car and an unmarked highway patrol car. Plus, you can’t beat the service at the local Krispy Kreme. Every time I order at the drive-thru window they try to give it to me free! You’ve got to love a car that gives you all this while providing a smooth ride. I am however considering adding one other extra final touch to finish off this baby. On EBay™ they have a nice little sticker that says “Police Interceptor” you can put on the back of your car just for fun. Like Will Smith said, “I got to get me one of these!” ~John~
Thursday, January 11, 2007
What's Happening Today!
I am not sure who opened the box in Kenya but today another email this time from a person needing individual assistance:
DEAR SIR/MADAM
I A MA NAFTAL ONDERI OBIRI FROM KENYA AGED 61 YEARS MALE.
I GOT ROAD ACCIDENT WHILW WORKING IN 1996.
I HAVE BEEN TREATED VARIOUS HOSPITALS IN KENYA BUT NO SUCCESS.
I HAVE BEEN RECOMMEDED TO GO FOR TREATMENT IN OVERSEAS HOSPITALS PREFARBLY U..SA WHERE COMPUTER TECHNOLOGY IS AVAILABLE FOR MY TOTAL HIP REPLACEMENT.
PLEASE FIND ONE OF MY PHOTOS WHILE IN HOSPITAL.
THANKS AS I HOPE TO HEAR FROM YOU AT YOUR SOONEST.
NAFTAL ONDERI OBIRI,
Well I put him it contact with the guy from the other day! But it is interesting how this happen for me over and over. Again I feel part of why I am here, literally is to be a "connector of people." It doesn't really fit on a business card nor does it explain why it is a calling versus a vocation. I doing it because this is what I am wired to do not because it is what I'm getting paid to do!
Also, flipping the page I've got some more neat cat jewelry for the Marley Fund: Joy is founder and a neat lady. I call her the crazy cat lady! You have to admire her passion and her ability to start an organization like hers and turn it into something that is now nationally known and was even featured in Cat Fancy! Pretty cool if you ask me.
You probably have to ask: Why is a consultant for nonprofits helping a nonprofit get jewelry? Well that is a long story, but again for space reasons I'll try to cut it down to size.
I've always had an interest in the "jewelry business". Really a love, hate relationship! I love the beauty but hate the hype and the prices. I learn early on about the key phrase "triple-keystone" which means in effect a 300% mark up! Legal highway robbery which I think is crazy!
All along I wanted to see if a neophyte like me could somehow find out the secret handshake needed to gain access and find the real wholesale price sheet. After several years of on again and off again search and running into countless dead ends; with my tax id number in hand I hit gold, well actually silver! I found someone wiling too let me in the side door and pick through bins and bins of .925 sterling silver jewelry! WARNING! When you finally get a wholesale price it spoils you. Your eyes are opened and you start to realize the deals in retail stores you thought were deals, is nothing but smoke and mirrors! An for the most part when you are paying retail you're not getting the best deal.
Now, back to how this fits into a consultant for non profits! More and more non profits are understanding that there is only so much they can charge as a fees for their service. Also, most non profits are limited in their time ability to devote the time needed to doing the research and the actual writing of grants. Plus if you're smart you learned quickly that grant monies are temporary monies! So non profits are forced to focus their efforts on fund raising.
If they happen to be one of the lucky ones, they have a good board that has one really large signature fundraising event! However, the vast majority of non profits that I'm aware of are stuck into having to hold lots of fund raising events in order to get the money they need to survive.
I'm convinced that in the not to distant future a new breed of non profits will grow into a more visible presence in every community around the country that are actually earning their own income by establishing separate business units. The profits from these independent businesses will then be funneled back into keeping the non profit alive. Organizations like the Salvation Army have been doing this for years and this is exactly the business model that Goodwill uses
in operating their 2000 stores! Also, you see this trend as well with domestic violence shelters now operating thrift stores or second hand boutiques. A word of caution, in some cases the monies earned "could be" deemed unrelated business income, meaning you might have to pay tax on the money regardless if you were a non profit or not. Very technical stuff!
So.... I have found a few sources for .925 sterling silver and other jewelry! I've been for sometime considering pitching this, not necessarily as a business for a non profit to get into, but more of a decent way to raise monies for non profits!
I'm not out to get rich or make lots of money myself by charging the outrageous prices I detest myself. No, I want to cover my cost and let the non profits make a 100% mark up and still allow their buyer/donor get a good deal! My thought process was to make the jewelry fund raiser one that was no risk for non profits! They would pay me for the jewelry, have they event and sell what they could and then return what they did not sell for a full refund!
Remember me saying I got in the door... Yep, well I also purchased a boat load of .925 sterling silver! I first toyed with the idea of putting in on a website and promoting it that way i.e via: http://www.justsilverjewelry.us/. While some of the items are listed, the mountains of pieces grew faster than I could keep up, so probably only 1/4 of the times are listed. So the jewelry has been bagged, tagged, categorized to death and put on hold until my mind clears and a better plan materializes: Calling all nonprofits, calling all nonprofits... you want to buy some sterling silver jewelry?
~ John~
DEAR SIR/MADAM
I A MA NAFTAL ONDERI OBIRI FROM KENYA AGED 61 YEARS MALE.
I GOT ROAD ACCIDENT WHILW WORKING IN 1996.
I HAVE BEEN TREATED VARIOUS HOSPITALS IN KENYA BUT NO SUCCESS.
I HAVE BEEN RECOMMEDED TO GO FOR TREATMENT IN OVERSEAS HOSPITALS PREFARBLY U..SA WHERE COMPUTER TECHNOLOGY IS AVAILABLE FOR MY TOTAL HIP REPLACEMENT.
PLEASE FIND ONE OF MY PHOTOS WHILE IN HOSPITAL.
THANKS AS I HOPE TO HEAR FROM YOU AT YOUR SOONEST.
NAFTAL ONDERI OBIRI,
Well I put him it contact with the guy from the other day! But it is interesting how this happen for me over and over. Again I feel part of why I am here, literally is to be a "connector of people." It doesn't really fit on a business card nor does it explain why it is a calling versus a vocation. I doing it because this is what I am wired to do not because it is what I'm getting paid to do!
Also, flipping the page I've got some more neat cat jewelry for the Marley Fund: Joy is founder and a neat lady. I call her the crazy cat lady! You have to admire her passion and her ability to start an organization like hers and turn it into something that is now nationally known and was even featured in Cat Fancy! Pretty cool if you ask me.
You probably have to ask: Why is a consultant for nonprofits helping a nonprofit get jewelry? Well that is a long story, but again for space reasons I'll try to cut it down to size.
I've always had an interest in the "jewelry business". Really a love, hate relationship! I love the beauty but hate the hype and the prices. I learn early on about the key phrase "triple-keystone" which means in effect a 300% mark up! Legal highway robbery which I think is crazy!
All along I wanted to see if a neophyte like me could somehow find out the secret handshake needed to gain access and find the real wholesale price sheet. After several years of on again and off again search and running into countless dead ends; with my tax id number in hand I hit gold, well actually silver! I found someone wiling too let me in the side door and pick through bins and bins of .925 sterling silver jewelry! WARNING! When you finally get a wholesale price it spoils you. Your eyes are opened and you start to realize the deals in retail stores you thought were deals, is nothing but smoke and mirrors! An for the most part when you are paying retail you're not getting the best deal.
Now, back to how this fits into a consultant for non profits! More and more non profits are understanding that there is only so much they can charge as a fees for their service. Also, most non profits are limited in their time ability to devote the time needed to doing the research and the actual writing of grants. Plus if you're smart you learned quickly that grant monies are temporary monies! So non profits are forced to focus their efforts on fund raising.
If they happen to be one of the lucky ones, they have a good board that has one really large signature fundraising event! However, the vast majority of non profits that I'm aware of are stuck into having to hold lots of fund raising events in order to get the money they need to survive.
I'm convinced that in the not to distant future a new breed of non profits will grow into a more visible presence in every community around the country that are actually earning their own income by establishing separate business units. The profits from these independent businesses will then be funneled back into keeping the non profit alive. Organizations like the Salvation Army have been doing this for years and this is exactly the business model that Goodwill uses
in operating their 2000 stores! Also, you see this trend as well with domestic violence shelters now operating thrift stores or second hand boutiques. A word of caution, in some cases the monies earned "could be" deemed unrelated business income, meaning you might have to pay tax on the money regardless if you were a non profit or not. Very technical stuff!
So.... I have found a few sources for .925 sterling silver and other jewelry! I've been for sometime considering pitching this, not necessarily as a business for a non profit to get into, but more of a decent way to raise monies for non profits!
I'm not out to get rich or make lots of money myself by charging the outrageous prices I detest myself. No, I want to cover my cost and let the non profits make a 100% mark up and still allow their buyer/donor get a good deal! My thought process was to make the jewelry fund raiser one that was no risk for non profits! They would pay me for the jewelry, have they event and sell what they could and then return what they did not sell for a full refund!
Remember me saying I got in the door... Yep, well I also purchased a boat load of .925 sterling silver! I first toyed with the idea of putting in on a website and promoting it that way i.e via: http://www.justsilverjewelry.us/. While some of the items are listed, the mountains of pieces grew faster than I could keep up, so probably only 1/4 of the times are listed. So the jewelry has been bagged, tagged, categorized to death and put on hold until my mind clears and a better plan materializes: Calling all nonprofits, calling all nonprofits... you want to buy some sterling silver jewelry?
~ John~
Wednesday, January 10, 2007
Another Interesting Day!
Well today, like most, has proven interesting. I got an email from an individual representing an International NGO that has been assigned to research projects in the area of family food production and clean water in Kenya, find a partner in the way of a local NGO and then plan a visit to begin a project(s) in the next few months. They also anticipate several long term projects over the next several years and these will potentially expand to some projects in the health sector and they wanted some help putting them in contact with some potential partners including contact with government officials in the ag sector and water/sanitation sector.
I thought I'd share with you my response so you can see how it work from my end and maybe again give you a glimpse at what I do daily:
Sure, I'll be happy to try to help.
It would be helpful to know a little more about the NGO and it's capacity, but regardless you might want to start by reading this page and talking with the folks at USAID: http://www.usaid.gov/locations/sub-saharan_africa/countries/kenya/. USAID will be able to share with you the partners they have in country and what they have done and are doing.
USAID/Kenya Mission Web Site: www.usaidkenya.org
Mission Director: Stephen M. Haykin
Local Address:
USAID/Kenya
P.O. Box 629
Village Market 00621
Nairobi
Kenya
Tel: 254-20-862 2000
Fax: 254-20-862 2680 / 2681 / 2682
From the US:
USAID/Kenya
UNIT 64102
APO, AE 09831-4102
Secondly, if you have not, you might want to review the brief information we have listed on our site: http://www.nonprofitexpert.com/countries/kenya.htm
Lastly, there are sixty-two US foundations that either show their parent company has a business interest in Kenya or have shown that the foundation has as a "field of interest" for programs in Kenya itself; these could be potential partners.
I have provided a list but could provide more details if needed but it would take probably a hour to pull the information and did not want to create a lot of extra work if it was not needed.
3M Company Contributions Program St. Paul, MN
3M Foundation St. Paul, MN
A Healing Touch Foundation Houston, TX
African American Self-Help Foundation Santa Rosa, CA
Agape Foundation, Inc., The Louisville, KY
All Nations Bible Seminars, Inc. Conyers, GA
BOC Group, Inc. Corporate Giving Program,The Murray Hill, NJ
Candle Foundation, The El Segundo, CA
Christensen Fund, The Palo Alto, CA
Christian Aid Ministries, Inc. Berlin, OH
Citigroup Foundation New York, NY
Citigroup Inc. Corporate Giving Program New York, NY
Colgate-Palmolive Company Contributions Program New York, NY
Corn Products Educational Foundation Westchester, IL
DDB Worldwide Communications Group, Inc. Corporate Giving Program New York, NY
DeMoss Foundation, Arthur S. West Palm Beach, FL
Derse Foundation Oconomowoc, WI
Eastman Kodak Charitable Trust Milwaukee, WI
Eastman Kodak Company Contributions Program Rochester, NY
ExxonMobil Foundation Irving, TX
Force for Good Foundation, The Provo, UT
Ford Foundation, The New York, NY
General Motors Cancer Research Foundation, Inc. Detroit, MI
General Motors Foundation, Inc. Detroit, MI
GM Corporate Giving Program Detroit, MI
i2 Foundation, Inc., The Dallas, TX
IBM Center for The Business of Government Washington, DC
IBM Corporate Giving Program Armonk, NY
IBM International Foundation Armonk, NY
International Fellowships Fund New York, NY
International Humanity Foundation La Jolla, CA
International Rescue Committee, Inc. New York, NY
International Youth Foundation Baltimore, MD
Johnson Foundation, Inc., William M. and Phyllis B., The Canton, GA
Johnson Fund, Inc., SC Racine, WI
Kenya Children's Fund Hopkins, MN
Lifestream Foundation St. Paul, MN
Luminescence Foundation, Inc., The Middleburg, VA
Make a Mark Foundation, Inc. Stevens Point, WI
Marafiki Global Aids Ministry Columbus, OH
Mortenson Family Foundation, The Minneapolis, MN
Mpala Wildlife Foundation, Inc. Baltimore, MD
NCR Corporation Contributions Program Dayton, OH
NCR Foundation, The Dayton, OH
NCR Scholarship Foundation Dayton, OH
Nicholas Foundation, Michael G. Wheeling, IL
Ogilvy Foundation, The New York, NY
Open Doors International, Inc. Santa Ana, CA
Oswald Family Foundation Minnetonka, MN
Pfizer Foundation, Inc., The New York, NY
Pfizer Inc. Corporate Giving Program New York, NY
Pope Foundation Springville, UT
Prophet Corporation Foundation Owatonna, MN
Rouse Family Charitable Trust Plymouth Meeting, PA
Thompson Company Fund, Inc., J. Walter New York, NY
Tripifoods Foundation Buffalo, NY
Urgent Action Fund for Women's Human Rights Boulder, CO
Vista Hermosa Prescott, WA
Weberg Trust Scottsdale, AZ
Westcott Memorial Youth Foundation, Inc., Sanford Rossville, GA
Wildlife Trust, The Yountville, CA
Wrigley Jr. Company Foundation, Wm. Chicago, IL
The following is a sample of the detailed information:
African American Self-Help Foundation
182 Farmers Ln., Ste. 201
Santa Rosa, CA 95405
Telephone: (707) 528-3499
Contact: Jeff Baugham, Vice-Chair.
E-mail: info@aashf.org
URL: http://www.aashf.org
Type of grantmaker: Public charity.
Background: Established in 1981.
Purpose and activities: The foundation seeks to provide relief and self-help to African children and families as well as single, working African American mothers in the U.S.
Fields of interest: Africa; African Americans/Blacks; Human services; Kenya; Sudan; Uganda; Zambia.
Geographic focus: National; international
Types of support: In-kind gifts.
Limitations: Giving on a national and international basis.
Publications: Annual report.
Officers and Directors:* Monte E. Wilson, M.D.,* Chair.; Jeff Baugham,* Vice-Chair.; Joseph Spiccia,* Secy.-Treas.; Gary Metz; Andrew Sandlin; Doug Weber.
Financial data: (yr. ended 06/30/05): Revenue, $3,825,219; assets, $374,968 (M); gifts received, $3,822,696; expenditures, $3,774,639; total giving, $3,567,026; program services expenses, $3,697,318; giving activities include $177,929 for 12 grants (high: $41,770; low: $600) and $3,389,097 for in-kind gifts.
EIN: 521224507
Whew... so one email down and a few more questions to answer!
Also, today I got a call from the state treasurer's office..I'll try to make this long story short! Four years ago when I became a Pitt County Commissioner on my own I secured the names of all the people and businesses that were owed money by the state and literally paid to have the information published in our local newspaper in a pull out insert... not cheap! There were 9,775 names of businesses and individuals that were owed over $1.9 million dollars!
I also created www.ncrefund.com for not just folks in Pitt County but for everyone to try to help people understand all the places money that is owed to them is hidden!
Anyway, the call involved them trying to return $24,000 that the state had been holding and trying to give back for the last six months but couldn't get the information finalized. UGH! You would think that would be a priority, but regardless a well placed phone call solved that one for them! :-)
You would think I would be getting big bucks for all this, huh! Think again, this is just all in a "regular" days work! :-) ~John~
I thought I'd share with you my response so you can see how it work from my end and maybe again give you a glimpse at what I do daily:
Sure, I'll be happy to try to help.
It would be helpful to know a little more about the NGO and it's capacity, but regardless you might want to start by reading this page and talking with the folks at USAID: http://www.usaid.gov/locations/sub-saharan_africa/countries/kenya/. USAID will be able to share with you the partners they have in country and what they have done and are doing.
USAID/Kenya Mission Web Site: www.usaidkenya.org
Mission Director: Stephen M. Haykin
Local Address:
USAID/Kenya
P.O. Box 629
Village Market 00621
Nairobi
Kenya
Tel: 254-20-862 2000
Fax: 254-20-862 2680 / 2681 / 2682
From the US:
USAID/Kenya
UNIT 64102
APO, AE 09831-4102
Secondly, if you have not, you might want to review the brief information we have listed on our site: http://www.nonprofitexpert.com/countries/kenya.htm
Lastly, there are sixty-two US foundations that either show their parent company has a business interest in Kenya or have shown that the foundation has as a "field of interest" for programs in Kenya itself; these could be potential partners.
I have provided a list but could provide more details if needed but it would take probably a hour to pull the information and did not want to create a lot of extra work if it was not needed.
3M Company Contributions Program St. Paul, MN
3M Foundation St. Paul, MN
A Healing Touch Foundation Houston, TX
African American Self-Help Foundation Santa Rosa, CA
Agape Foundation, Inc., The Louisville, KY
All Nations Bible Seminars, Inc. Conyers, GA
BOC Group, Inc. Corporate Giving Program,The Murray Hill, NJ
Candle Foundation, The El Segundo, CA
Christensen Fund, The Palo Alto, CA
Christian Aid Ministries, Inc. Berlin, OH
Citigroup Foundation New York, NY
Citigroup Inc. Corporate Giving Program New York, NY
Colgate-Palmolive Company Contributions Program New York, NY
Corn Products Educational Foundation Westchester, IL
DDB Worldwide Communications Group, Inc. Corporate Giving Program New York, NY
DeMoss Foundation, Arthur S. West Palm Beach, FL
Derse Foundation Oconomowoc, WI
Eastman Kodak Charitable Trust Milwaukee, WI
Eastman Kodak Company Contributions Program Rochester, NY
ExxonMobil Foundation Irving, TX
Force for Good Foundation, The Provo, UT
Ford Foundation, The New York, NY
General Motors Cancer Research Foundation, Inc. Detroit, MI
General Motors Foundation, Inc. Detroit, MI
GM Corporate Giving Program Detroit, MI
i2 Foundation, Inc., The Dallas, TX
IBM Center for The Business of Government Washington, DC
IBM Corporate Giving Program Armonk, NY
IBM International Foundation Armonk, NY
International Fellowships Fund New York, NY
International Humanity Foundation La Jolla, CA
International Rescue Committee, Inc. New York, NY
International Youth Foundation Baltimore, MD
Johnson Foundation, Inc., William M. and Phyllis B., The Canton, GA
Johnson Fund, Inc., SC Racine, WI
Kenya Children's Fund Hopkins, MN
Lifestream Foundation St. Paul, MN
Luminescence Foundation, Inc., The Middleburg, VA
Make a Mark Foundation, Inc. Stevens Point, WI
Marafiki Global Aids Ministry Columbus, OH
Mortenson Family Foundation, The Minneapolis, MN
Mpala Wildlife Foundation, Inc. Baltimore, MD
NCR Corporation Contributions Program Dayton, OH
NCR Foundation, The Dayton, OH
NCR Scholarship Foundation Dayton, OH
Nicholas Foundation, Michael G. Wheeling, IL
Ogilvy Foundation, The New York, NY
Open Doors International, Inc. Santa Ana, CA
Oswald Family Foundation Minnetonka, MN
Pfizer Foundation, Inc., The New York, NY
Pfizer Inc. Corporate Giving Program New York, NY
Pope Foundation Springville, UT
Prophet Corporation Foundation Owatonna, MN
Rouse Family Charitable Trust Plymouth Meeting, PA
Thompson Company Fund, Inc., J. Walter New York, NY
Tripifoods Foundation Buffalo, NY
Urgent Action Fund for Women's Human Rights Boulder, CO
Vista Hermosa Prescott, WA
Weberg Trust Scottsdale, AZ
Westcott Memorial Youth Foundation, Inc., Sanford Rossville, GA
Wildlife Trust, The Yountville, CA
Wrigley Jr. Company Foundation, Wm. Chicago, IL
The following is a sample of the detailed information:
African American Self-Help Foundation
182 Farmers Ln., Ste. 201
Santa Rosa, CA 95405
Telephone: (707) 528-3499
Contact: Jeff Baugham, Vice-Chair.
E-mail: info@aashf.org
URL: http://www.aashf.org
Type of grantmaker: Public charity.
Background: Established in 1981.
Purpose and activities: The foundation seeks to provide relief and self-help to African children and families as well as single, working African American mothers in the U.S.
Fields of interest: Africa; African Americans/Blacks; Human services; Kenya; Sudan; Uganda; Zambia.
Geographic focus: National; international
Types of support: In-kind gifts.
Limitations: Giving on a national and international basis.
Publications: Annual report.
Officers and Directors:* Monte E. Wilson, M.D.,* Chair.; Jeff Baugham,* Vice-Chair.; Joseph Spiccia,* Secy.-Treas.; Gary Metz; Andrew Sandlin; Doug Weber.
Financial data: (yr. ended 06/30/05): Revenue, $3,825,219; assets, $374,968 (M); gifts received, $3,822,696; expenditures, $3,774,639; total giving, $3,567,026; program services expenses, $3,697,318; giving activities include $177,929 for 12 grants (high: $41,770; low: $600) and $3,389,097 for in-kind gifts.
EIN: 521224507
Whew... so one email down and a few more questions to answer!
Also, today I got a call from the state treasurer's office..I'll try to make this long story short! Four years ago when I became a Pitt County Commissioner on my own I secured the names of all the people and businesses that were owed money by the state and literally paid to have the information published in our local newspaper in a pull out insert... not cheap! There were 9,775 names of businesses and individuals that were owed over $1.9 million dollars!
I also created www.ncrefund.com for not just folks in Pitt County but for everyone to try to help people understand all the places money that is owed to them is hidden!
Anyway, the call involved them trying to return $24,000 that the state had been holding and trying to give back for the last six months but couldn't get the information finalized. UGH! You would think that would be a priority, but regardless a well placed phone call solved that one for them! :-)
You would think I would be getting big bucks for all this, huh! Think again, this is just all in a "regular" days work! :-) ~John~
Monday, January 8, 2007
Truth - 71.2% of Americans DO NOT Volunteer!
First, I want everyone to understand that I realize that non profits are very dependant on the volunteers they have! Most governing boards are volunteers and in many organizations volunteers also help paid staff member carry out programs daily. Truly for many, non profits volunteers are the cornerstone for which the rest of the organization is built!
Yet, I want to be totally honest and not try to skirt around issues like so many do to be politically correct!
Let’s face it, in the non profit arena there tends to be a great deal of dysfunction in dealing with and having a large group of volunteers. The word volunteer itself according to Webster means a person who voluntarily offers himself or herself for service or undertaking. If you are a paid staff person in an organization understanding what role exactly a volunteer should or should not take is often difficult at best to discern. Every organization is different and every need is unique. In my experience as a consultant I have seen nonprofit organizations view volunteers in two very different ways.
Non profits in general either want and freely accept volunteers or are clueless and have no idea why they would want to have a group of volunteers. For the latter a volunteer is someone that is more of an annoyance because the job at hand does not really match with the hours and the limited time commitment a person is willing to give. Later you will see the stats below and this should become clearer to you how this is in fact a reality.
At one time in our history the words “community service” were seen in a positive light. Now unfortunately the term is used more in referring to people involved in the court system and are made to volunteer as part of their sentence to “give back” to society by giving time! Ironic isn’t it?
Another void I feel needs to be pointed out and often missed in dealing with volunteers it what it actually costs! In the for-profit world larger companies know to the penny what it costs them to train an employee. Yet in the nonprofit arena what it truly costs to screen, place and train a volunteer is ignored. On the surface it is very easy to be overly critical of an agency who shuns volunteers and often broad statements are made that to be a successful nonprofit you MUST have a large number volunteers in your organization. But is this really truth or fiction?
To understand the real role volunteers have in America we need to look at the hard data. The Bureau of Labor Statistics conducts an annual study on the volunteer rates in the U.S. The most recent report was released in December 2004 and looks at volunteer rates from September 2003 to September 2004. (1)
At first glance the numbers seem huge pegging the number of people that volunteer in the US at 64.5 million people. However, looking at the entire population as a whole in the country you are looking at only 28.8%. So this means 71.2% of Americans do not volunteer! Which begs the question, why? There are obviously a myriad of reasons and for now I will leave those facts for others to discuss.
For now, however, let’s look at the fact that non profits in the United States are surviving with only 28.8% of the population actually volunteering! Ok, now you know that only 28.8% of the population volunteers, what does that really mean in terms of time actually spent on an annual basis? Well, 21.3% of the people who volunteer spend annually between one to fourteen hours and 24.3% spend fifteen to forty nine hours annually and 15% spend fifty to ninety nine hours annually and 28.1% spend one hundred and one hours to four hundred and ninety nine hours annually. The additional 5.7% did not report the number of hours spent volunteering. So, the median amount of time people volunteer is 52 hours! (2)
With that number in mind you need to ask yourself a simple and maybe profound question. Assuming that you had lots of instruction on exactly what it was you were volunteering to do, how much could you do in 52 hours annually?
Lastly, in the nonprofit arena a great deal of time and energy is focused on trying to attain the “perfect nonprofit board”. Diversity is a word that this thrown out and touted constantly. Part of the perfection in many individual’s mind is making sure that the nonprofit board represents the community you serve which is a very noble goal in everyone mind!
Looking at the fact and looking at the demographic information with a focus specifically looking at race and sex. When we look at volunteering by race we see 30.5% of the white population volunteers which equals 55,892,000 people and 20.8% of the black population volunteer which equals 5,435,000 people as well as 19.3% Asian 1,832,000 people and 14.5% Hispanic or Latino volunteer which equals 4,102,000 people.
Many national nonprofits i.e. United Way and the Red Cross to name a few, as well as large for profit corporations are spending millions of dollars for the sake of striving to be more diverse in their workforce and/or volunteer base. Again, I honestly think these efforts are, for the most part, very sincere in an effort to be a mirror of the communities they serve and to be seen as inclusive. However, in 2004 the number of 501c3 nonprofits in the United States totaled over one million! (3) So, looking at the above facts you can clearly see that the pool of non-white volunteers to pick from is relatively small. For many boards it often seems nonexistent and proves frustrating when trying desperately to have a diverse board. I am not suggesting that everyone should abandon their efforts but everyone should be honest in looking at the numbers!
In closing, I know there will be many folks out there that will criticize me even if I'm basically stating facts, versus being politically correct. Fact is fact, and if someone wants to deny it than it hard to help begin to find the solution.
~ John~
Sources:
(1) The Bureau of Labor Statistics issues an annual study on volunteer rates in the U.S. http://www.bls.gov/news.release/volun.nr0.htm
(2) Volunteers by annual hours of volunteer activities and selected characteristics, September 2004 http://www.bls.gov/news.release/volun.t02.htm
(3) Tax-Exempt Organizations and Other Entities Listed on the Exempt Organization Business Master File, by Type of Organization and Internal Revenue Code Section, Fiscal Years 2001-2004 http://www.irs.gov/pub/irs-soi/04db22eo.xls
Yet, I want to be totally honest and not try to skirt around issues like so many do to be politically correct!
Let’s face it, in the non profit arena there tends to be a great deal of dysfunction in dealing with and having a large group of volunteers. The word volunteer itself according to Webster means a person who voluntarily offers himself or herself for service or undertaking. If you are a paid staff person in an organization understanding what role exactly a volunteer should or should not take is often difficult at best to discern. Every organization is different and every need is unique. In my experience as a consultant I have seen nonprofit organizations view volunteers in two very different ways.
Non profits in general either want and freely accept volunteers or are clueless and have no idea why they would want to have a group of volunteers. For the latter a volunteer is someone that is more of an annoyance because the job at hand does not really match with the hours and the limited time commitment a person is willing to give. Later you will see the stats below and this should become clearer to you how this is in fact a reality.
At one time in our history the words “community service” were seen in a positive light. Now unfortunately the term is used more in referring to people involved in the court system and are made to volunteer as part of their sentence to “give back” to society by giving time! Ironic isn’t it?
Another void I feel needs to be pointed out and often missed in dealing with volunteers it what it actually costs! In the for-profit world larger companies know to the penny what it costs them to train an employee. Yet in the nonprofit arena what it truly costs to screen, place and train a volunteer is ignored. On the surface it is very easy to be overly critical of an agency who shuns volunteers and often broad statements are made that to be a successful nonprofit you MUST have a large number volunteers in your organization. But is this really truth or fiction?
To understand the real role volunteers have in America we need to look at the hard data. The Bureau of Labor Statistics conducts an annual study on the volunteer rates in the U.S. The most recent report was released in December 2004 and looks at volunteer rates from September 2003 to September 2004. (1)
At first glance the numbers seem huge pegging the number of people that volunteer in the US at 64.5 million people. However, looking at the entire population as a whole in the country you are looking at only 28.8%. So this means 71.2% of Americans do not volunteer! Which begs the question, why? There are obviously a myriad of reasons and for now I will leave those facts for others to discuss.
For now, however, let’s look at the fact that non profits in the United States are surviving with only 28.8% of the population actually volunteering! Ok, now you know that only 28.8% of the population volunteers, what does that really mean in terms of time actually spent on an annual basis? Well, 21.3% of the people who volunteer spend annually between one to fourteen hours and 24.3% spend fifteen to forty nine hours annually and 15% spend fifty to ninety nine hours annually and 28.1% spend one hundred and one hours to four hundred and ninety nine hours annually. The additional 5.7% did not report the number of hours spent volunteering. So, the median amount of time people volunteer is 52 hours! (2)
With that number in mind you need to ask yourself a simple and maybe profound question. Assuming that you had lots of instruction on exactly what it was you were volunteering to do, how much could you do in 52 hours annually?
Lastly, in the nonprofit arena a great deal of time and energy is focused on trying to attain the “perfect nonprofit board”. Diversity is a word that this thrown out and touted constantly. Part of the perfection in many individual’s mind is making sure that the nonprofit board represents the community you serve which is a very noble goal in everyone mind!
Looking at the fact and looking at the demographic information with a focus specifically looking at race and sex. When we look at volunteering by race we see 30.5% of the white population volunteers which equals 55,892,000 people and 20.8% of the black population volunteer which equals 5,435,000 people as well as 19.3% Asian 1,832,000 people and 14.5% Hispanic or Latino volunteer which equals 4,102,000 people.
Many national nonprofits i.e. United Way and the Red Cross to name a few, as well as large for profit corporations are spending millions of dollars for the sake of striving to be more diverse in their workforce and/or volunteer base. Again, I honestly think these efforts are, for the most part, very sincere in an effort to be a mirror of the communities they serve and to be seen as inclusive. However, in 2004 the number of 501c3 nonprofits in the United States totaled over one million! (3) So, looking at the above facts you can clearly see that the pool of non-white volunteers to pick from is relatively small. For many boards it often seems nonexistent and proves frustrating when trying desperately to have a diverse board. I am not suggesting that everyone should abandon their efforts but everyone should be honest in looking at the numbers!
In closing, I know there will be many folks out there that will criticize me even if I'm basically stating facts, versus being politically correct. Fact is fact, and if someone wants to deny it than it hard to help begin to find the solution.
~ John~
Sources:
(1) The Bureau of Labor Statistics issues an annual study on volunteer rates in the U.S. http://www.bls.gov/news.release/volun.nr0.htm
(2) Volunteers by annual hours of volunteer activities and selected characteristics, September 2004 http://www.bls.gov/news.release/volun.t02.htm
(3) Tax-Exempt Organizations and Other Entities Listed on the Exempt Organization Business Master File, by Type of Organization and Internal Revenue Code Section, Fiscal Years 2001-2004 http://www.irs.gov/pub/irs-soi/04db22eo.xls
Short Cuts... Everyone Wants One In Fundraising!
From time to time I get emails from folks wanting to be listed on my website. While I have sold advertising space or just asked for an annual listing fee, I am very picky on who I list and really review what products they promote.
Some time ago I had a guy call me with this great new fundraising idea for non profits involving this company getting the non profit's donor to allowing them to take out an insurance policy on the donor's life and the beneficiary would be the non profit and of course the company selling this product. Also neither the non profit nor the donor would have to pay anything! This company had somehow gotten an insurance company to agree to this crazy deal as well as a bank to load the money, I assume based on mortality tables. Obviously this "great fundraising idea" has been outlawed by most states now and the IRS thankfully was all over this one for good reason! I politely denied being associated with this guy and he could not understand why I didn't want to promote this wonderful fundraising idea! Unbeknownst to the salesman of his idea, I've been dealing with life insurance since I was in my early 20's and my first question right out of the box was how can you proved insurable interest! Anyway I passed on this, like I do on most of these great deals!
Other of these "great ideas" that seem to come and go for non profit fundraising is whereby the non profit has to promote some "unbelievable deal" to their donor database i.e. credit card sign up, travel packages, phone services and the list goes on and on. What most of these group pushing to get the non profit attention don't realize is that in most cases non profits don't have the resources to be their private sales force! Many non profits I talk with are struggling just to run their programs and try to get their boards motivated to do the fundraising they are suppose to do. Boards in turn look for short cuts too and sometimes hire professional fundraisers who, in many cases, walk away with more that the nonprofit gets, which for me is nothing but criminal. All non profits need to look to having their own signature fundraising and doing it themselves. It is not easy, no one said life was fair or easy but that is the boards job to help secure the non profits financial stability.
As a consultant I can tell you that there is no one size fits all fundraiser that works everywhere! Non profits however do have to really focus on on the time they have to spend and what they net from the event they hold. Many times when I talk to a nonprofit and ask them why they are doing this event it is because they have always done it. Not that they have really analyzed to see if it was the best and most cost effective thing to do. Also I think non profits from time to time really need to stop and analyze their funding mix i.e. how much comes from program fees, local, state or federal government grants, United Way, individual donors, civic groups, local businesses and corporations, foundations and endowments or trusts. If you are relying too much on one source then it is only prudent of you and your board to make an effort to do something different and purpose to making a change!
~ John ~
Some time ago I had a guy call me with this great new fundraising idea for non profits involving this company getting the non profit's donor to allowing them to take out an insurance policy on the donor's life and the beneficiary would be the non profit and of course the company selling this product. Also neither the non profit nor the donor would have to pay anything! This company had somehow gotten an insurance company to agree to this crazy deal as well as a bank to load the money, I assume based on mortality tables. Obviously this "great fundraising idea" has been outlawed by most states now and the IRS thankfully was all over this one for good reason! I politely denied being associated with this guy and he could not understand why I didn't want to promote this wonderful fundraising idea! Unbeknownst to the salesman of his idea, I've been dealing with life insurance since I was in my early 20's and my first question right out of the box was how can you proved insurable interest! Anyway I passed on this, like I do on most of these great deals!
Other of these "great ideas" that seem to come and go for non profit fundraising is whereby the non profit has to promote some "unbelievable deal" to their donor database i.e. credit card sign up, travel packages, phone services and the list goes on and on. What most of these group pushing to get the non profit attention don't realize is that in most cases non profits don't have the resources to be their private sales force! Many non profits I talk with are struggling just to run their programs and try to get their boards motivated to do the fundraising they are suppose to do. Boards in turn look for short cuts too and sometimes hire professional fundraisers who, in many cases, walk away with more that the nonprofit gets, which for me is nothing but criminal. All non profits need to look to having their own signature fundraising and doing it themselves. It is not easy, no one said life was fair or easy but that is the boards job to help secure the non profits financial stability.
As a consultant I can tell you that there is no one size fits all fundraiser that works everywhere! Non profits however do have to really focus on on the time they have to spend and what they net from the event they hold. Many times when I talk to a nonprofit and ask them why they are doing this event it is because they have always done it. Not that they have really analyzed to see if it was the best and most cost effective thing to do. Also I think non profits from time to time really need to stop and analyze their funding mix i.e. how much comes from program fees, local, state or federal government grants, United Way, individual donors, civic groups, local businesses and corporations, foundations and endowments or trusts. If you are relying too much on one source then it is only prudent of you and your board to make an effort to do something different and purpose to making a change!
~ John ~
Wednesday, January 3, 2007
Capacity Building / Organization Development
Back in 1995 the Mary Reynolds Babcock Foundation started an organization development program in an effort to try to help 100 community based groups in the Southeast. A long report was written and published by researchers Ann Philbin and Sarah Mikush: http://www.ncnonprofits.org/faq/babcock.pdf The report is also listed on the foundation’s website: http://www.mrbf.org/.
First their definition of Organizational Development is as follows: “Organizational development is the process through which an organization develops the internal capacity to be the most effective it can be in its mission work and to sustain itself over the long term.”
Looking again at the research from this report it was clear that it was not just money that was needed to help strengthen the organizations but it also involved having the nonprofits fully understand the important of establishing ongoing organization development. This continual involvement in improving their overall internal and external structure was not only crucial to their growth but also their over all chance of survival.
You would think that if a nonprofits survival depends on their ability to adapt and grow and change and embrace the ongoing task of organizational development i.e. building capacity then this would likewise also be a high very priority for people funding them!
However, regardless of all the studies showing how important this concept really is the people giving out the money don’t see it as their role to accept this responsibility making sure that nonprofits can sustain themselves. Basically nonprofits are left to do it themselves!
On one hand foundations and grant funders expect all nonprofits to be strong both in organizational structure and their ability to accomplish the mission set before them. They expect nonprofits no matter their size or budget to have the best trained staff, a fully vested volunteer board that gives both money and time freely, and have complete community support i.e. raising most of the money on their own via fundraisers. Lastly it is expected that organizations should be able to show impressive quantifiable results when it comes to serving their clients! Unfortunately I feel some funders are jumping on the bandwagon creating elaborate evaluation methods for nonprofits when it really amounts to just pushing lots of paper and creating more pressure on an already over burdened staff.
The reality is running any organization with a volunteer board of directors in almost all cases create some problems that are not easy to deal. Second, in order to run a business, and that is what a nonprofit is, it helps if you have some experience to know what you are doing. Understand the service delivery end is only one part of the puzzle for a nonprofit. It also helps greatly if the staff also fully understanding basic business principles found by running a for profit company.
Today nonprofits are turning over ever rock possible to find money to carry out their program. Unfortunately there are only so many places money can be found! Likewise it needs to be noted that there are three main spheres of influence that basically control and direct our lives daily i.e. the government, businesses and nonprofits; each one of these groups having a specific set of goals and objectives that guides them. In short, long term success of each depends greatly on their ability and willingness to take responsibility!
Who will take on the task that needs to be accomplished and who has the resources and the ability to do what is needed to be done? We see a constant pushing and pulling from the government and business sectors. In many ways the nonprofit sector is the safety net that catches the things not profitable for business to do nor acceptable for government to take over. So it exist…it struggles…it grows!
~John~
First their definition of Organizational Development is as follows: “Organizational development is the process through which an organization develops the internal capacity to be the most effective it can be in its mission work and to sustain itself over the long term.”
Looking again at the research from this report it was clear that it was not just money that was needed to help strengthen the organizations but it also involved having the nonprofits fully understand the important of establishing ongoing organization development. This continual involvement in improving their overall internal and external structure was not only crucial to their growth but also their over all chance of survival.
You would think that if a nonprofits survival depends on their ability to adapt and grow and change and embrace the ongoing task of organizational development i.e. building capacity then this would likewise also be a high very priority for people funding them!
However, regardless of all the studies showing how important this concept really is the people giving out the money don’t see it as their role to accept this responsibility making sure that nonprofits can sustain themselves. Basically nonprofits are left to do it themselves!
On one hand foundations and grant funders expect all nonprofits to be strong both in organizational structure and their ability to accomplish the mission set before them. They expect nonprofits no matter their size or budget to have the best trained staff, a fully vested volunteer board that gives both money and time freely, and have complete community support i.e. raising most of the money on their own via fundraisers. Lastly it is expected that organizations should be able to show impressive quantifiable results when it comes to serving their clients! Unfortunately I feel some funders are jumping on the bandwagon creating elaborate evaluation methods for nonprofits when it really amounts to just pushing lots of paper and creating more pressure on an already over burdened staff.
The reality is running any organization with a volunteer board of directors in almost all cases create some problems that are not easy to deal. Second, in order to run a business, and that is what a nonprofit is, it helps if you have some experience to know what you are doing. Understand the service delivery end is only one part of the puzzle for a nonprofit. It also helps greatly if the staff also fully understanding basic business principles found by running a for profit company.
Today nonprofits are turning over ever rock possible to find money to carry out their program. Unfortunately there are only so many places money can be found! Likewise it needs to be noted that there are three main spheres of influence that basically control and direct our lives daily i.e. the government, businesses and nonprofits; each one of these groups having a specific set of goals and objectives that guides them. In short, long term success of each depends greatly on their ability and willingness to take responsibility!
Who will take on the task that needs to be accomplished and who has the resources and the ability to do what is needed to be done? We see a constant pushing and pulling from the government and business sectors. In many ways the nonprofit sector is the safety net that catches the things not profitable for business to do nor acceptable for government to take over. So it exist…it struggles…it grows!
~John~
Tuesday, January 2, 2007
Explaining what I do! I'm not you're typical consultant who helps nonprofits!
Over the next week or so I plan to write specifically about "capacity building" and I'll try to reference some of the recent studies that have taken place over the last few years. I'll also try to bring some specific points forward from these studies to help you, the reader, understand what you need to do as a nonprofit to build the capacity of your organization!
For me the entire reason I started working online with my website http://www.nonprofitexpert.com/ was to in some way to expand my circle and help nonprofits worldwide and to help them build their own capacity! The website is a place where I provide as much information as I can to nonprofits and give them one place they can turn to to find the answer to the questions they may have running their day to day operations. If they can't find the answer they simply email me and I will try to help them. It is that simple!
I saw my task then when I started this back in 1998 as well as now as to be the "connector of people and resources." For me, it doesn't matter if your are in the rural eastern North Carolina or in somewhere else in the world. I honestly think the listing of topics and resources can help.
Also, unlike most consultants, I spend my entire day, each weeks and every month helping people! Also, 99.99% of the time it is for FREE, because I can! Don't get me wrong from time to time a thank you or a letter or some pats on the back would be nice and would go a long way in helping me get refreshed from this endless journey. But sadly that rarely happens and like most folks I can get depressed at times. However I keep pushing forward, moving the bar up, and setting additional goals for myself.
The last few days seem to have been typical in the email patterns with several folks asking for individual assistance. One person was looking for help in replacing a handicapped van so their child now 18 who had been in a wheelchair since 9 could travel more easy. The other was a son feeling desperate because he has seen his mother having to take care of his handicapped sister and the house is in such disrepair falling down around her. These are the daily stories I hear and I try my best to locate local resources as well as search a foundation database I subscribe to at the tune of close to $1000 for possible matches. In many of these emails however it is difficult at best to know where to start. It seems people are so hopeless they give sketchy information not really giving me the full pictures of the who, what, where, when and why of it all! I have to guess looking at email domain names or if a phone number if included look at an area code to narrow down where the person is at. Answering emails for me rarely take minutes but more like hours after doing research and copying and pasting information.
I'm still working as well on building the additional nonprofit resources listing. I was worried today because this morning the software crashed. UGH! However after messing with it and re-booting several times it is back up and running again. So you can grasp the magnitude of this craziness the software has identified over 50,000 URL's, for those less geeky a URL stands for Uniform Resource Locator. The URL is the address of a resource, or file, available on the Internet. So these are 50,000 files that may be possible additional resources that could of interest to nonprofits. Of that huge number it has been reviewed and narrowed down to a much smaller number i.e. 11,158 will be reviewed and from that possible theme resources sites established. So far in the database I have 898 URL's I've listed in specific categories like, nonprofit marketing, nonprofit fundraising, nonprofit technology etc.. I will attempt to publish all this information to my website probably by the end of January so stay tuned!
Tomorrow I'll try to start my conversation with you and talk about, capacity building!
Until then take care! ~John~
For me the entire reason I started working online with my website http://www.nonprofitexpert.com/ was to in some way to expand my circle and help nonprofits worldwide and to help them build their own capacity! The website is a place where I provide as much information as I can to nonprofits and give them one place they can turn to to find the answer to the questions they may have running their day to day operations. If they can't find the answer they simply email me and I will try to help them. It is that simple!
I saw my task then when I started this back in 1998 as well as now as to be the "connector of people and resources." For me, it doesn't matter if your are in the rural eastern North Carolina or in somewhere else in the world. I honestly think the listing of topics and resources can help.
Also, unlike most consultants, I spend my entire day, each weeks and every month helping people! Also, 99.99% of the time it is for FREE, because I can! Don't get me wrong from time to time a thank you or a letter or some pats on the back would be nice and would go a long way in helping me get refreshed from this endless journey. But sadly that rarely happens and like most folks I can get depressed at times. However I keep pushing forward, moving the bar up, and setting additional goals for myself.
The last few days seem to have been typical in the email patterns with several folks asking for individual assistance. One person was looking for help in replacing a handicapped van so their child now 18 who had been in a wheelchair since 9 could travel more easy. The other was a son feeling desperate because he has seen his mother having to take care of his handicapped sister and the house is in such disrepair falling down around her. These are the daily stories I hear and I try my best to locate local resources as well as search a foundation database I subscribe to at the tune of close to $1000 for possible matches. In many of these emails however it is difficult at best to know where to start. It seems people are so hopeless they give sketchy information not really giving me the full pictures of the who, what, where, when and why of it all! I have to guess looking at email domain names or if a phone number if included look at an area code to narrow down where the person is at. Answering emails for me rarely take minutes but more like hours after doing research and copying and pasting information.
I'm still working as well on building the additional nonprofit resources listing. I was worried today because this morning the software crashed. UGH! However after messing with it and re-booting several times it is back up and running again. So you can grasp the magnitude of this craziness the software has identified over 50,000 URL's, for those less geeky a URL stands for Uniform Resource Locator. The URL is the address of a resource, or file, available on the Internet. So these are 50,000 files that may be possible additional resources that could of interest to nonprofits. Of that huge number it has been reviewed and narrowed down to a much smaller number i.e. 11,158 will be reviewed and from that possible theme resources sites established. So far in the database I have 898 URL's I've listed in specific categories like, nonprofit marketing, nonprofit fundraising, nonprofit technology etc.. I will attempt to publish all this information to my website probably by the end of January so stay tuned!
Tomorrow I'll try to start my conversation with you and talk about, capacity building!
Until then take care! ~John~
Monday, January 1, 2007
How nonprofits can attract donors!
Well today marks the first day of a new year! This year will be different for me than the last four years. My time is more my own which will allow me the ability to devote additional time to improving nonprofitexpert.com as well as allow me to do more fun freelance writing! For the most part I have written for Lost Treasure Magazine. This magazine is devoted to the niche market of folks who like to go gold panning, treasure hunting and metal detecting. In total I've be fortunate to have the editor accept and publish over thirty articles and I've had several cover shots published as well. All in all this has been very rewarding and lots of fun!
I want to switch gears now and focus the balance of this short conversation like blog on the subject: "How nonprofits can attract donors!"
First nonprofits need to be fully aware that not everyone is a donor or wants to be a donor to your cause! For some reason many nonprofits think that just because they "do good" that everyone should be attracted to their cause, which is simply is never the case. Nonprofits need to learn to cultivate donors by making connections with individuals that are really interested in what they are doing!
Also realize that just because you have Ms. X who is a donor or maybe even on your board of your organization and she is friends with Ms. Y, who is known in the community as very generous and donates lots of money to causes, does not mean you should have instance access to go knocking on doors and expecting a huge contribution. You have to learn as a nonprofit to really work at building a relationship and EARNING the right to ask for a contribution! While it is true that people give to people, sometimes regardless of the cause, if you are looking for long term donors you going to have to work a little harder!
Do people in your community really know that your organization exist? If not, then you need to be like any other good business and get the word out and advertise. Don't expect everything free either! Be creative! Do you have a newsletter? Are you talking at civic groups? Are you listed in the phone book? Do you run an ad in the newspaper? Do you have a billboard? What are you doing to create you point of difference between your nonprofit and all the others out there in your community?
One good way to cultivate new donors is to have an open house. Lots of hard work up front has to happen in order to get people to come out, but in doing this you are casting a large net asking people to come see what you are all about. Realize that just because someone might stop by does not make then an instant donor! Take it slow. Example: Most folks hate going into a store shopping and having a pushy salesperson, right? So you don't need to be the pushy salesperson in you nonprofit. Show your best side, make a good first impression so there will be a chance for another connection later. If possible get people to give you some information about themselves so you can follow up with them later. If nothing else just sending them a card saying thanks for stopping by!
** Very Important** People want to be a part of a success and winning team not a sinking ship!
If people come to your organization and get nothing but a sob story then your chance of success will be limited. Getting a "pity donation" is a one time donation and you will quickly be forgotten and replaced by another organization that is offering more hope of success.
Also, I hate to be the one to break the bad news but, there is no one size fits all solution to creating success in all nonprofits! Each case is different and all nonprofits have different strengths and weaknesses. If you need help....I'm here to be a sounding board, just send me an email! ~John~
I want to switch gears now and focus the balance of this short conversation like blog on the subject: "How nonprofits can attract donors!"
First nonprofits need to be fully aware that not everyone is a donor or wants to be a donor to your cause! For some reason many nonprofits think that just because they "do good" that everyone should be attracted to their cause, which is simply is never the case. Nonprofits need to learn to cultivate donors by making connections with individuals that are really interested in what they are doing!
Also realize that just because you have Ms. X who is a donor or maybe even on your board of your organization and she is friends with Ms. Y, who is known in the community as very generous and donates lots of money to causes, does not mean you should have instance access to go knocking on doors and expecting a huge contribution. You have to learn as a nonprofit to really work at building a relationship and EARNING the right to ask for a contribution! While it is true that people give to people, sometimes regardless of the cause, if you are looking for long term donors you going to have to work a little harder!
Do people in your community really know that your organization exist? If not, then you need to be like any other good business and get the word out and advertise. Don't expect everything free either! Be creative! Do you have a newsletter? Are you talking at civic groups? Are you listed in the phone book? Do you run an ad in the newspaper? Do you have a billboard? What are you doing to create you point of difference between your nonprofit and all the others out there in your community?
One good way to cultivate new donors is to have an open house. Lots of hard work up front has to happen in order to get people to come out, but in doing this you are casting a large net asking people to come see what you are all about. Realize that just because someone might stop by does not make then an instant donor! Take it slow. Example: Most folks hate going into a store shopping and having a pushy salesperson, right? So you don't need to be the pushy salesperson in you nonprofit. Show your best side, make a good first impression so there will be a chance for another connection later. If possible get people to give you some information about themselves so you can follow up with them later. If nothing else just sending them a card saying thanks for stopping by!
** Very Important** People want to be a part of a success and winning team not a sinking ship!
If people come to your organization and get nothing but a sob story then your chance of success will be limited. Getting a "pity donation" is a one time donation and you will quickly be forgotten and replaced by another organization that is offering more hope of success.
Also, I hate to be the one to break the bad news but, there is no one size fits all solution to creating success in all nonprofits! Each case is different and all nonprofits have different strengths and weaknesses. If you need help....I'm here to be a sounding board, just send me an email! ~John~
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