[Foundation-l] Fundraising ideas - bursting the bubble

Gerard Meijssen gerard.meijssen at gmail.com
Wed Jun 14 11:54:38 UTC 2006


Anthony DiPierro wrote:
> On 6/13/06, Erik Moeller <eloquence at gmail.com> wrote:
>   
>> But before we do this, I would like to clearly distinguish between the
>> _legal_ requirements and what we _want_ to do. Anthony said:
>>
>>     
>>> Just to clarify what mav said, emails are considered "written"
>>> communications.  From Publication 1771: "An organization can provide
>>> the acknowledgement electronically, such as by an e-mail addressed to
>>> the donor."
>>>       
>> Is that correct? What is Brad's opinion on the legal requirements? In
>> some EU countries, we have also gradually introduced digital
>> signatures as a valid definition of "written communications". I would
>> like to be absolutely clear on what we have to do. If we can use
>> digitally signed e-mails, we should do so, even if it requires an
>> initial investment in know-how and a certificate.
>>
>>     
> Publication 1771 is available at
> http://www.irs.gov/pub/irs-pdf/p1771.pdf if anyone wants to read it.
> And to clarify, there's no requirement for the email to be digitally
> signed.
>
> Of course, if you have the person's address, I agree the point is
> rather moot.  Even if it costs $1 to send a letter to someone donating
> $250, that's only four tenths of one percent.    Email would be more
> useful if there are donors making that size donation who don't want to
> release their address.
>
> I suppose it might cost more than $1 to send a letter outside the
> United States, but then again how many people living outside the
> United States donate more than $250 to Wikimedia and then file a US
> tax return where they itemize deductions?  Probably 0.
>
> Anthony
How,
I do not know how you arrive at that $1. It typically is substantially 
more. It is not only postage, you are sending something that is printed, 
there is the handling, there is a certain percentage that returns. You 
do want to maintain your database and register those RTS. You then have 
to consider how to follow up, do you want to find out what is wrong with 
the address. On average it costs over $5 to handle a RTS. When you do 
not handle this well, you get yourself on the wrong side of 
organisations that monitor charities that ask for money. This can cost 
you your license in the first place but worse, it can give a 
organisation a bad name.

Once you decide to do professional marketing, you have to ensure that 
you maintain your database. This should mean that you commit to doing it 
well. The benefits can be huge and given our brand recognition it is 
likely to be huge. But please do this well or do not do it all.
Thanks,
     GerardM



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