WAG Fundraising and 501c3 (ugh)

[gymnastmom05]

Just a quick question. We are looking into doing a fundraiser soon and know because of our not for profit status, everyone benefits regardless of participation in the fundraiser. We are hoping to use this money to help off-set coaches fees/meet fees the parents pay. Our idea is to split the profit between all members of the team so what they need to pay in to us (we collect the money for meets from the parents and pay one lump to the host gym) is lessened based on how well this fundraiser goes. Are we able to do anything more for say the top seller, top 3 sellers, etc? Any incentive we can give to motivate (since we can't mandate!) people?

 

[MILgymFAM]

I don't think you can differentiate distribution based on who raises the most money at all. A former gym of my DDs would offer non-cash incentives gymnasts who did the most fundraising for the gym. They included free 1/2 hour privates, pro-shop gift certificates, and free open gym. Would the gym be willing to offer up any such incentives?

 

[Rockygym]

Just took over as treasurer of our 501c3 and as I understand the regulations no you cannot pay more for those that fundraise.

 

[berrisweetness]

This came from notthatmom she posted:

I stumbled across this presentation that breaks down the details of a booster club. After reading this, if it doesn't follow the non-profit guidelines, it kind of seems as if it shouldn't even be allowed to be called a booster club.

https://usagym.org/PDFs/Member Services/webinars/dec14.pdf

The whole point of it is to raise funds for the team and the gym, so I still don't understand what other types of "compensation" would even be necessary, or where it would come from.

 

[gymnastmom05]

I don't think you can differentiate distribution based on who raises the most money at all. A former gym of my DDs would offer non-cash incentives gymnasts who did the most fundraising for the gym. They included free 1/2 hour privates, pro-shop gift certificates, and free open gym. Would the gym be willing to offer up any such incentives?

I'm not sure the gym would be willing but it doesn't hurt to ask?! Thanks for that idea! I didn't think we could do anything financially for someone but just wanted to make sure I wasn't wrong. Obviously, money (or saving money) is a huge motivator for most people.

 

[Sass&Caffeine]

I think you mean are there non-cash incentives that can be awarded even though all the funds would be evenly distributed to each girl. Is that right? When we did fundraisers, our parent organization provided "high achiever" patches for those who sold the most. Also, if the gym or a community member would like to donate prizes, surely that would be okay since none of the actual funds raised are used for the purchase of the items. We ran into the same problem with non-mandatory fundraising and no option of buy-out: Who wants to fundraise if they don't have to?! The non-cash incentives helped the girls with motivation to participate so that all who benefited from the fundraiser also mostly participated. It wasn't perfect, but better than in years past. We're not a booster club or gym but we decided to sell candles (kind of like Scentsy). Profit was close to 50% and people in other parts of the country could order online. Also, the company allowed year round ordering from the website that would still benefit us. Hopt that helps.

 

[LemonLime]

Are you a non-profit or an IRS-certified 501(c)(3)?

If people benefit based on their participation, they need to pay income tax on the benefit.

 

[gymnastmom05]

We are a 501c3