|
The Gift Economy provides unrestricted funding from donations and can allow you to carry out activities that are not currently supported by grant programmes or contracts. There are now a huge number of ways people can donate to your organisation. Here are a few ideas for you to consider:
- Donations
- Legacy Fundraising
- Payroll Giving
- Raffles and Lotteries
Benefits and Challenges of the Donations Funding Stream
 Unrestricted income stream- Can be many small or few large donations
- Voluntary contribution or philanthropy
- Requires good reputation and communication
- Relationship based on trust
- Requires marketing and fundraising skills
- Requires transparency and clarity about use of income
Thinking About Accepting Donations? What to Consider?
Tax-Effective Giving - the Institute of Fundraising’s website (www.tax-effectivegiving.org.uk) provides a wealth of information about Gift Aid, Payroll Giving, Legacy Giving and the Gift of Shares.
Gift Aid - this scheme allows charities to claim back from the Inland Revenue the tax that the donor has paid on their donation. Find out about registering your charity at www.hmrc.gov.uk/charities/gift-aid.htm. However, if you don’t qualify for Gift Aid because your organisation is not a registered charity or a sports club with CASC status and is carrying out charitable work, then the Bedfordshire and Luton Community Foundation may be able to help. Under their scheme qualifying gifts (generally of over £200) have to be made to the Foundation and a Gift Aid declaration has to be signed by the donor in favour of the Foundation. They will then make a grant to the selected organisation for the value of the cheque. Then once a year they claim the Gift Aid on all donations received and pass on the relevant amount of Gift Aid to the organisation, less a small administration fee. Contact the Foundation to find out how to set up an agreement to manage this process via 01767 626459 or by emailing mark.west@blcf.org.uk.
Creating an Online Fundraising Page - there are a number of sites your charity might consider, such as:
You will find that the sites either charge an initial set-up fee or take a percentage of the Gift Aid collected as an administration fee.
Donations by Text - Vodafone have set up JustTextGiving, that allows charities to collect donations by text. It’s free to set up and use, so every penny goes to your cause. To set up the scheme for your charity you need to obtain a unique code by calling 0800 952 3013 or by visiting www.justtextgiving.co.uk
Legacy Fundraising - bequests, large or small, can make a big difference. Details concerning legacy fundraising can be found on the Remember a Charity website (www.rememberacharity.org.uk). All charitable bequests are deducted from the value of the estate before inheritance tax is calculated. For example locally, a number of charities have come together and formed the Charities in Bedford Association (CIBA), and their legacy pack can now be found in local solicitors’ offices.
Payroll Giving - employees sign up to donate to a selected charity directly from their pay-packet. The donation is deducted at source by their employer and sent directly to their nominated charity, who receive the donation plus tax as Gift Aid. You can find more about Payroll Giving at www.hmrc.gov.uk/businesses/giving/payroll-giving.htm
Collections - you will need to contact your local authority well in advance to obtain a permit or licence to collect (contact details below). Helpers should be equipped with sealed and labelled collecting tins plus ID badges. It is good practice for two individuals to be present when the tins are opened.
Raffles/Lotteries - if you are selling raffle tickets to the general public, you will need to register with your local authority under the Lotteries and Amusements Act 1976 before you start. Bedford Borough Council - 01234 267422 or Central Bedfordshire Council - 0300 300 8000
|
