Christena Schafale on thu 5 sep 02
For those of you with some experience with nonprofits -- is it legal for a
nonprofit to accept paid advertising in their newsletter? Mostly what I
have seen is just a line acknowledging sponsorship, but we have had some
interest from local ceramics-related companies in purchasing larger amounts
of space. As the treasurer of our guild, I'm supposed to find out the
rules on this. Thanks for any advice.
Also, are there rules about the amount of profit that members can receive
from a guild-sponsored sale? Someone in our guild claims that it is common
for nonprofit guilds to take as much as 70-80% of sales, which seems absurd
to me.
Chris
Consultation and Referral Specialist
Resources for Seniors
christenas@rfsnc.org
http://www.resourcesforseniors.com
Phone: (919) 713-1537
FAX: (919) 872-9574
1110 Navaho Dr, Suite 400
Raleigh, NC 27609
Philip Poburka on thu 5 sep 02
One may allways 'trade' a courtesy for some donation.
Some business wants to make a contribution to your non-profit, or you would
like them to know they may...you can acknowledge their
contribution-donation as you like, in a Newsletter or what...and while your
at it, you can say how they also sell their wares and are swell guys and
all.
Is it an 'Ad'?
Well...in this context, 'no'...but it functions about the same as if it
were...you may not sell an 'ad' perhaps...but you may acknowledge a
donation...
You may not sell booze, say...at an 'openning' or 'fundraiser', but you can
issue 'tickets' in exchange for a 'donation' as may be redeemed for a drink.
( or we did that a few times, anyway...and..it worked well, too...)
You can do a lot of things...you may do just about 'anything'...you may
merely need to think about the structure of how you define it...how you
describe it...
Or...such is the nature of 'Law', anyway...
Phil
Las Vegas
----- Original Message -----
From: "Christena Schafale"
To:
Sent: Thursday, September 05, 2002 10:24 AM
Subject: nonprofit potters guilds and advertising
> For those of you with some experience with nonprofits -- is it legal for a
> nonprofit to accept paid advertising in their newsletter? Mostly what I
> have seen is just a line acknowledging sponsorship, but we have had some
> interest from local ceramics-related companies in purchasing larger
amounts
> of space. As the treasurer of our guild, I'm supposed to find out the
> rules on this. Thanks for any advice.
>
> Also, are there rules about the amount of profit that members can receive
> from a guild-sponsored sale? Someone in our guild claims that it is
common
> for nonprofit guilds to take as much as 70-80% of sales, which seems
absurd
> to me.
>
> Chris
>
> Consultation and Referral Specialist
> Resources for Seniors
> christenas@rfsnc.org
> http://www.resourcesforseniors.com
> Phone: (919) 713-1537
> FAX: (919) 872-9574
> 1110 Navaho Dr, Suite 400
> Raleigh, NC 27609
>
>
____________________________________________________________________________
__
> Send postings to clayart@lsv.ceramics.org
>
> You may look at the archives for the list or change your subscription
> settings from http://www.ceramics.org/clayart/
>
> Moderator of the list is Mel Jacobson who may be reached at
melpots@pclink.com.
Gail Dapogny on fri 6 sep 02
Chris wrote:
>...Also, are there rules about the amount of profit that members can receive
>from a guild-sponsored sale? Someone in our guild claims that it is common
>for nonprofit guilds to take as much as 70-80% of sales, which seems absurd
>to me.
PHEW!! Not in our guild, Chris, and we have a professional
accountant/consultant who oversees our operation. For our sales, our
percentage of commission--i.e. amount removed prior to checks being
issued-- is determined sale-to-sale, and is dependent upon sales tax and
expenses (advertising, food provided during sale, after-sale party food
expenses, tent rental, new materials needed for display, decorations, etc.)
--- all bills must be turned in at a certain point during the sale for the
expenses to be determined. It usually varies between 10 and 14 percent.
---Gail
Gail Dapogny
1154 Olden Road
Ann Arbor, MI 48103-3005
(734) 665-9816
gdapogny@umich.edu
http://www.silverhawk.com/ex99/dapogny (single historical photo - no longer
registered with Silverhawk)
Orchard Valley Ceramics Arts Guild on fri 6 sep 02
Yes, it is entirely legal for a non-profit to accept paid advertising.
However, the income generated may be considered "unrelated
business income," and therefore taxable. This is often not
understood by non-profits. It's quite legal for the organization
to engage in a variety of profit-making activities that are not
related to its non-profit function, provided those activities are
properly reported, and taxes are paid on the income derived from
the activities. You'll find the details in IRS Publication 598,
"Tax on Unrelated Business Income of Exempt Organizations,"
which you can download from the IRS web site.
- Bob Nicholson
PS - I don't know of any rules governing the percentage of
sales a Guild can take, but 70-80% seems outrageous.
That's more than a gallery! Our own Guild takes a 10-15%
cut, depending on our costs for a particular sale.
>For those of you with some experience with nonprofits -- is it legal for a
>nonprofit to accept paid advertising in their newsletter? Mostly what I
>have seen is just a line acknowledging sponsorship, but we have had some
>interest from local ceramics-related companies in purchasing larger amounts
>of space. As the treasurer of our guild, I'm supposed to find out the
>rules on this. Thanks for any advice.
>
>Also, are there rules about the amount of profit that members can receive
>from a guild-sponsored sale? Someone in our guild claims that it is common
>for nonprofit guilds to take as much as 70-80% of sales, which seems absurd
>to me.
>
>Chris
>
>Consultation and Referral Specialist
>Resources for Seniors
>christenas@rfsnc.org
>http://www.resourcesforseniors.com
>Phone: (919) 713-1537
>FAX: (919) 872-9574
>1110 Navaho Dr, Suite 400
>Raleigh, NC 27609
Philip Poburka on fri 6 sep 02
Too...a prospective benefactor or donor who may in other
media 'advertise', may be interested to sponsor either a
'Show', or the Catering of one.
They may wish to sponsor the Painting of the non-profit's
Building or interior decor aspects...they may be pleased to
supply the Materials for projects.
And, an acknowedgement of their support may assume the form,
not only of some mention 'in' the News Letter, but as well,
say, of a tasteful-enough Poster, large 'Card' or what, as
can appear in some way to be noticed at the Gallery, 'Show'
or Openning.
The 'mention' in the News Latter may elaborate within some
modesty, as to just 'what' that benifactor does, of what
their products or services are.
As too, a News Letter may occasionally 'spotlight' or
hightlight Donors or Sponsers who are in the world of
commerce in some way.
A 'profile' of sorts...
Done well, it is done 'well'...done poorly, it would be, or
should be, embarassing to all, and hence, better to 'do'
well.
'npr', who may not 'sell' advertiseing...or 'public-tee-vee'
who likewise may not do so...do, none the less, go on
overlong at times, in their digressions, or indescretions,
'about' their 'corporate' donors, benefactors or
money-givers...
While noting an example there...one may note how 'well' one
finds it done...and learn by their example.
...do not let the 'tail' wag the Dog.
Phil
las vegas
----- Original Message -----
From: "Philip Poburka"
To:
Sent: Thursday, September 05, 2002 12:36 PM
Subject: Re: nonprofit potters guilds and advertising
One may allways 'trade' a courtesy for some donation.
Some business wants to make a contribution to your
non-profit, or you would
like them to know they may...you can acknowledge their
contribution-donation as you like, in a Newsletter or
what...and while your
at it, you can say how they also sell their wares and are
swell guys and
all.
Is it an 'Ad'?
Well...in this context, 'no'...but it functions about the
same as if it
were...you may not sell an 'ad' perhaps...but you may
acknowledge a
donation...
You may not sell booze, say...at an 'openning' or
'fundraiser', but you can
issue 'tickets' in exchange for a 'donation' as may be
redeemed for a drink.
( or we did that a few times, anyway...and..it worked well,
too...)
You can do a lot of things...you may do just about
'anything'...you may
merely need to think about the structure of how you define
it...how you
describe it...
Or...such is the nature of 'Law', anyway...
Phil
Las Vegas
----- Original Message -----
From: "Christena Schafale"
To:
Sent: Thursday, September 05, 2002 10:24 AM
Subject: nonprofit potters guilds and advertising
> For those of you with some experience with nonprofits --
is it legal for a
> nonprofit to accept paid advertising in their newsletter?
Mostly what I
> have seen is just a line acknowledging sponsorship, but we
have had some
> interest from local ceramics-related companies in
purchasing larger
amounts
> of space. As the treasurer of our guild, I'm supposed to
find out the
> rules on this. Thanks for any advice.
>
> Also, are there rules about the amount of profit that
members can receive
> from a guild-sponsored sale? Someone in our guild claims
that it is
common
> for nonprofit guilds to take as much as 70-80% of sales,
which seems
absurd
> to me.
>
> Chris
>
> Consultation and Referral Specialist
> Resources for Seniors
> christenas@rfsnc.org
> http://www.resourcesforseniors.com
> Phone: (919) 713-1537
> FAX: (919) 872-9574
> 1110 Navaho Dr, Suite 400
> Raleigh, NC 27609
>
>
____________________________________________________________
________________
__
> Send postings to clayart@lsv.ceramics.org
>
> You may look at the archives for the list or change your
subscription
> settings from http://www.ceramics.org/clayart/
>
> Moderator of the list is Mel Jacobson who may be reached
at
melpots@pclink.com.
____________________________________________________________
__________________
Send postings to clayart@lsv.ceramics.org
You may look at the archives for the list or change your
subscription
settings from http://www.ceramics.org/clayart/
Moderator of the list is Mel Jacobson who may be reached at
melpots@pclink.com.
Philip Poburka on fri 6 sep 02
A 'non-profit' may 'make' 100 percent of the Sales as well,
if the items sold had been donated to them for them to sell
and raise money with.
Phil
las vegas
----- Original Message -----
From: "Gail Dapogny"
To:
Sent: Friday, September 06, 2002 6:55 AM
Subject: Re: nonprofit potters guilds and advertising
Chris wrote:
>...Also, are there rules about the amount of profit that
members can receive
>from a guild-sponsored sale? Someone in our guild claims
that it is common
>for nonprofit guilds to take as much as 70-80% of sales,
which seems absurd
>to me.
PHEW!! Not in our guild, Chris, and we have a professional
accountant/consultant who oversees our operation. For our
sales, our
percentage of commission--i.e. amount removed prior to
checks being
issued-- is determined sale-to-sale, and is dependent upon
sales tax and
expenses (advertising, food provided during sale, after-sale
party food
expenses, tent rental, new materials needed for display,
decorations, etc.)
--- all bills must be turned in at a certain point during
the sale for the
expenses to be determined. It usually varies between 10 and
14 percent.
---Gail
Gail Dapogny
1154 Olden Road
Ann Arbor, MI 48103-3005
(734) 665-9816
gdapogny@umich.edu
http://www.silverhawk.com/ex99/dapogny (single historical
photo - no longer
registered with Silverhawk)
____________________________________________________________
__________________
Send postings to clayart@lsv.ceramics.org
You may look at the archives for the list or change your
subscription
settings from http://www.ceramics.org/clayart/
Moderator of the list is Mel Jacobson who may be reached at
melpots@pclink.com.
Judith S. Labovitz on fri 6 sep 02
our non=profit 501c3 cooperative guild takes 20% at our 2 sales; the
potters get the remaining 80%...expenses associated with running the sale
(rental, publicity, any supplies we may need...)are all considered
administrative expenses for which we have a line item in our over all guild
budget .
judy
greater lansing potters' guild
At 09:55 AM 9/6/02 -0400, you wrote:
>Chris wrote:
> >...Also, are there rules about the amount of profit that members can receive
> >from a guild-sponsored sale? Someone in our guild claims that it is common
> >for nonprofit guilds to take as much as 70-80% of sales, which seems absurd
> >to me.
>
>PHEW!! Not in our guild, Chris, and we have a professional
>accountant/consultant who oversees our operation. For our sales, our
>percentage of commission--i.e. amount removed prior to checks being
>issued-- is determined sale-to-sale, and is dependent upon sales tax and
>expenses (advertising, food provided during sale, after-sale party food
>expenses, tent rental, new materials needed for display, decorations, etc.)
>--- all bills must be turned in at a certain point during the sale for the
>expenses to be determined. It usually varies between 10 and 14 percent.
>---Gail
>
>
>Gail Dapogny
>1154 Olden Road
>Ann Arbor, MI 48103-3005
>(734) 665-9816
>gdapogny@umich.edu
>http://www.silverhawk.com/ex99/dapogny (single historical photo - no longer
>registered with Silverhawk)
>
>______________________________________________________________________________
>Send postings to clayart@lsv.ceramics.org
>
>You may look at the archives for the list or change your subscription
>settings from http://www.ceramics.org/clayart/
>
>Moderator of the list is Mel Jacobson who may be reached at
>melpots@pclink.com.
Rebecca P on fri 6 sep 02
Ditto in Southport, NC
>From: "Judith S. Labovitz"
>Reply-To: Ceramic Arts Discussion List
>To: CLAYART@LSV.CERAMICS.ORG
>Subject: Re: nonprofit potters guilds and advertising
>Date: Fri, 6 Sep 2002 18:41:55 +0000
>
>our non=profit 501c3 cooperative guild takes 20% at our 2 sales; the
>potters get the remaining 80%...expenses associated with running the sale
>(rental, publicity, any supplies we may need...)are all considered
>administrative expenses for which we have a line item in our over all guild
>budget .
>
>judy
>greater lansing potters' guild
>
>
>
>At 09:55 AM 9/6/02 -0400, you wrote:
>>Chris wrote:
>> >...Also, are there rules about the amount of profit that members can
>>receive
>> >from a guild-sponsored sale? Someone in our guild claims that it is
>>common
>> >for nonprofit guilds to take as much as 70-80% of sales, which seems
>>absurd
>> >to me.
>>
>>PHEW!! Not in our guild, Chris, and we have a professional
>>accountant/consultant who oversees our operation. For our sales, our
>>percentage of commission--i.e. amount removed prior to checks being
>>issued-- is determined sale-to-sale, and is dependent upon sales tax and
>>expenses (advertising, food provided during sale, after-sale party food
>>expenses, tent rental, new materials needed for display, decorations,
>>etc.)
>>--- all bills must be turned in at a certain point during the sale for the
>>expenses to be determined. It usually varies between 10 and 14 percent.
>>---Gail
>>
>>
>>Gail Dapogny
>>1154 Olden Road
>>Ann Arbor, MI 48103-3005
>>(734) 665-9816
>>gdapogny@umich.edu
>>http://www.silverhawk.com/ex99/dapogny (single historical photo - no
>>longer
>>registered with Silverhawk)
>>
>>______________________________________________________________________________
>>Send postings to clayart@lsv.ceramics.org
>>
>>You may look at the archives for the list or change your subscription
>>settings from http://www.ceramics.org/clayart/
>>
>>Moderator of the list is Mel Jacobson who may be reached at
>>melpots@pclink.com.
>
>______________________________________________________________________________
>Send postings to clayart@lsv.ceramics.org
>
>You may look at the archives for the list or change your subscription
>settings from http://www.ceramics.org/clayart/
>
>Moderator of the list is Mel Jacobson who may be reached at
>melpots@pclink.com.
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