ANST - Money from other sources

James Crouchet jtc at io.com
Mon Jan 19 19:27:38 PST 1998


Ulf, thanks the discussion on Event Costs, which is a great lead in 
to a related subject I have been discussing of late. That subject is 
Corporate Sponsors. Corporate Sponsors are companies who give your 
group something of value. For instance, we have one corporate sponsor 
who prints our baronial newsletter at little or no cost. In exchange 
they note in the newsletter that they printed it. Further, we try to 
take our other printing needs to them.

So what can we get from such sponsors and what do they get for it?
Well, space for one thing. Meeting rooms, space for dance or fighter
practice. Perhaps the use of equipment that they already have or even
money -- especially if earmarked for a specific purpose.

What they get varies. They may want to be mentioned in your 
newsletter as a sponsor (this is NOT an ad -- that is an important
legal distinction) much like public radio and tv mention their
sponsors.

They will almost certainly want to write off the cost on their
income tax as a donation. Consider that if they let you use space
they are not using anyway (or in the evening when they do not use it)
they can write off the fair market value of that space, i.e. what
equivalent space rents for in your area. That can lower their taxes
without actually increasing their costs.

They may do it just for the community PR. Odds are, they will want all
these things.

So, how do you get a corporate sponsor? The short answer is, you ask
them. In practice it is more complicated than that.

First, you need a positive community presence. That means giving
school demos, helping in local clean-up days, doing an adopt-a-hwy,
marching in parades, helping fund raise for public radio & tv, being
the entertainment at the policeman's ball, helping restore parks and
other community service activities. Do as much in costume as possible,
avoid talking about how weird you are and remember that talking about
your religion -- not matter what it is -- is bound to offend someone.
What you want for your trouble is a letter of thanks. Keep a file of
these. BTW, having the rest of the community know who you are and that
you are OK helps a lot in getting halls, getting new members and in
interactions with police or city councils.

Second, you need to pick a potential sponsor who has something you
want. Of course, we all want money, but that is the last thing a
business will want to give. Go for the in-kind donations whenever
possible. Remember that while you can have multiple sponsors some may
see this as disloyal, especially if you have more than two or three.
Also, if they want you to show up at their company picnic or some
such, more than a couple may put too much strain on your schedule. 

Third, PREPARE a presentation. Make it clear who you are, what you give
to the community (now is when you need those letters), what you want
and what you are offering them (like a mention in your newsletter).

Fourth, have your best folks make contact and present your proposal.
If they say no, go to the next candidate. You may get a lot of NOs,
but it only takes one YES.

Finally, keep records and REPORT their donations. It is very 
important to keep this all legal and report everything because if they
report their donation to the IRS any you do not they may get audited
and then they would drop you at once. What's more, YOUR GROUP might
get audited for unreported donations.

This may sound like a lot of trouble, but the benefits can be well
worth it and there are a lot of side benefits to having a positive
community presence. This also allows your group to do things without
having to get all the money from the pockets of SCAers.

Don Doré

P.S. - If any of you treasurer or legal sorts see mistakes in what I 
have said above, please point them out so those who do this can do it 
right!
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