Why is Non Profit Fundraising Important?

Non-profit fundraising is vital to help the organizations reach their specific goals. There are many types of non-profit charities, and each type requires money to meet the needs of those for whom they work. For example, non-profit charities that feed the homeless require money to run a kitchen, as well as purchase food.

Non-profit fundraising must meet the legal requirements in the jurisdiction in which the non-profit charity is located. For example, non-profit charities must keep detailed records of all donations, including the name of the individual or entity who made the donation. In addition, non-profit charities must also keep records of how that money is spent, including salaries, administrative fees and work and materials for the charity.

There are also various types of fundraising which require permits in certain jurisdictions or that may be illegal. For example, charities that wish to host a casino night require a legal permit in many jurisdictions. In many other instances, gambling is illegal and certain jurisdictions will not allow this type of fundraising effort.

There may also be other laws which apply to non-profit fundraising, such as distributing a list which details the manner in which the money is used. In some jurisdictions, those that donate money or time must receive a pamphlet which lists the financial details for a non-profit. For example, that list may detail the salaries of each employee and the percentage of donations which are utilized to pay those salaries.

NEXT: Overview of the Different Types of Corporations