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commission on collections

Posted on 22 September 2009 at 2:35 pm

This topic contains 1 reply, has 2 voices, and was last updated by  gerrybeldon 9 years, 11 months ago.

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  • Posted in: Law
  • Anonymous
    22 September 2009 at 2:35 pm #3374

    We have been approached by a company offering to do tin collections in supermarkets (not in the street).

    They company provide the collectors but take 50% of the income. Should I be even considering this as a fundraising option? If I do, what should I be aware of and how do I avoid (a) breaking the law and (b)angry donors (c) the wrath of IoF?

    1 October 2009 at 2:04 pm #11053

    I think the Institute would react with sorrow, rather than wrath, but essentially, there is no legal reason why you cannot enter into such an arrangement.

    However, legally, each collector will have to make it clear at the point of solicitation that the charity will only receive 50p for every £ received;

    You would have to enter into a proper contract with the Professional Fundraising Organisation, which would stipulate all the rights and responsibilities on both parties;

    You will need to assure yourself that the collecting devices and procedures are legal and appropriate;

    and you would need to ensure robust accounting procedures, so that you get a full 50% of everything that was donated, not just of the bit they chose to declare to you.

    If you do all that, you will be safe from the law and any criticism from the institute. I’m not sure anything will protect you from donors who find that only half the money will come to you, but, on the other hand, there probably won’t be any if the collectors make the appropriate declarations!

    Cheers

    Gerry

    Gerry Beldon FInstF
    Director, 26-01 CIC
    http://www.26-01.com

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