Donating money to a charity or to an individual in need is a good way for your business to practice social responsibility. You can use your business's brand to help solicit donations to a charity you feel strongly about. The fact that your business is involved with a charity may encourage your customers to donate money to that charity. Establishing a donations account can make the process of donating money easier and help to manage the donations process. Show
You Might Be a “Charity”—Yes, You!What Individuals Need to Know When Raising Money for a Charitable Cause Minnesotans are generous people during the best of times. When faced with hardships like natural disasters, pandemics, or other emergencies, many step up that generosity even more by raising money to help people in need through giving platforms like GoFundMe, on social media, or through fundraising events. You should know that raising money to help people comes with specific duties under the law that apply to everyone—not just nonprofits and charities. They may even apply to you. Some generous people raise money to help specific people facing hardships. Raising money to benefit a specific individual, business, or family is not “charitable” under the law. On the other hand, if you fundraise money or collect goods for a general charitable purpose to help the greater good—such as protective equipment for healthcare workers, food for families in need, or money to help communities rebuild and repair—that conduct comes with important duties and responsibilities under the law. It is important to be aware of the responsibilities that you have when others trust you with their charitable donations. “Charitable” donations can be for a wide variety of causes, including social services, education, the public interest, or the arts. You don’t need to be a 501(c)(3), a nonprofit, or other organization to be subject to charitable giving laws. In fact, any person raising money in Minnesota for a charitable purpose can be a “charity” under the law. This publication is intended to help you navigate the duties that come with fundraising for a charitable cause. What Laws Do I Need to Follow if I Fundraise for a Charitable Cause?
What Steps Can I Take to Protect Charitable Funds?
Where Can I Learn More? If you would like to learn more, the Minnesota Attorney General’s Office offers several resources, including Guide to Minnesota’s Charities Laws, Fiduciary Duties of Directors of Charitable Organizations, and Don’t Just Follow the Crowd on “Crowdfunding” Websites. You can find additional information on our website at www.ag.state.mn.us. Related Posts:Minnesota Charities Laws This Guide summarizes certain Minnesota laws that govern charitable organizations, professional fund-raisers and charitable trusts, including laws that require registration with or notice to the Attorney General. Guide for Charity Board Members The Attorney General’s Office has prepared this Guide for Board Members to help directors understand their responsibilities as stewards of their organizations. Under Minnesota law, directors of a Minnesota nonprofit corporation are responsible for the management of the business and affairs of the corporation. Don’t Just Follow the Crowd on “Crowdfunding” Websites Following a few simple rules can help people avoid such scams when donating through online “crowdfunding” platforms. How do I set up a donation fund for someone?How to Set Up a Donation Page for Fundraising Success in 8 Steps. Create an interesting fundraiser title.. Write a meaningful fundraiser story.. Choose the best types of photos and videos for your fundraiser.. Pick the right fundraising goal.. Share your fundraiser to get more donations.. Thank your supporters.. How do I start a personal fund?Here are four easy steps to setting up a fund:. Decide When to Give. You can create your fund now, establish it in your will, or create it through a trust arrangement that benefits your family, as well as charity. ... . Decide What to Give. ... . Choose the Name of Your Fund. ... . Choose a Type of Fund.. How much does it cost to set up a GoFundMe?1. How much does it cost to set up a GoFundMe? In the US, there's no fee to start or manage your fundraiser.
Can anyone start a GoFundMe?Signing up is easy and every donation is yours to keep, whether or not you reach your goal. GoFundMe makes it incredibly easy to raise money online for the things that matter to you most. In just a few minutes, you'll be able to personalize your fundraiser and share it with the people in your life.
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