Charities Raising Funds
Make periodic visits to any telephone room used by telemarketers. Each person who is employed by the professional fund raiser to make calls on behalf of your organization must be separately registered with the Attorney General as a professional solicitor. Your visits will enable your organization to learn what the public is being told about the organization.
Obtain the professional fund raiser's copies of invoices and receipts to be sure that vendors are paid on time. If they are not, they will probably seek payment from your organization.
Make sure that your organization is given periodic accountings of the fundraising campaign and that the fund raiser is keeping records of funds received and expended during with the campaign. Remember, your organization is responsible for all funds raised in your organization's name by a professional fund raiser.
Make sure your organization is properly registered with the Attorney General's Charities Bureau and current in its annual financial filings.
Check with the Charities Bureau to see if the fund raiser and its professional solicitors are registered and have currently filed the required contracts and financial reports.
Find out from the Charities Bureau what other charities the fund raiser represents.
Ask the Charities Bureau for copies of the fund raiser's contracts with other charities to determine what the fund raiser agreed to do for those charities.
Ask the Charities Bureau for copies of the fund raiser's financial reports of fundraising campaigns conducted on behalf of other charities.
Ask the fund raiser for references. A reputable fund raiser should be happy to provide a potential client with the names, addresses and telephone numbers of some of its clients.
Contact charities for which the fund raiser has worked, find out what was promised, what was done, whether there were any problems and if the charity is satisfied with the work done by the fund raiser.
Make sure all contracts between your organization and a professional fund raiser are in writing as required by New York law.
Read all provisions of the contract before signing it. The contract should state clearly all of its terms. If something is unclear, the contract may need revision.
Consider whether funds solicited by the fund raiser should be received by the charity itself or by a bank or other fiduciary custodian instead of the fund raiser.
New York law requires that fundraising contracts include the following provisions:
Follow activities of the fundraising campaign.
Review all written solicitations and scripts used by the fund raiser -