The Nonprofit FAQ

Donor Protection Kit

DON'T JUST SAY "NO" TO SOLICITATIONS, SAY:

-- "I never give cash." (I'm no fool.)

-- "I give to other causes, thank you." or: "I don't give to organizations
in your field; I focus on organizations that..."

-- "This is the first time I've heard about your organization.
I prefer that you not initially approach me by phone. Please write
to me instead." (If you are reading a written solicitation, do
a little homework before you give. Read their annual report, consult
the guides, etc.)

IF YOU ARE SUSPICIOUS, TRY ASKING:

-- "Are you a volunteer or a professional fundraiser?"

-- "How much does your group spend on fundraising. How much do
you pay your highest paid executive? How large are your assets?"

-- "Do you meet all of the National Charities Information Bureau's
Standards in Philanthropy?"

IF THE ORGANIZATION APPEALS TO YOU, YOU MIGHT REPLY:

-- "I'd like to learn more, please send me your annual report."

-- "Thank you for letting me know about your work. I would first
like to consult with a third party, such as the American Institute
of Philanthropy, before making a donation."

IF YOU RECEIVE TOO MANY APPEALS BY MAIL:

-- Inform the organizations whom you support and who write to
you. Let them know that you don't like excessively frequent appeals.
If you are already giving, they will listen! They don't want to
irritate you. You also have every right to request that they not
share your name with others. The American Institute of Philanthropy
has "Seven Tips" on reducing unwanted solicitations at http://www.charitywatch.org/articles/seventips.html.

KEEP IN MIND:

-- You can use a solicitation as an opportunity to encourage responsible
practices and stress the importance of accountability.

-- If you plan your donations, you will be in a strong position
to say "no" with pride, not guilt. You can't give on this occasion
because you do give on other occasions.

-- You can budget your gifts, THEN splurge. There is nothing wrong
with impulsive giving for the fun of it. But there will be many
opportunities to splurge with organizations you know well, without
encouraging irresponsible solicitations.

(FOR THE ACADEMICALLY MINDED:)

-- There are two kinds of nonprofit organizations: those that
provide a service or product that donors can easily evaluate and
those that don't. In some instances, donors can directly observe
an organization in action (public radio or museums, for example).
If a donor can directly observe the work of an organization, the
contributor doesn't necessarily need to see an annual report or
do any homework. The giver can just donate whatever the service
seems to be worth to her. In the instance of services such a public
radio which are non-excludable "public goods" this will amount
to how much she would be willing to pay if the organization held
all of its goods and services hostage to her individual donation.

--On the other hand, most charities perform work that donors don't
see directly. Donors must trust that the organizations are using
their money wisely. Donors shouldn't trust an organization blindly,
however. If staff are underpaid, then they are probably not in
their jobs for the money. That's one way to be assured of honorable
motivations. Reading a group's literature and consulting the watchdogs
will enlighten you in other ways.

The State of Maryland has a giving wisely page that offers a few
additional tips; see http://www.sos.state.md.us/Charity/Givewise.htm.

--Cliff Landesman, Fall, 1994

Revised, 9-96