Posted by Linda Procopio on 10/31/2008, 3:10 pm, in reply to "Ethics of Fundraising" VIP Poster
As long as it is crystal clear to every donor that the funds are not a charitable deduction for their income taxes of any kind, I don't think I see any ethics breach in this relationship. I would be a lot more concerned if your friend, as the dance studio owner, was taking a fee for handling the money. Then I would feel an ethical line had been crossed, as the donor DOES expect 100% of the money to make it possible for the child to participate in a dance competition, and it would be unethical for that gift to be diminished by someone skimming a % off the top for 'handling'. I see a clear benefit for the studio in the parent's efforts, as the studio needs the children to be appropriately costumed and the kids cannot compete (and win recognition for the studio which translates into free publicity & exposure for the studio: a direct sales benefit) without money to pay the registration fees. Or am I missing some nuance that has you uncomfortable?
