Most states have adopted charitable solicitation laws designed to protect donors, the general public, and charities themselves from fraud. Generally, these laws require charities and their fundraisers to register with the state, describe their fundraising activities, file financial documents, and pay a fee that covers the administrative expenses of monitoring charities. The Federal Trade Commission authorizes the filing of complaints when it has reason to believe that the law has been or is being violated, and it appears to the Commission that a proceeding is in the public interest.
The Wisconsin Fundraising Agreement serves as a legal document that outlines the terms and conditions between a nonprofit organization and a professional fundraiser when conducting fundraising activities in the state of Wisconsin. This agreement ensures transparency, protects the interests of both parties, and ensures compliance with Wisconsin's fundraising regulations. In Wisconsin, there are primarily two types of fundraising agreements: 1. Nonprofit Organization-Fundraiser Agreement: This type of agreement is entered into between a nonprofit organization and a professional fundraiser. It establishes clear expectations and responsibilities for both parties, covering aspects such as compensation, duration of the agreement, scope of fundraising activities, licensing requirements, reporting, and record-keeping obligations. 2. Nonprofit Organization-Solicitor Agreement: This specific agreement is required when a nonprofit organization hires a professional solicitor or fundraising consultant to solicit donations on its behalf. Solicitors are individuals or entities who actively engage in fundraising activities, such as making telephone calls, sending emails, or visiting potential donors. The agreement specifies the terms of the arrangement, including compensation, duration, solicitation methods, compliance with laws, and reporting obligations. Key elements in a standard Wisconsin fundraising agreement may include: 1. Parties involved: Clearly identify the nonprofit organization and the professional fundraiser or solicitor involved in the agreement. 2. Purpose: State the intention of the agreement, such as raising funds for a specific cause, project, or ongoing operations of the nonprofit organization. 3. Term and Termination: Specify the duration of the agreement, including the start and end dates, along with provisions for termination, renewal, or extension of the agreement. 4. Compensation: Outline the method of compensation for the professional fundraiser or solicitor, which can be a percentage of funds raised, a flat fee, or a combination of both. 5. Scope of Services: Clearly define the scope of fundraising activities that will be conducted, including the geographic areas, target audience, and solicitation methods. 6. Licensing and Compliance: Ensure that the professional fundraiser or solicitor is appropriately licensed and compliant with all Wisconsin fundraising laws and regulations. 7. Reporting and Record-Keeping: Define the reporting requirements, including the frequency and nature of reports that the fundraiser or solicitor must provide to the nonprofit organization regarding funds raised, expenses incurred, and donor information. 8. Confidentiality: Include provisions to protect the confidentiality of donor information and any proprietary or sensitive information shared between the parties. It is important for nonprofit organizations in Wisconsin to carefully review and customize their fundraising agreements to meet their specific needs and comply with the state's legal requirements. Seeking legal advice is highly recommended ensuring all necessary provisions are included and to maintain compliance with Wisconsin fundraising laws.The Wisconsin Fundraising Agreement serves as a legal document that outlines the terms and conditions between a nonprofit organization and a professional fundraiser when conducting fundraising activities in the state of Wisconsin. This agreement ensures transparency, protects the interests of both parties, and ensures compliance with Wisconsin's fundraising regulations. In Wisconsin, there are primarily two types of fundraising agreements: 1. Nonprofit Organization-Fundraiser Agreement: This type of agreement is entered into between a nonprofit organization and a professional fundraiser. It establishes clear expectations and responsibilities for both parties, covering aspects such as compensation, duration of the agreement, scope of fundraising activities, licensing requirements, reporting, and record-keeping obligations. 2. Nonprofit Organization-Solicitor Agreement: This specific agreement is required when a nonprofit organization hires a professional solicitor or fundraising consultant to solicit donations on its behalf. Solicitors are individuals or entities who actively engage in fundraising activities, such as making telephone calls, sending emails, or visiting potential donors. The agreement specifies the terms of the arrangement, including compensation, duration, solicitation methods, compliance with laws, and reporting obligations. Key elements in a standard Wisconsin fundraising agreement may include: 1. Parties involved: Clearly identify the nonprofit organization and the professional fundraiser or solicitor involved in the agreement. 2. Purpose: State the intention of the agreement, such as raising funds for a specific cause, project, or ongoing operations of the nonprofit organization. 3. Term and Termination: Specify the duration of the agreement, including the start and end dates, along with provisions for termination, renewal, or extension of the agreement. 4. Compensation: Outline the method of compensation for the professional fundraiser or solicitor, which can be a percentage of funds raised, a flat fee, or a combination of both. 5. Scope of Services: Clearly define the scope of fundraising activities that will be conducted, including the geographic areas, target audience, and solicitation methods. 6. Licensing and Compliance: Ensure that the professional fundraiser or solicitor is appropriately licensed and compliant with all Wisconsin fundraising laws and regulations. 7. Reporting and Record-Keeping: Define the reporting requirements, including the frequency and nature of reports that the fundraiser or solicitor must provide to the nonprofit organization regarding funds raised, expenses incurred, and donor information. 8. Confidentiality: Include provisions to protect the confidentiality of donor information and any proprietary or sensitive information shared between the parties. It is important for nonprofit organizations in Wisconsin to carefully review and customize their fundraising agreements to meet their specific needs and comply with the state's legal requirements. Seeking legal advice is highly recommended ensuring all necessary provisions are included and to maintain compliance with Wisconsin fundraising laws.