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Subject:
From:
Tom Oates <[log in to unmask]>
Reply To:
Museum discussion list <[log in to unmask]>
Date:
Wed, 11 Aug 2004 20:24:38 -0400
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It is true that commissions on funds raised is considered inappropriate and there are many reasons for this, on both sides of the bargain.  A flat rate, project-focused contract or an hourly rate is the way to go.

I do wonder, however, at your director being uncomfortable with paying for the work of obtaining in-kind contributions.  If those contributions, whether materials or services, are consistent with the fundraising program envisioned, they are delivering real value.  The IRS requires that these contributions be recognized at their ffair market value.  It is also worth noting that in-kind contributions, especially contributed services, often are followed by cash contributions.  This can be a good path to establishing an on-going relationship with the contributor.

Tom Oates
Berkana Center for Media and Education
Wilmington, DE

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