What are the regulatory requirements that commercial fund-raisers/ participators’ must adhere to?
Commercial fund-raisers/participators should also comply with the following requirements when conducting a fund-raising appeal on behalf of the registered charity:
Establish a written agreement with the beneficiary charity;
Donations received must be made directly to the charity who engaged them. Any administrative fees will be made by the charity separately;
Give disclosure of clear and accurate information to donors about the beneficiary and the purpose of the donation; proper management and usage of donations; as well as keeping accounting records of donations received and disbursed.
Do also note that commercial fund-raisers and commercial participators need to also fulfil the following obligations towards donors:
Any information provided to donors or to the general public is accurate and not misleading
Disclose the name of their organisation, intended use of funds raised (includes the cause and/or beneficiaries) and whether any commercial fund-raiser has been engaged in soliciting the donation
All solicitation and publicity materials must be accompanied by a written statement with the additional information:
Proportion of total proceeds that will go to charitable causes
Breakdown of proceeds to each charity (if funds are raised for more than one charity)
Name of the commercial fund-raiser or commercial participator and its status as a commercial entity
How the fund-raiser/participator’s remuneration is calculated (if any)
Topics:
Fund-raisingRelated questions
What are the duties and obligations of fund-raisers as stipulated in the Fund-raising Regulations?
Public fund-raising appeals for foreign charitable purposes require permits from Commissioner of Charities. Do organisations which intend to raise funds and channel the funds to such permit holder need to apply for permits?
What is the Code for Commercial Fund-raisers?
What happens when the commercial or third-party fund-raiser did not comply with the guidelines or a subscriber to the Code for Commercial Fund-raiser breaches the Code?
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