While the agreement contains provisions in favor of the sponsor (since it pays for services), it also contains limitations of liability and other provisions in favor of the charity in order to contribute to the protection of the charity, both with regard to the organization of the event and its authorization to the promoter to use the name of the charity. Corporate Sponsoring Support is a payment from a company to a non-profit organization to promote the mission of the nonprofit, which is generally recognized by the nonprofit with confirmation that the company has supported the nonprofit`s activities, programs, or special events. My organization is in the process of approaching companies for sponsorship by offering marketing opportunities (mainly advertisements in printed materials, but also event sponsorships). All the advice I`ve read is, “Get a contract signed.” All advice on what should (or should not) be included in the contract is received with gratitude. While sponsorship deals aren`t long, they can open up traps for reckless nonprofits. Ideally, a nonprofit has a preferred form of sponsorship agreement that is ready before it reaches the contract phase. But many corporate sponsors will have a preferred form of sponsorship contract. A nonprofit should be reluctant to accept terms that it does not wish to repeat in future contracts, especially if it intends to continue working with a sponsor. This commercial sponsorship agreement for charity events is intended for use by a small or large charity that organizes an event for which it has insured a non-exclusive financial sponsor.
The payment helps fund the event or contribute to the charity`s funds. The sponsor will be a company that wishes to be linked to the charity and its event. Does someone have a standard contract to sponsor a company? The Institute of Fundraising models are great if you`re a charity (from memory, they quite often refer to charity law). I couldn`t find something really good for an NGO (i.e. a limited liability non-profit company). I would suggest, as with all things of a legal nature, regardless of the model you use, be sure to have it checked by an expert. If your organization is not yet in contact with an expert, here you will find one: www.goodwillgallery.co.uk/freecharityservices.htm An agreement can be a letter or a formal contract. The example in this fact sheet contains some general instructions. But it`s a good idea to seek professional advice, especially when it comes to large sums of money. The Church Law Center of California serves religious and secular nonprofit organizations throughout California.
Call us today to talk about your organization`s sponsorship plans. We can help you develop a form agreement or negotiate terms to protect your company`s mission. Contact us at (949) 689-0437 or via our contact page. Successful corporate sponsorship benefits both the NONPROFIT and its sponsor. However, there are tax issues that need to be taken into consideration: for a business sponsorship to be appropriate and legal, the benefits for the for-profit business should not outweigh the benefits of the tax-exempt nonprofit. . . .