Benevity works with GOGO, an independent nonprofit organization that receives and disburses funds to charities and other nonprofit organizations, and it's a bit different from the traditional foundations we work with. Let's break down these differences, especially when it comes to the rules about how money can be used, so your organization can feel more confident handling funding.
For traditional foundations:
- Donations must only be used for charitable activities/purposes, meaning they go directly to help the cause without offering any perks to donors or private groups.
- You can't give donors or their affiliates special rewards or benefits for their donations, like free tickets, memberships or sponsorships.
- If you find you can't use the money the way you agreed to in the terms of use, you must give it back to the foundation.
For GOGO:
- The way you use the money is more flexible and is guided by what the funder wants. This can include sponsorships that aren't just about charitable activities.
- Like with traditional foundations, you still can't provide private benefits in return for funds like memberships, dues or tuition.
- If you find you can’t use the money as directed by the funder or the way you agreed to in the terms of use, you must give it back to GOGO.
Why This Matters
GOGO offers a new way for charities and other nonprofit organizations to receive and use funds, sitting alongside the traditional foundation model. We are working with GOGO as we recognize that sometimes donors and nonprofit organizations want to work together in ways that aren't just about direct charitable activities, like through sponsorships that can help both the donor and the cause in different ways.
But even with this flexibility, it's crucial to keep things transparent and follow the rules. This ensures that we maintain trust in how nonprofits operate.