With the advent of so many companies selling products where a portion of the proceeds benefit charity, I felt compelled to let the consumer know what to watch for:
Donation Transparency for retail items
Percent of net proceeds means = Amount left over after all costs have been accounted for. Which means NOTHING may be donated if there is no profit.
100% of net proceeds or 50% of net proceeds sounds great but unless the dollar amount is specifically spelled out... this is a gray area, that is murky and not transparent.
My policy since I started Charity Charms is to always attach a specific dollar amount to the donation... so there is NO QUESTION about the amount being donated.
For example:
Our Japan Campaign was 100% of NET proceeds donated. The item retails for $20 plus S & H of $4.50 = $24.50. We donated $15 of every $20 which is 100% of the net.
Our retail program has a minimum of 30% net proceeds donation built into the price. We donate $1.50 of every band sold to a retailer. If the retailer purchases the band for $5 and sells them for $10, the net proceeds is $5, and a $1.50 donation was already made, which equals 30%.
On our website we donate 25% of the retail price. If you were purchasing a sterling charm which retails for $50, then $12.50 (or 25%) is donated.
Companies that tout 50% of net proceeds may be donating NOTHING.
Buyer Beware.
Wednesday, April 27, 2011
Thursday, April 7, 2011
Help Spread Awareness with our Helping Hand for Japan Relief Bracelets
Local television's Sonoran Living had us on to talk about our Helping Hand for Japan Bracelets.
You can order your relief bracelet on our website. 100% of net proceeds are donated to the U.S.-Japan Council Earthquake Relief Fund.
You can order your relief bracelet on our website. 100% of net proceeds are donated to the U.S.-Japan Council Earthquake Relief Fund.
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