Monetization/Meeting Notes 2017-08-21

From SOBAC Wiki
Jump to navigation Jump to search

Monetization

Date
Monday, 21 August 2017 from 7:00pm to 9:00pm
Event Announcement
https://www.meetup.com/NetSquared-Kitchener-Waterloo/events/241820045/ iCal
Location
Communitech Jelly Bean Room 1st Floor, 151 Charles Street West, Kitchener, Ontario Map

How can a Non-Profit organization raise money from their services? Can a Not-For-Profit organization make a profit? Why do some NonProfit organizations have separate corporate entities for fundraising and their core business? How do NonProfit SysAdmins manage crowdfunding? How does monetization affect NonProfit status? How does monetization affect legislation concerning mailing lists? What does the NonProfit SysAdmin need to know to enable monetization on the Internet? What software exists to enable monetization?

Join us to discuss these and other ideas for monetization.

--Marc Paré & Bob Jonkman


Resources

Which Crowdfunding Platform Is Best for Your Nonprofit? | TechSoup Canada

Canada's Law on Spam and Other Electronic Threats - Home - Canada's Anti-Spam Legislation


Meeting Notes

What NonProfit Organizations sell stuff?
  • Publishing companies
  • Food co-ops
  • Musical societies (CDs, services)
  • Event admission
Two companies?
  • If activities don't fit within the mission statement, then CRA may consider it a separate, for-profit company
  • Charitable companies a re particularly vulnerable, hassled by CRA


Drawbacks to monetization
  • Need End-of-year reports, tax knowledge
  • Need an audit/auditor over a certain amount (maybe $100K?)
  • Tricky to justify certain kinds of income, esp if there is significant profit
    • Need a budget that justifies certain expenses eg. equipment
  • People don't have enough knowledge of IT systems to use them properly
    • Using spreadsheets that don't integrate with financial systems
      • But still better than a Word Document
    • Frustrating for SysAdmins, who need to provide support
    • No user knowledge of version control, journalling, &c.
  • The Treasurer position of a NonProfit has frequent turnover, no continuity
    • Treasurer may be volunteer, unskilled for the task
  • Some NonProfits deal with esoteric financials (book sales, royalties), may not have a system in packaged software
  • Need specific information that the grant agency (that provides funds) wants to see
Methods of monetization
  • Larger groups (orchestras?) are pitching bequeathing estates as donations, triggered by a will.
  • Integrate small groups int o the finances of a larger organization, eg. at a University
    • But the reporting needs may not be adequate.
  • Need to know about methods for funding proposals
    • Software? Forms? Documents?
Financial Software
  • Purchasing financial software also purchases the skills and expertise of building such a system (Lawyers, accountants)
    • A way of recording transactions without requiring the expertise of accountants
    • Avoid bitrot
  • QuickBooks?
    • Has a non-profit module
    • QuickBooks is common, but doesn't provide the detail for non-profits
      • eg. selling worldwide through Amazon, QuickBooks doesn't provide geographic customer data
    • Dedicated software provides more granularity in recording transactions.
    • with QuickBooks you still need other tools to record other data
  • Spreadsheets are prone to user error, eg. changing or deleting a formula
  • Orgs hold fundraisers to pay for events
    • Events themselves may raise funds to be
  • http://www.techsoupcanada.ca/en/taxonomy/term/287
What does a SysAdmin do to enable monetization?
  • Not too interested in accounting
  • Shopping carts on websites
    • Not done internally, this gets contracted out
  • Point-of-sale systems?
    • Need to combine with sales data from other systems
  • Provide integration to other systems
  • Select and set up Crowdfunding platforms
Crowdfunding
  • What criteria are used to select a Crowdfunding source?
  • Techsoup: https://www.techsoupcanada.ca/en/community/blog/which-crowdfunding-platform-is-best-for-your-nonprofit
  • Centre for Social Innovation in Toronto:
    • Bring your own audience, your own following, before starting the campaign
    • Pretty much everyone involved already needs to be in place
    • Crowdfunding sites don't necessarily increase your reach, or attract more contributors
    • Crowdfunding is good for devices, eg. Pebble Watch
  • If you haven't reached your funding level in three months, it's not likely to fly
Retrieved from "https://sobac.com/mediawiki/index.php?title=Monetization/Meeting_Notes_2017-08-21&oldid=1273"