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FAQ

General

What does GiveForward mean? At GiveForward, we believe that people shouldn't wait to give back until they can give enough to "make a difference." To give forward is to invest small amounts of money now in the people and causes you believe in and then see what grows out of that small gift.

By giving forward, we create a community where donors and recipients blend together. Sometimes we are the givers, sometimes we are the receivers, but always we are contributing to making the world a better place.

What is project-targeted giving? On most online giving sites, donors really only have the option of donating to the general operating fund of a non-profit. At GiveForward, our goal is to create a different kind of online giving site that allows donors to see directly where their money is going. For that reason, we ask our fundraising organizers to be as specific as possible about how the money raised will be used to further their causes. We think this will have a positive effect on their ability to raise money, as donors, especially smaller-scale donors want to know that their money is going towards some tangible change.

Why isn't GiveForward a non-profit? There are a couple of answers to this question. First, in order to be able to send money to projects that are not affiliated with a registered 501(c)3 organization, GiveForward had to be registered as a Limited Liability Company or a Corporation. GiveForward chose to register as an LLC because we started very small with just one person.

Second, at GiveForward we believe that there are millions of worthy projects out there that may not meet the IRS standards for non-profit status. GiveForward strives to be a model among a growing list of social ventures that prove that it is possible to do well while doing good. That said, we really only take in enough revenue to operate the company. We could be charging a higher percentage, but we wanted as much money as possible to stay with the fundraising projects.

How does GiveForward make money?GiveForward charges Fundraisers $1 to create a fundraising profile and 3% of total donations to cover the costs of maintaining GiveForward.org. In addition, the credit card companies charge Fundraisers a processing fee of 2.6% plus $0.20 per transaction, which means that an average donation of $40 costs the fundraiser $2.44 in total fees.

There are no fees for Donors.

Just to give an idea of where GiveForward falls in the spectrum, the most popular online giving sites charge between 4.75% and 25%.

What fees does GiveForward charge? GiveForward charges fundraisers $1 to create a fundraising profile and 3% of total donations. In addition, the credit card companies charge fundraisers a processing fee of 2.1% plus $0.20 per transaction, which means that an average donation of $40 costs the fundraiser $2.24 in total fees.

How does GiveForward verify a project? We make every effort to investigate suspect posts, but GiveForward cannot claim responsibility for the accuracy of each fundraiser. We do, however, take the following steps to discourage fraudulent posts.

For fundraising projects posted by a non-profit, GiveForward requires that the organization provide a tax ID number that we verify with the IRS. If an individual is organizing a fundraiser for a non-profit, we go through a similar process, using the organization's name, address, and phone number to verify 501(c)3 status with the IRS.

For non-tax-deductible projects, our due diligence process is a bit more intensive. There are several steps we take to make sure organizers are who they say they are. First, by charging a small fee to post, we have the credit card number, billing address, and mailing address (for the final check) of every fundraising organizer. Second, we require that each organizer provides us with at least two character references so that we can verify that the fundraiser is indeed a legitimate effort. Finally, whenever possible, we send our checks to a third party. For example, if a 5th grade class is raising money to go to Washington, D.C. and the project is being organized by the teacher, GiveForward sends the check to the school not the teacher.

Although GiveForward has a due diligence process, we strongly believe that our users are some of the best security out there. Because GiveForward is a community of people looking to help each other, we expect that our users will be watchful of projects that don't seem to fit the model of a good fundraising effort. Please keep an eye out for suspicious posts and flag any projects you think are questionable. GiveForward will investigate all flagged projects to make sure the quality of the projects on our site remains high.

What happens if a fundraiser turns out to be fraudulent? If a fundraiser is considered suspect, GiveForward will further investigate the project and its organizer. If the project or the organizer does not meet our standards, we will remove the project from GiveForward.org and will send an email notifying all donors that the project has been removed. It is our hope that donors will consider giving those funds to other worthy, reputable projects on the site or direct those funds to The GiveForward Community Fund.

Who owns GiveForward? GiveForward is a privately owned company. Our two founders, Desiree & Ethan, own the majority of the company and a small portion is owned by outside investors.

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Donors

What is GiveFive? Give5 is a tool that GiveForward has created to help donors find new and interesting projects that they might never have found otherwise. You commit to giving $1 to five organizations and answer a few quick questions. We create a list of projects that we think you would be interested in. Then, you choose your five favorite. It’s that simple!

Why should I give using GiveForward instead of mailing a check? Online giving is actually financially beneficial for both the non-profit and the donor. The total transaction costs for both the donor and recipient can be much higher mailing a check than donating online. For the donor, you have the expense of the stamp, envelope, the check itself, and the time used to find the correct address and mail the envelope. For the non-profit, the expense comes in paying the salary of someone to process the check, deposit the check, and then mail you, the donor, the appropriate receipt for tax records, which, of course, requires another stamp and envelope.

By giving online, your donation joins other donations and goes to the non-profit as a single check. The non-profit receives a list of donors and their contact information (should you choose to share it with them). This helps speed up their processing time and allows you to donate without being inundated with mailings for years to come.

So, basically, giving online saves trees, saves money, and saves time.

How do I know the process is secure? GiveForward uses the latest encryption software (SSL) to make sure your information is secure at all times. GiveForward, as stated in our Privacy Agreement, will never share or sell your information with anyone, ever.

How do I know if my donation is tax-deductible? We have a few different features to help you recognize whether a project is or is not tax deductible. If a project is tax-deductible, meaning the fundraiser benefits a registered 501(c)3 organization, your receipt will say "tax-deductible" in orange writing. In addition, you will see the words, "This is a tax-deductible donation" on the profile pages of 501(c)3 organizations. In your "My Giving" section, GiveForward also keeps a record of all of your donations for the year. These donations are separated into "tax deductible" and "non-tax deductible" columns for easy tax reporting.

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Project Organizers

When and how does a project receive its money? When a fundraiser closes, meaning the time period for the fundraiser has lapsed, GiveForward will begin the process of issuing the check. Checks should arrive 10-15 business days after a fundraiser has closed.

Why does GiveForward issue checks instead of directly depositing the funds into an organizer's bank account? This is really a security issue. GiveForward does not want to directly deposit funds before it can conduct the necessary due diligence. For organizers that need the money immediately, GiveForward will do a wire transfer after a fundraiser has closed for a $25 fee.

Why do you have to give forward before you can post? At GiveForward, we believe you should give before you receive. Call it good karma, call it contributing to a community greater than yourself, call it whatever you like. We just think it makes sense.

What happens to the money raised during the fundraiser? Is it earning interest? We're so glad you asked! While your fundraiser is running, the dollars raised go into a Money Market account. 100% of the interest earned from that account goes to The GiveForward Community Fund, which turns those dollars into grants for non-profit projects posted on GiveForward.org. So when you raise money for your cause, you are in a sense earning money for others, too!

Why is there a time limit on a fundraiser? GiveForward believes in project-based fundraising. This means that individuals and organizations should avoid posting perpetual fundraisers and should, instead, focus on specific projects or programs within their organizations that will appeal to donors. The most successful fundraisers are those that create a goal, work hard to achieve it, and then share the impact of that fundraising effort with donors.

Why can't I reuse an old profile? The best fundraisers are the ones that excite donors, and that takes work. Donors want to see fresh content, updates, and detailed information about how their dollars will benefit your cause. Using old profiles simply tells donors that you are not serious about their interests.

For the purpose of your own records, GiveForward saves all previous profiles in your "My Fundraisers" section, so you can refer back to them if needed.

Why does GiveForward ask for two character references? The character references help GiveForward verify that your fundraising project is legitimate. We ask for these references, so we can know that you are who you say you are and the dollars are going where you say they will.

References should be people who know you and know about your fundraising effort. If GiveForward has trouble contacting your references, this could delay your check processing, so it's important to choose references that will be available for a brief call or email.

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The GiveForward Community Fund (GFCF)

How is The GiveForward Community Fund affiliated with GiveForward? The GiveForward Community Fund is the non-profit arm of GiveForward. Currently it operates as a donor advised fund through the Greater Kansas City Community Fund. Its sole purpose is to issue grants to worthy projects on GiveForward.org. GFCF staff gives small grants to organizations based on the philanthropic goals of the organization at that time.

Four times a year, the Fund will invite our users to determine which projects deserve larger grants. Projects will be posted on the Fund section of GiveForward.org where users can vote for their favorite causes.

How is The GiveForward Community Fund funded? The GiveForward Community Fund is funded by the interest earned from the Money Market account where all fundraising dollars sit until a fundraiser closes. In addition, GFCF receives donations on GiveForward.org and receives a portion of the profits from GiveForward.

How does The GiveForward Community Fund decide who receives grants? Unlike many Funds, GFCF does not accept grant requests. Instead, our dedicated staff members strategically choose organizations on GiveForward.org that strive to make a sustainable impact in a particular area of interest.

Each quarter, GFCF staff determines the philanthropic goals for the Fund. These goals could range from trying to increase the availability of after school music programs to funding AIDS research. We have created this structure so that the Fund can quickly react to pressing needs in the non-profit community.

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Advertising

How does an organization advertise on GiveForward? Advertising on GiveForward is as easy as sending an email to advertise@giveforward.org including the banner image you would like displayed and the web link for the ad. If your banner ad is approved, GiveForward will contact you to set up the ad.

Why does GiveForward limit its advertising? Our goal in having advertising on GiveForward.org is to create a space where non-profits and for-profit companies with demonstrated community involvement can affordably promote their activities to a receptive audience. By limiting advertising in this way, we create high-quality ads that appeal to and inform our users of amazing organizations all over the world.

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Non-Profits

What does it mean to be a "member organization"? GiveForward recognizes that not all non-profits are able to afford the monthly online advertising fee. For this reason, we have created a mutually beneficial membership system that allows non-profits to advertise all year long on GiveForward.org and to have an unlimited number of posts each year for a flat rate of $500 per year. By becoming a member, your organization is placed on our list of trusted non-profits, which expedites our due diligence process and decreases the amount of time your organization waits to receive a check from GiveForward.

Financial aid is available for smaller non-profits that cannot afford the $500 fee.

How does an organization become a member organization? Simply fill out the online application, and a GiveForward staff member will contact you to set up a short call to complete the process.

What benefits are there to becoming a member organization? The greatest benefit of becoming a member is certainly the free advertising and expedited processing. GiveForward.org is one of the few sites on the internet that can provide your organization with a truly sympathetic audience. Nearly every person that views your ad is on GiveForward.org to donate money. This means that the chance to convert an impression to a donation is much higher on GiveForward than on other popular sites, where most users' primary objective is to catch up with friends or to read an article.

GiveForward is also one of the only sites to limit advertising to non-profits and for profits seeking to promote their community involvement. This means your organization is not competing with flashy advertisements for credit cards or the latest mp3 player. Because of this, our users pay closer attention to the ads, as they are more relevant to their immediate interest in giving.

Membership also allows your organization to post an unlimited number of fundraising profiles for free. This means that you can highlight each individual project within your organization without having to give forward to other projects each time.

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