Why 100% is less than 80%...
A customer told me that he only wanted a fundraiser where he keeps 100% of the profits that his team raises. I saw one of his fundraising letters that was a donation request from team family members. I feel this is a great fundraiser for raising a couple hundred dollars, but what if you need thousands?
So, I will dispel the myth that 100% profits is more than other percentages, because usually it is not.
1. Keep going to the same well
We have the tendency to ask the same handful of people to donate to our cause or team. We look for them to come to our carwash, buy our baked goods, and give out of the kindness of their hearts. The problem is these individuals are only willing to give so much.2. $8,000 is more than $500
If you make 80% of $10,000, you keep $8,000... If you make 100% of $500, you keep $500. So why worry about where the money goes as long as you are making great profits. Also, why work so hard for so little...3. It's what we've always done
A lot of groups raise money in the same pattern that they have for years if not decades. We've sold raffle tickets around here for years. Do people beg you for next years raffle tickets 6 months in advance? Well, they beg for certain fundraisers that are not 100% but earn big MONEY!4. We keep all of the profits
You keep all profits of every fundraiser. Whether it's 100% or 1% profit, you keep profits. Profits by definition are "the money you make" from any business venture. Keep your profits, just keep more profits by being smarter not working harder.5. 100% of nothing is nothing...
When you ask the same group of people to donate to the same group of people for years upon years, you will begin to get burn-out. These folks will find other more beneficial ways to spend their donation dollars than to give it to your team that has nothing to show for it because you raise so little.Remember the biggest money making companies in the world are only profiting 10-30%...
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