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Organizing A Raffle Fundraiser
“A new car raffle is always a huge draw.” Makes sense, right? But chances are your group isn’t lucky enough to get a brand new car donated. Reality for most groups is that they need to start small; the basics of a raffle fundraiser are the same no matter what you raffle off:
1. Get some prizes.
2. Sell some tickets.
3. Hold the raffle drawing.
So what could be easier? Well, there are a few things to keep in mind when you’re holding a raffle for the first time.
Start small. As noted above, companies and organizations may be hesitant to donate to your cause if it’s the first time. That’s OK. Be persistent in asking for donations; work with what’s given; and do the best job you can with what you have. Once local community leaders see that you are a success waiting to happen, the donations will start to flow in. In fact, the very same ones who say “no” this year will be the first ones to hop on the bandwagon next year – if you do it right.
Get as many donations as possible. You may have to fork out some money for your top “draw” prize—that’s the one that people will say “Want to buy a raffle ticket? You could win a _____.” But if you put in the time and hard work to secure donations for other prizes as well, you’ll have that much more take-home money after it’s all over. Start by meeting with members of your organization and see what the group can come up with in-house for prizes.
Don’t believe the hype. Plenty of fundraisers right now begin with something along the lines of “Even in a bad economy…” There’s a fine line between dealing with objections in advance and giving people a reason not to give. Be sure to not cross it. Sure, the economy is giving some people a hard time—but the amount of wealth in the U.S. is still astounding. Besides, who wouldn’t spend $5 on a raffle ticket to help their favorite charity and get a chance at a new TV at the same time?
Don’t get arrested. As of 2010, in the U.S., the laws governing raffles are determined state-by-state. Some states, have deemed them illegal as part of gambling, while other states allow a raffle fundraiser for just about anything. (For a list of links to each state’s raffle rules, click here). In addition, some cities and even counties in the U.S. require a separate application for a charity raffle. Be sure to find out well in advance what’s required to hold a raffle, and get any applications submitted in time. In fact, because rules can be pretty complicated, it’s probably best to get legal advice before starting a raffle of any kind.
Even if you find yourself having to go with the bare-bones budget plan (read: no money for prizes at all), don’t despair. Use whatever prizes are donated, set ticket prices low enough that everyone can buy at least one, and set aside some of the proceeds to start next year’s fundraiser.
And don’t forget to do something to thank the volunteers and ticket sellers. Throw a party or a dinner and give out awards to the highest sellers. Come this time next year, you’ll have some folks you can count on to help!
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We have been given two major prizes that are valued each at about $2000. They have very different target audiences but both are connected with travel. Our organization members would prefer that we run two raffles, one for each prize. We are trying to determine if it would be better to combine the prizes into one raffle with more tickets or higher price even though the appeal of the two prizes do not overlap.
This one may be hard to predict. It depends on which way you think you can create the most excitement and participation. What works for one group may not work for another because of all the variables involved. But consider that running just one raffle with two Grand Prizes will raise the chances of winning anything for everyone, which may create more buzz, which may lead to more ticket sales. It’ll also make marketing easier. If you decide to run two campaigns, would it matter if you sold many more tickets for one prize than the other? Would it matter to the donors of the prizes? Regardless if you run one or two raffles, in order to reach your goals, consider defining a minimum number of tickets that need to be sold before prizes can be awarded (if your state’s rules for raffles allow this). Good luck with your campaign! We’d love to hear back from you about the outcome!