Donors: Gimme My Money Back

If you’re working in the field of charitable giving I’m sure you’ve were aware that transparency is vital in the present day environment. In the past not too long ago, that donors made donations to non-profits and NGOs , and let the organization continue on its course till they had to contribute again. The days of that are long gone.

A study conducted by Cone Communications and Echo Global that was released in 2013 showed the fact that 87% the people interviewed said that, in order to buy from a business they should be informed about the impact of the company on society. The remaining 13% of those who didn’t agree were those over 55 years old. There is evidently an evolution in the attitudes of generations. Donor Management Software


Guidestar has created IRS financial statements 990 easy to access. If you follow the news and social media sites you will see an increasing pressure to hold businesses as well as nonprofits, social enterprises businesses and other ventures accountable and open. People are inclined to spread an organization’s brand and become its patron and an ambassador when they believe that the company is truthful in its communications. If there is any indication that there is a lack of transparency, the same people can turn into angerers.

The modern donor wants to be aware of how their money is spent by a charity. They want assurance that their donations are used to the extent they are intended. They would like to see their money being used to make a difference. They don’t like regular business practices or reason why the problem is too complex to resolve and a non-profit can remain in the water. They would like to see nonprofit leaders at the board and management levels striving to maintain the highest ethical standards, integrity and accountability.

If any of these is not present They are more likely to look for a refund of their money.

There was a time that it was considered to be extremely uncommon legal and for a matter of procedure for a donor to request his or her contribution for a return.

The times have changed.

Donors have had to go to court to get a refund of their donations when the charity has not utilized the donation in accordance with its intended use This, in conjunction with the accessibility to information has led to a shift towards increased transparency.

In the past the time donors made donations to charities, their gift was considered to be a gift and not a returnable gift. While laws, regulations, and state courts may differ from state to state there is a growing trend for donors to receive their money back in the event that their gift isn’t used as it was intended.

Naturally, if the organization is honest and trustworthy it should never have any issue. Donors don’t have to donate any money to charities and any donation made should always be taken as the sole factor.

But, it is possible as legal, social technology and social forces push move our society in a specific direction the issue of transparency will increase in importance. Presently, donors who have donated large amounts of money have had legal recourse in the event that their donations haven’t been utilized in the way they had intended.