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How should we set – and justify – donation levels?

justify donation levels
Should the dollar amounts be your cost for the service that the donation covers, your cost plus some overhead, or the market value of the service?
I’ve worked with clients in the for-profit world as well as nonprofit, and for this one, I recommend that you take a golden nugget from the for-profit world:
  • There is no “true” value of anything.
  • ┬áThe fair market value of any product or service is only determined at the moment after a purchase occurs between a willing buyer and a willing seller.
Nobody cares about how you came up with the number. They care about whether what they receive is fair for what they pay.
What they receive is the satisfaction that one or more people will be helped in a specific way, and your specific story (i.e. “one therapeutic massage”) plants that satisfaction in the mind and heart of the donor.
You’ll simply have to test it and see if people go for it.
Then you’ll know whether it’s fair or not.
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