Pursuing Sponsorships
Projects that are hosting special events or programs may want to fund those activities by pursuing sponsorships.
Sponsorship occurs when a business makes a financial contribution toward the cost of a Project's event or activity, and in return, the Project advertises or promotes the business's brand, products, or services.
Sponsorships are not eligible for a tax receipt. Projects should inform sponsors of this in order to manage expectations.
Projects should have a clear sponsorship agreement in place before accepting any funds from a sponsor. This agreement should include the following:
- The sponsor's contribution.
- The time frame for the sponsorship.
- The benefit that the Project will provide to the sponsor, e.g., acknowledgment on the Project's website or in a newsletter that will go to 400 individuals.
- Termination clause.
The Project Specialist can provide a template for the sponsorship agreement if required.
Submit the sponsorship agreement to the Project Specialist for review and sign off.
If required by the sponsor, Projects should use Invoice Request Form to request an invoice to send to the sponsor. Projects must not create their own invoices.
Payors should never make their payments through the Project’s online donation page as this would automatically generate a tax receipt. Any sponsorship payments are not eligible for tax receipts, as the payor is getting a benefit through the work completed on their behalf.