1 00:00:00,400 --> 00:00:03,120 Speaker 1: Coach, the energy out there felt different. What changed for 2 00:00:03,160 --> 00:00:03,800 Speaker 1: the team today? 3 00:00:03,880 --> 00:00:06,000 Speaker 2: It was a new game day scratches from the California 4 00:00:06,080 --> 00:00:09,440 Speaker 2: Lottery players everything. Those games sent the team's energy through 5 00:00:09,480 --> 00:00:09,799 Speaker 2: the roof. 6 00:00:09,880 --> 00:00:11,880 Speaker 1: Are you saying it was the off field play that 7 00:00:11,920 --> 00:00:13,000 Speaker 1: made the difference on the field? 8 00:00:13,119 --> 00:00:15,840 Speaker 2: Hey, little play makes your day, and today it made 9 00:00:15,880 --> 00:00:19,079 Speaker 2: the game that's off of now, Coach one more question. 10 00:00:18,960 --> 00:00:21,800 Speaker 1: Play than new Los Angeles Chargers, San Francisco forty nine 11 00:00:21,880 --> 00:00:24,960 Speaker 1: Ers and Los Angeles Rams scratchers from the California Lottery. 12 00:00:25,040 --> 00:00:28,200 Speaker 1: A little play can make your day. Peace made responsibilit 13 00:00:28,280 --> 00:00:30,280 Speaker 1: must be eighteen years or older to purchase late or claim. 14 00:00:30,360 --> 00:00:32,080 Speaker 3: Yeah, but before we get started, we gotta let them 15 00:00:32,080 --> 00:00:34,320 Speaker 3: in on the breaking news alert. All right, So earn 16 00:00:34,520 --> 00:00:38,040 Speaker 3: is the time has come, eylu Grad school is here, 17 00:00:38,080 --> 00:00:39,880 Speaker 3: and you know how we bringing it. 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And in addition to that, you 26 00:01:02,840 --> 00:01:06,440 Speaker 3: now have access to our weekly mentorship calls for all 27 00:01:06,520 --> 00:01:09,399 Speaker 3: things real Estate, hosted the game by brother MG. It's 28 00:01:09,400 --> 00:01:11,640 Speaker 3: an amazing package. We put it all together. We can't 29 00:01:11,640 --> 00:01:12,840 Speaker 3: wait for you to see it and be a part 30 00:01:12,880 --> 00:01:14,720 Speaker 3: of it. And right now it's fifty percent off. So 31 00:01:14,760 --> 00:01:16,680 Speaker 3: you got to do is head over to eyl University 32 00:01:16,760 --> 00:01:18,640 Speaker 3: dot com and you're gonna get fifty percent off. 33 00:01:18,680 --> 00:01:19,039 Speaker 4: All right. 34 00:01:19,120 --> 00:01:22,119 Speaker 5: So now we're going to go into the business of nonprofit. 35 00:01:22,240 --> 00:01:24,840 Speaker 5: I'm setting up nonprofits because we haven't spoke about. 36 00:01:24,640 --> 00:01:26,360 Speaker 4: That, we have to. We spoke a little bit about 37 00:01:26,400 --> 00:01:27,360 Speaker 4: charities with. 38 00:01:27,400 --> 00:01:31,720 Speaker 5: Derrick Ferguson, but not really in depth about how to 39 00:01:31,720 --> 00:01:34,240 Speaker 5: start one because he's he's the head of a charity, 40 00:01:34,280 --> 00:01:35,559 Speaker 5: but he didn't start that charity. 41 00:01:35,600 --> 00:01:38,319 Speaker 4: Now where this is you started a charity? Right? 42 00:01:38,600 --> 00:01:38,880 Speaker 6: Yeah? 43 00:01:38,920 --> 00:01:41,440 Speaker 5: So okay, what are the steps? Can you walk us 44 00:01:41,440 --> 00:01:44,040 Speaker 5: through the steps of how to start a nonprofit? 45 00:01:44,360 --> 00:01:46,119 Speaker 4: Five to oh one ced three yep? 46 00:01:46,720 --> 00:01:48,840 Speaker 6: Okay, So the first thing is you don't have to 47 00:01:48,920 --> 00:01:50,200 Speaker 6: have a five on one C three. 48 00:01:50,240 --> 00:01:51,960 Speaker 4: Can you just explain what a five oh one C three. 49 00:01:52,240 --> 00:01:55,520 Speaker 6: So a five on one C three allows you, according 50 00:01:55,560 --> 00:01:58,320 Speaker 6: to the IRS, to be tax exempt, which then allows 51 00:01:58,400 --> 00:02:01,720 Speaker 6: all donors to write off anything that they contribute to 52 00:02:01,760 --> 00:02:06,320 Speaker 6: your organization. It's very important if you need large amounts 53 00:02:06,320 --> 00:02:09,480 Speaker 6: of funding. If you don't and what you're trying to 54 00:02:09,600 --> 00:02:12,520 Speaker 6: do can get by on like a fifteen hundred dollars 55 00:02:12,520 --> 00:02:15,400 Speaker 6: budget or a two thousand dollars budget, you don't need 56 00:02:15,440 --> 00:02:16,239 Speaker 6: the five on one. 57 00:02:16,080 --> 00:02:18,360 Speaker 4: C three that budget monthly or annually. 58 00:02:18,320 --> 00:02:21,200 Speaker 6: Annually, there's you know, it just depends on what you're 59 00:02:21,200 --> 00:02:24,280 Speaker 6: budgeting for. You know, some people have a plant project 60 00:02:24,320 --> 00:02:26,480 Speaker 6: and they just want to plant things a couple times 61 00:02:26,520 --> 00:02:28,320 Speaker 6: a year. It just depends on what you're doing. 62 00:02:28,400 --> 00:02:30,840 Speaker 3: Yeah, I was told something like that. The process is 63 00:02:30,960 --> 00:02:33,200 Speaker 3: very long, Like it dependent on how much you need. 64 00:02:33,240 --> 00:02:36,280 Speaker 3: So like you can apply for the five one C 65 00:02:36,480 --> 00:02:40,360 Speaker 3: three if you're making if you're anticipating having ten thousand 66 00:02:40,400 --> 00:02:42,720 Speaker 3: dollars or less, Yeah, that's the initial one. But if 67 00:02:42,760 --> 00:02:45,200 Speaker 3: you're planning more that that process takes a lot longer. 68 00:02:45,360 --> 00:02:48,800 Speaker 6: It does. And I actually so we incorporated the organization 69 00:02:48,880 --> 00:02:50,320 Speaker 6: and then we filed for the five on one C 70 00:02:50,480 --> 00:02:53,200 Speaker 6: three at the same time and it was about three 71 00:02:53,280 --> 00:02:55,720 Speaker 6: or four months later I planned our first annual fundraiser 72 00:02:55,800 --> 00:02:58,200 Speaker 6: because we needed the funding to really get started on 73 00:02:58,200 --> 00:03:01,120 Speaker 6: what we were trying to accomplish. And in my mind, 74 00:03:01,160 --> 00:03:03,520 Speaker 6: I'm thinking, if you look online, it tells you you 75 00:03:03,520 --> 00:03:05,280 Speaker 6: can get approved for a five to one S three 76 00:03:05,320 --> 00:03:09,680 Speaker 6: between two to twelve months. So of course I'm always thinking, 77 00:03:09,720 --> 00:03:11,799 Speaker 6: I'm always being optimistic, and I'm like, well, three to 78 00:03:11,880 --> 00:03:14,600 Speaker 6: four we might make it. We didn't, so we did 79 00:03:14,600 --> 00:03:16,440 Speaker 6: the first fundraiser, and of course people are going to 80 00:03:16,480 --> 00:03:19,760 Speaker 6: get very minimal amounts because they can't write it off, 81 00:03:19,880 --> 00:03:23,040 Speaker 6: and it's a it's a huge incentive for any donor 82 00:03:23,240 --> 00:03:25,960 Speaker 6: to know that not only am I helping this cause, 83 00:03:26,080 --> 00:03:28,679 Speaker 6: but I can also it'll help me with my taxes. 84 00:03:29,720 --> 00:03:31,720 Speaker 6: So we didn't get it approved in time, but we 85 00:03:31,800 --> 00:03:33,200 Speaker 6: ended up getting it a year later. 86 00:03:34,280 --> 00:03:36,200 Speaker 4: So, all right, what's the process to get a five 87 00:03:36,200 --> 00:03:37,600 Speaker 4: on one C three? Like, what do you have to do? 88 00:03:38,200 --> 00:03:42,480 Speaker 6: There's a long application. There's a long application, and you 89 00:03:42,600 --> 00:03:46,160 Speaker 6: have to be organized and have everything you have to 90 00:03:46,280 --> 00:03:49,040 Speaker 6: You have to answer with as many details as possible 91 00:03:49,360 --> 00:03:52,440 Speaker 6: if you want to get approved without questions. First from 92 00:03:52,480 --> 00:03:56,800 Speaker 6: the IRS, so mission statement, you need a mission statement. 93 00:03:57,200 --> 00:03:59,400 Speaker 6: You need the name everything that you would need to 94 00:03:59,440 --> 00:04:01,680 Speaker 6: do to start a business. You have to be very 95 00:04:01,720 --> 00:04:04,240 Speaker 6: clear about what you're doing. And when I say mission statement, 96 00:04:04,240 --> 00:04:07,400 Speaker 6: it's funny I'm remembering this now. We the IRS actually 97 00:04:07,480 --> 00:04:09,560 Speaker 6: came back and said that our mission statement was too 98 00:04:09,600 --> 00:04:12,040 Speaker 6: broad and that's why we didn't get approved the first 99 00:04:12,040 --> 00:04:15,360 Speaker 6: time around. I think the initial mission statement was to 100 00:04:15,520 --> 00:04:18,960 Speaker 6: help foster and homeless youth self comfort. That could mean anything. 101 00:04:19,279 --> 00:04:22,040 Speaker 6: So then we had to go in and revise the mission, 102 00:04:23,000 --> 00:04:26,200 Speaker 6: apply with the state to change that and then resubmit 103 00:04:26,240 --> 00:04:27,919 Speaker 6: the application for the five on one C three. 104 00:04:28,080 --> 00:04:29,599 Speaker 3: Is this something that you did yourself or did you 105 00:04:30,040 --> 00:04:30,960 Speaker 3: have lawyers involved? 106 00:04:31,120 --> 00:04:34,039 Speaker 6: I hired help. Yeah, definitely hired help. And I would 107 00:04:34,040 --> 00:04:37,599 Speaker 6: recommend if anybody doesn't already have that experience in the 108 00:04:37,640 --> 00:04:42,360 Speaker 6: nonprofit sector, hire where you need, especially when it comes 109 00:04:42,400 --> 00:04:46,520 Speaker 6: to accounting, get the support so that the first time 110 00:04:46,560 --> 00:04:48,360 Speaker 6: around you're not making those mistakes. 111 00:04:48,440 --> 00:04:51,680 Speaker 5: So when you had the narrow value mission statement, like 112 00:04:51,720 --> 00:04:53,640 Speaker 5: what was your revised mission statement? 113 00:04:53,839 --> 00:04:57,760 Speaker 6: So now the mission statement is helping foster and homeless 114 00:04:57,839 --> 00:05:02,080 Speaker 6: youth self comfort by providing comfort items for bedtime and 115 00:05:02,200 --> 00:05:04,600 Speaker 6: programs that inspires them to self. 116 00:05:04,360 --> 00:05:08,719 Speaker 5: Soothe and that was okay, all right. So you have that, 117 00:05:09,080 --> 00:05:11,560 Speaker 5: you have to set it up as a business like you. 118 00:05:11,480 --> 00:05:15,080 Speaker 6: Have like an LLC setup, not not an LLC. But 119 00:05:15,080 --> 00:05:17,880 Speaker 6: it's the same steps of like having to You don't 120 00:05:17,880 --> 00:05:21,600 Speaker 6: have to trademark, but I highly recommend it because the 121 00:05:21,640 --> 00:05:24,520 Speaker 6: work of a nonprofit easily inspires someone else to want 122 00:05:24,520 --> 00:05:26,920 Speaker 6: to do similar work, and they can. They can take 123 00:05:26,960 --> 00:05:28,800 Speaker 6: your name and do it in another state if they 124 00:05:28,839 --> 00:05:33,839 Speaker 6: want to, so trademarking, I highly recommend filing for the 125 00:05:33,880 --> 00:05:35,880 Speaker 6: setup for the nonprofit the same way you would with 126 00:05:35,920 --> 00:05:39,200 Speaker 6: the LLC for your state, and then applying for that 127 00:05:39,240 --> 00:05:42,880 Speaker 6: five on one C three early if you expect or 128 00:05:42,920 --> 00:05:47,400 Speaker 6: if you want to receive large funds, Yes, there's a fee. 129 00:05:47,440 --> 00:05:49,640 Speaker 6: There's a fee for every application, so you have to 130 00:05:49,640 --> 00:05:52,080 Speaker 6: have some funds to get started. When I applied in 131 00:05:52,080 --> 00:05:54,560 Speaker 6: twenty twelve, I think that the five on one three 132 00:05:54,600 --> 00:05:57,160 Speaker 6: application was like eight hundred dollars. I'm not sure if 133 00:05:57,200 --> 00:05:59,680 Speaker 6: it's increased since then, but yes, you definitely need something 134 00:06:00,160 --> 00:06:00,760 Speaker 6: to get started. 135 00:06:00,839 --> 00:06:03,600 Speaker 5: Okay, so you do the application, you get well as 136 00:06:03,640 --> 00:06:05,920 Speaker 5: the five oh one C three is going through the process, 137 00:06:05,920 --> 00:06:08,000 Speaker 5: because they could take up to a year. What what 138 00:06:08,080 --> 00:06:09,640 Speaker 5: else do you need to get off the ground to 139 00:06:09,640 --> 00:06:13,240 Speaker 5: start the actual charity everything. 140 00:06:13,400 --> 00:06:17,800 Speaker 6: So you need a website, you need a marketing plan, 141 00:06:18,640 --> 00:06:19,920 Speaker 6: you need a business plan. 142 00:06:19,839 --> 00:06:21,920 Speaker 4: Marketing plan. Can can we talk about that? Yeah? 143 00:06:21,960 --> 00:06:24,080 Speaker 3: Because all right, how do you now before you even 144 00:06:24,120 --> 00:06:26,640 Speaker 3: go into that, Like, this is you and someone up 145 00:06:26,680 --> 00:06:28,080 Speaker 3: like the co Like who. 146 00:06:27,880 --> 00:06:28,520 Speaker 4: Else is doing this? 147 00:06:28,720 --> 00:06:31,080 Speaker 6: So the co founder was my mother, but no she 148 00:06:32,080 --> 00:06:34,000 Speaker 6: she was living her best life in Florida. So my 149 00:06:34,040 --> 00:06:38,919 Speaker 6: mom was not involved in, you know, actually getting the 150 00:06:39,040 --> 00:06:41,200 Speaker 6: organization started. I was doing this on my own with 151 00:06:41,200 --> 00:06:45,160 Speaker 6: the help of friends who believed in me and the organization. 152 00:06:45,279 --> 00:06:48,200 Speaker 6: So that's the next step in like and I'll get 153 00:06:48,240 --> 00:06:51,159 Speaker 6: back to marketing. But you need you need a marketing plan, 154 00:06:51,240 --> 00:06:54,760 Speaker 6: you need a business plan, you need a board of directors. 155 00:06:55,360 --> 00:06:57,279 Speaker 6: You need people that are going to hold you accountable, 156 00:06:57,560 --> 00:07:00,640 Speaker 6: which most people don't know. So when you're applying for 157 00:07:00,680 --> 00:07:02,839 Speaker 6: this paperwork, you can't just put your name on it. 158 00:07:02,920 --> 00:07:05,680 Speaker 6: If people are giving donations, the IRS wants to know 159 00:07:05,720 --> 00:07:08,479 Speaker 6: who else is tracking these dollars to make sure that 160 00:07:08,600 --> 00:07:11,320 Speaker 6: you're not out here spending these these funds in the 161 00:07:11,360 --> 00:07:14,160 Speaker 6: wrong way. So when I first started, and I think 162 00:07:14,160 --> 00:07:17,080 Speaker 6: most people when they start nonprofits, it's usually people that 163 00:07:17,120 --> 00:07:20,160 Speaker 6: are very connected to you as well as the mission, 164 00:07:20,240 --> 00:07:22,440 Speaker 6: and so they'll sign on to support you. And that's 165 00:07:22,520 --> 00:07:25,840 Speaker 6: usually how the board starts and then eventually it grows. 166 00:07:26,000 --> 00:07:28,880 Speaker 4: You have to have a boarder director. Yes, people three 167 00:07:30,080 --> 00:07:31,120 Speaker 4: no negotiate, you have to. 168 00:07:31,280 --> 00:07:31,760 Speaker 6: You have to. 169 00:07:32,640 --> 00:07:34,560 Speaker 4: They have to have titles or just board director. 170 00:07:35,680 --> 00:07:37,880 Speaker 6: Yes. And they need titles. So you need a president, 171 00:07:38,440 --> 00:07:40,200 Speaker 6: you need a treasurer, you need a secretary. 172 00:07:40,280 --> 00:07:42,840 Speaker 4: And that's New York State's to end it a federal 173 00:07:42,920 --> 00:07:43,480 Speaker 4: New York state. 174 00:07:43,640 --> 00:07:48,320 Speaker 5: Okay, so all right, you have those three people. Those 175 00:07:48,320 --> 00:07:50,160 Speaker 5: people have to actually be active. 176 00:07:52,040 --> 00:07:55,200 Speaker 6: They should be active. So here's the thing. It's like 177 00:07:55,760 --> 00:08:01,320 Speaker 6: it kindly recommended because they're putting themselves on aligne by 178 00:08:01,360 --> 00:08:04,440 Speaker 6: signing that paperwork. Right, So if you have someone signed 179 00:08:04,440 --> 00:08:06,440 Speaker 6: as a secretary and it's your cousin, but they're not 180 00:08:06,520 --> 00:08:09,720 Speaker 6: actually doing the work. If you get audited or there's 181 00:08:09,760 --> 00:08:11,760 Speaker 6: an issue, they're going to come looking for you and 182 00:08:11,800 --> 00:08:14,560 Speaker 6: your cousin. So everybody should understand how serious it is 183 00:08:14,600 --> 00:08:16,040 Speaker 6: when they are signing that paperwork. 184 00:08:16,480 --> 00:08:19,240 Speaker 5: Okay, can we talk about marketing? Yeah, so how do 185 00:08:19,280 --> 00:08:22,040 Speaker 5: you put together marketing plan for a nonprofit or it's 186 00:08:22,040 --> 00:08:25,200 Speaker 5: because it's different, right, Like we're marketing let's say we 187 00:08:25,240 --> 00:08:28,560 Speaker 5: want to market our podcast, right, or you're marketing a product. Right, 188 00:08:29,080 --> 00:08:33,760 Speaker 5: it's a little different than marketing for a nonprofit because 189 00:08:33,760 --> 00:08:37,040 Speaker 5: it's charity. Yeah, so it's like you got it. It's 190 00:08:37,120 --> 00:08:39,240 Speaker 5: kind of in my opinion, it's it's a little delicate 191 00:08:40,160 --> 00:08:43,480 Speaker 5: because you don't want to make it seem like you're 192 00:08:43,559 --> 00:08:46,520 Speaker 5: selling something. But obviously you need funds. We're gonna talk 193 00:08:46,559 --> 00:08:49,360 Speaker 5: about fundraising, but you need funds, So how do you 194 00:08:49,440 --> 00:08:50,400 Speaker 5: how do you how do you do that? 195 00:08:50,480 --> 00:08:51,880 Speaker 4: Like how do you market for a charity? 196 00:08:52,520 --> 00:08:55,280 Speaker 6: I think the two most important things to consider when 197 00:08:55,360 --> 00:08:59,640 Speaker 6: marketing is who is your target audience? And then also 198 00:09:00,240 --> 00:09:03,000 Speaker 6: what are your donors need to see and understand in 199 00:09:03,120 --> 00:09:07,079 Speaker 6: order to give? So the more your donors know, the 200 00:09:07,120 --> 00:09:11,240 Speaker 6: more they will give. Period. Making sure that in everything 201 00:09:11,280 --> 00:09:14,720 Speaker 6: that you do, whether it's just utilizing social media, that 202 00:09:14,840 --> 00:09:19,360 Speaker 6: every image, every caption, every meme, everything that you're sharing 203 00:09:19,720 --> 00:09:23,920 Speaker 6: explains the mission clearly. Transparency is the number one thing. 204 00:09:24,000 --> 00:09:28,440 Speaker 6: And trying to solicit donors marketing, so making sure that 205 00:09:28,640 --> 00:09:32,240 Speaker 6: you are marketing towards the people that you need to 206 00:09:32,280 --> 00:09:35,920 Speaker 6: do the service. Right. So when I started this organization. 207 00:09:36,320 --> 00:09:39,880 Speaker 6: I wanted to market this towards people who run the 208 00:09:39,920 --> 00:09:42,320 Speaker 6: foster care agencies in New York City as well as 209 00:09:42,360 --> 00:09:45,199 Speaker 6: the homeless shelters, So figuring out what do they need 210 00:09:45,240 --> 00:09:47,600 Speaker 6: to see in order to understand what our services are. 211 00:09:47,800 --> 00:09:50,600 Speaker 6: And that's sometimes it's simply putting together a kit that 212 00:09:50,720 --> 00:09:54,719 Speaker 6: explains and breaks everything down. Here's the mission, here's our values, 213 00:09:55,000 --> 00:09:58,160 Speaker 6: here's our logo, here's our one year plan, here's the 214 00:09:58,240 --> 00:10:01,480 Speaker 6: program that we can provide, or the curriculum, just depending 215 00:10:01,520 --> 00:10:04,400 Speaker 6: on what you want to do, and ironing all of 216 00:10:04,400 --> 00:10:06,760 Speaker 6: that out so that they can understand it and then 217 00:10:06,760 --> 00:10:08,800 Speaker 6: they choose whether or not they want to work with you. 218 00:10:09,640 --> 00:10:12,200 Speaker 3: So you're pretty much I mean, you're not selling in 219 00:10:12,200 --> 00:10:14,920 Speaker 3: the sense of an item, but you're selling your vision 220 00:10:14,960 --> 00:10:17,120 Speaker 3: and your passion in a sense, right yeah. 221 00:10:16,920 --> 00:10:19,960 Speaker 6: And making it clear. I mean. There's another nonprofit friend 222 00:10:20,000 --> 00:10:22,640 Speaker 6: of mine runs an organization called Kicks for the City. 223 00:10:22,800 --> 00:10:26,319 Speaker 6: It's a very simple mission. They give shoes to the homeless. 224 00:10:26,600 --> 00:10:30,000 Speaker 6: So when all of their packaging, they're showing photos, images 225 00:10:30,040 --> 00:10:34,400 Speaker 6: of sneakers, images of homeless, so people can just simply 226 00:10:34,440 --> 00:10:37,000 Speaker 6: connect the dots. Here's the mission, there's the value, and 227 00:10:37,040 --> 00:10:37,920 Speaker 6: here's what it looks like. 228 00:10:37,960 --> 00:10:39,720 Speaker 4: If you give, it's easy. 229 00:10:39,960 --> 00:10:43,520 Speaker 5: So all right, So the biggest part of charity, nonprofit 230 00:10:43,600 --> 00:10:46,120 Speaker 5: organization is that you have to have money, right, It's 231 00:10:46,200 --> 00:10:49,719 Speaker 5: actually a business right. That's something that people need to 232 00:10:49,840 --> 00:10:54,640 Speaker 5: understand too. If you think about running a nonprofit successful, yeah, 233 00:10:54,920 --> 00:10:56,480 Speaker 5: is that you have to run it like a business 234 00:10:56,480 --> 00:10:57,320 Speaker 5: because it is a business. 235 00:10:57,400 --> 00:10:57,600 Speaker 4: Right. 236 00:10:58,720 --> 00:11:02,520 Speaker 5: So we're going to talk about funding. So nonprofits get 237 00:11:02,640 --> 00:11:04,559 Speaker 5: majority of their funding from donors. 238 00:11:04,640 --> 00:11:06,200 Speaker 4: Right, how do you depend? 239 00:11:07,760 --> 00:11:11,680 Speaker 6: Yeah, it depends. You can get a majority through individual donors, 240 00:11:12,000 --> 00:11:16,920 Speaker 6: through state funding, through federal funding. Those are the three 241 00:11:17,000 --> 00:11:17,560 Speaker 6: main ways. 242 00:11:17,640 --> 00:11:20,559 Speaker 5: Yeah, let's let's let's talk about donors. Yeah, how does 243 00:11:20,679 --> 00:11:23,000 Speaker 5: how is some what's the one on one blueprint? To 244 00:11:23,040 --> 00:11:26,319 Speaker 5: attract individual donors, real the men so. 245 00:11:26,280 --> 00:11:29,720 Speaker 6: That they understand the cause and make sure that you 246 00:11:29,760 --> 00:11:33,440 Speaker 6: are speaking to people who care about that mission, that 247 00:11:33,600 --> 00:11:37,400 Speaker 6: specific mission. So with Precious Dreams, I had to find 248 00:11:37,440 --> 00:11:40,440 Speaker 6: a way how do I connect the issues of fostered 249 00:11:40,480 --> 00:11:43,120 Speaker 6: homeless youth and make it relatable to someone who's never 250 00:11:43,160 --> 00:11:45,400 Speaker 6: been in those shoes. So the first thing that we 251 00:11:45,440 --> 00:11:49,200 Speaker 6: did was target parents because parents understand the importance of 252 00:11:49,200 --> 00:11:52,560 Speaker 6: comfort items. So I remember my first year, I would 253 00:11:52,559 --> 00:11:54,440 Speaker 6: have meetings, and one of the first questions I asked was, 254 00:11:54,640 --> 00:11:58,040 Speaker 6: do you have kids, what's their bedtime routine? Do you 255 00:11:58,080 --> 00:12:01,040 Speaker 6: read to them? What do they do? They in pajamas, 256 00:12:01,320 --> 00:12:04,000 Speaker 6: And it immediately brings them to this happy place of 257 00:12:04,080 --> 00:12:06,120 Speaker 6: thinking of like what that looks like for their kids 258 00:12:06,160 --> 00:12:09,000 Speaker 6: and how important it is to them. And then I 259 00:12:09,000 --> 00:12:13,600 Speaker 6: would help them vision what a typical night looks like 260 00:12:13,640 --> 00:12:16,040 Speaker 6: in a homeless shelter, or what a night looks like 261 00:12:16,120 --> 00:12:18,320 Speaker 6: for a foster kid who's sleeping in a room with 262 00:12:18,400 --> 00:12:21,040 Speaker 6: five other families on a mattress that's on the floor, 263 00:12:21,440 --> 00:12:26,920 Speaker 6: And immediately they feel connected, you know, and then they 264 00:12:26,960 --> 00:12:30,719 Speaker 6: want to give they want to save someone because they 265 00:12:30,720 --> 00:12:33,760 Speaker 6: can't understand how someone else could be lacking what their 266 00:12:33,840 --> 00:12:36,400 Speaker 6: child has or what they have that they were taking 267 00:12:36,400 --> 00:12:38,880 Speaker 6: for granted because they just did never thought about the 268 00:12:38,920 --> 00:12:39,800 Speaker 6: person who lacks. 269 00:12:40,000 --> 00:12:42,360 Speaker 3: It's a commonality, like we were all children at some point, yeah, 270 00:12:42,400 --> 00:12:44,640 Speaker 3: and we probably all have gone through some experience as 271 00:12:44,679 --> 00:12:46,360 Speaker 3: a child, whether it was like somebody putting you to 272 00:12:46,400 --> 00:12:46,880 Speaker 3: bed or. 273 00:12:47,120 --> 00:12:49,000 Speaker 4: The bed time routine. 274 00:12:49,120 --> 00:12:51,560 Speaker 3: I want to go to the fact of state funded 275 00:12:51,600 --> 00:12:54,560 Speaker 3: and federal funding, so like how does that work, and 276 00:12:54,880 --> 00:12:57,640 Speaker 3: are their acts or initiatives that the state provides that 277 00:12:57,840 --> 00:12:59,600 Speaker 3: just like you know, what I should target them or 278 00:12:59,760 --> 00:13:00,160 Speaker 3: how you. 279 00:13:00,160 --> 00:13:05,120 Speaker 6: Go about it. It depends on what you're doing. Again 280 00:13:05,360 --> 00:13:09,160 Speaker 6: with the nonprofit, so if you're providing a service for 281 00:13:09,280 --> 00:13:12,240 Speaker 6: schools or for educators, it's very easy to go after 282 00:13:12,600 --> 00:13:16,000 Speaker 6: state funding. If you are providing sneakers to the homeless, 283 00:13:16,000 --> 00:13:18,760 Speaker 6: it's a little harder to get those grants approved because 284 00:13:18,760 --> 00:13:22,120 Speaker 6: they might not see the importance in that work. So yeah, 285 00:13:22,160 --> 00:13:24,760 Speaker 6: it just depends on what you're doing. But those applications 286 00:13:24,800 --> 00:13:29,040 Speaker 6: are available online. There's a full list of the state 287 00:13:29,080 --> 00:13:32,760 Speaker 6: money that's available, federal money that's available, and you just 288 00:13:32,800 --> 00:13:34,480 Speaker 6: have to see whether or not you fall along. 289 00:13:34,760 --> 00:13:38,040 Speaker 4: So okay, so how important is grant writers? 290 00:13:39,240 --> 00:13:44,880 Speaker 6: Grant writers are very important. They're very very important, especially 291 00:13:44,920 --> 00:13:48,280 Speaker 6: if you don't have relationships with a lot of individual 292 00:13:48,360 --> 00:13:53,240 Speaker 6: donors because you need one or the other. Grant writers 293 00:13:53,280 --> 00:13:56,920 Speaker 6: and also researchers are another a whole other animal because 294 00:13:57,080 --> 00:13:59,320 Speaker 6: a lot of times, and we learned this the hard way, 295 00:13:59,400 --> 00:14:01,559 Speaker 6: I thought, you know, let's let's find a grant writer. 296 00:14:01,920 --> 00:14:04,320 Speaker 6: You find the grant writer and they're like, okay, so 297 00:14:04,360 --> 00:14:07,680 Speaker 6: who's doing the grant research? Because that's a whole nother job. 298 00:14:07,840 --> 00:14:09,160 Speaker 4: Yeah, I'm not even heard of that side. 299 00:14:09,320 --> 00:14:12,439 Speaker 3: What's their job to do to research everything? 300 00:14:12,640 --> 00:14:16,440 Speaker 6: Yes, and it takes hours because there are so many 301 00:14:16,480 --> 00:14:20,600 Speaker 6: grants available, but there could be one small thing in 302 00:14:20,640 --> 00:14:24,240 Speaker 6: that grant, one requirement, and your organization just doesn't fall 303 00:14:24,320 --> 00:14:27,200 Speaker 6: under it. So making sure before you waste anybody's time 304 00:14:27,320 --> 00:14:30,960 Speaker 6: and they're writing this full proposal that you fall in 305 00:14:31,120 --> 00:14:33,520 Speaker 6: on all of the requirements that are listed for that 306 00:14:33,560 --> 00:14:34,680 Speaker 6: one specific grant. 307 00:14:34,880 --> 00:14:38,720 Speaker 5: And most of these grants government or private or like 308 00:14:38,760 --> 00:14:39,600 Speaker 5: a mix, sure, a. 309 00:14:39,560 --> 00:14:42,920 Speaker 6: Mix, yeah, private, public, state, federal. 310 00:14:42,760 --> 00:14:44,920 Speaker 4: And you could just google and probably find a lot 311 00:14:45,080 --> 00:14:47,640 Speaker 4: as far as erners. 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Hiring Indeed is 358 00:17:34,720 --> 00:17:35,320 Speaker 7: all you need. 359 00:17:35,960 --> 00:17:36,320 Speaker 4: Different. 360 00:17:37,560 --> 00:17:39,800 Speaker 6: Yeah, a lot of them are very public. Some are 361 00:17:39,840 --> 00:17:44,879 Speaker 6: invite only, which are harder to apply for. But so 362 00:17:44,920 --> 00:17:48,200 Speaker 6: there's a lot of private, especially like family foundations where 363 00:17:48,240 --> 00:17:52,720 Speaker 6: they've set up to give finances annually to different organizations, 364 00:17:53,080 --> 00:17:57,840 Speaker 6: but they don't want to have thousands of applications coming in. 365 00:17:57,920 --> 00:18:01,880 Speaker 6: They're over one point five million nonprofits in the United States. 366 00:18:02,320 --> 00:18:04,800 Speaker 6: So if you are a very small, like three or 367 00:18:04,840 --> 00:18:07,919 Speaker 6: four person run organization where you're trying to just simply 368 00:18:07,920 --> 00:18:10,360 Speaker 6: give out twenty thousand dollars a year, you don't want 369 00:18:10,359 --> 00:18:13,840 Speaker 6: one point five million people applying. And so what they'll 370 00:18:13,840 --> 00:18:16,560 Speaker 6: do is they'll restrict it to a certain county or 371 00:18:16,600 --> 00:18:20,240 Speaker 6: a certain state, and people will have to know someone 372 00:18:20,280 --> 00:18:22,560 Speaker 6: in order to get in. It's kind of like like 373 00:18:23,000 --> 00:18:24,480 Speaker 6: I don't want to say mafia, but like you have 374 00:18:24,560 --> 00:18:27,840 Speaker 6: to know somebody in order to even figure out what 375 00:18:27,920 --> 00:18:29,920 Speaker 6: their application process is to get in the door. 376 00:18:30,960 --> 00:18:33,160 Speaker 4: Sore, Where does your funding come from? 377 00:18:33,560 --> 00:18:36,560 Speaker 6: Most of a majority of our funding comes from individual donors, 378 00:18:36,840 --> 00:18:40,879 Speaker 6: and that is a gift that I've been able to 379 00:18:40,960 --> 00:18:43,840 Speaker 6: receive because of the work that I've done, so in 380 00:18:44,040 --> 00:18:48,200 Speaker 6: having that history, that job history at places like Madison 381 00:18:48,240 --> 00:18:51,359 Speaker 6: Square Garden, where I've been able to develop relationships with 382 00:18:51,520 --> 00:18:54,479 Speaker 6: the one percent in New York City, or you know, 383 00:18:54,520 --> 00:18:56,679 Speaker 6: the athletes and artists that come through and they're invited 384 00:18:56,720 --> 00:18:59,399 Speaker 6: to sit courtside at our games. The Gary vs. Of 385 00:18:59,440 --> 00:19:01,880 Speaker 6: the Internet. Like all of those people I developed great 386 00:19:01,920 --> 00:19:05,320 Speaker 6: relationships with by them seeing my work ethic, but then 387 00:19:05,400 --> 00:19:09,639 Speaker 6: also my character, seeing that I am someone who is 388 00:19:10,960 --> 00:19:14,719 Speaker 6: responsible but kind. And so when I approach those people 389 00:19:14,880 --> 00:19:19,480 Speaker 6: about giving to my nonprofit, the answer is yes more 390 00:19:19,520 --> 00:19:19,920 Speaker 6: than no. 391 00:19:20,560 --> 00:19:21,840 Speaker 4: So do you have. 392 00:19:21,760 --> 00:19:25,720 Speaker 5: Because I like, I think Ery ferguson Robin Hood dinner 393 00:19:26,040 --> 00:19:29,119 Speaker 5: is like five thousand dollars minimum, It's like five thousand 394 00:19:29,119 --> 00:19:31,280 Speaker 5: dollars per plate to end. Yeah, and it sold out. 395 00:19:31,320 --> 00:19:35,040 Speaker 5: You can't get in, and so that's crazy. But like 396 00:19:35,200 --> 00:19:38,280 Speaker 5: how do you price? How do you ask for money? 397 00:19:38,320 --> 00:19:40,600 Speaker 5: And like do you do it in galas? How do 398 00:19:40,640 --> 00:19:42,160 Speaker 5: you know how much to ask for? 399 00:19:42,960 --> 00:19:50,760 Speaker 6: There's so many ways to fundraise, so many ways. So 400 00:19:50,880 --> 00:19:53,160 Speaker 6: one thing that's very important we talk We go back 401 00:19:53,200 --> 00:19:56,880 Speaker 6: and talk about boards. Right, your board of directors should 402 00:19:56,920 --> 00:19:59,800 Speaker 6: be very diverse, and they should have a network far 403 00:20:00,040 --> 00:20:02,840 Speaker 6: beyond your reach so that they can go out as 404 00:20:02,880 --> 00:20:07,399 Speaker 6: ambassadors and promote your organization to receive funding from anyone 405 00:20:07,400 --> 00:20:11,720 Speaker 6: that they're connected to. Then you can utilize social media. 406 00:20:11,840 --> 00:20:13,640 Speaker 6: There's a lot of ways that you can raise money 407 00:20:13,640 --> 00:20:16,520 Speaker 6: on social media. There's a lot of platforms like get smart. 408 00:20:16,600 --> 00:20:18,640 Speaker 6: Dot com is a platform that you can pay for 409 00:20:19,040 --> 00:20:21,760 Speaker 6: where you can set up fundraising pages. But then it 410 00:20:21,840 --> 00:20:24,400 Speaker 6: also gives you text numbers, so like the Text to Give, 411 00:20:24,800 --> 00:20:26,679 Speaker 6: where you can send out a number and say, if 412 00:20:26,720 --> 00:20:30,080 Speaker 6: you text this number, you can donate twenty five dollars instantly. 413 00:20:30,640 --> 00:20:34,200 Speaker 6: That's a platform that allows you to do it. Galas 414 00:20:34,280 --> 00:20:37,600 Speaker 6: are very important. Selling a ticket to provide an experience 415 00:20:37,680 --> 00:20:40,359 Speaker 6: for somebody is the easiest way to fundraise. Who doesn't 416 00:20:40,359 --> 00:20:42,440 Speaker 6: want to come to an open bar experience or to 417 00:20:42,440 --> 00:20:45,280 Speaker 6: see a performer, to go out to have a good time. 418 00:20:45,359 --> 00:20:50,199 Speaker 6: So galas are honestly probably one of the biggest, the 419 00:20:50,359 --> 00:20:54,480 Speaker 6: biggest ways that nonprofits are able to generate funds, especially 420 00:20:54,680 --> 00:20:57,720 Speaker 6: for precious streams. That's definitely our go to every year. 421 00:20:57,840 --> 00:21:00,520 Speaker 6: You have an yes refall. 422 00:21:01,359 --> 00:21:05,080 Speaker 4: So on the business side, how do you know? 423 00:21:05,119 --> 00:21:09,000 Speaker 5: All right, you run an organization, not you, but just anybody, right, 424 00:21:09,080 --> 00:21:14,359 Speaker 5: and that's your job. So you have to make a living, 425 00:21:14,480 --> 00:21:17,560 Speaker 5: you have to you know, provide for yourself, right, So 426 00:21:18,000 --> 00:21:21,000 Speaker 5: how do you know or what's the rule of thumb? 427 00:21:21,160 --> 00:21:23,199 Speaker 5: Like how much money should you be taking for your 428 00:21:23,240 --> 00:21:26,600 Speaker 5: own personal It never really seems like it's right because 429 00:21:26,640 --> 00:21:28,119 Speaker 5: it's like a charity. You don't want to take but 430 00:21:28,160 --> 00:21:30,439 Speaker 5: it's still a job. But you're doing something you know, 431 00:21:30,480 --> 00:21:33,240 Speaker 5: and you've got to get compensated for that obviously. So yeah, 432 00:21:33,480 --> 00:21:35,240 Speaker 5: especially like when you're the owner of it, because it's 433 00:21:35,280 --> 00:21:37,080 Speaker 5: up to you, like how do you determine, like how 434 00:21:37,160 --> 00:21:39,720 Speaker 5: much money you take from that as your personal salary? 435 00:21:40,160 --> 00:21:44,119 Speaker 6: So I think the most important word when it comes 436 00:21:44,160 --> 00:21:52,040 Speaker 6: to thriving in the nonprofit space is transparency, and annual 437 00:21:52,160 --> 00:21:55,760 Speaker 6: reports are important. An annual report is more than just 438 00:21:55,760 --> 00:21:57,560 Speaker 6: the nine to ninety which you need to fill out 439 00:21:57,560 --> 00:21:59,679 Speaker 6: every year so that the government knows how you're spending 440 00:21:59,680 --> 00:22:03,200 Speaker 6: your money. But an annual report will break down exactly 441 00:22:03,240 --> 00:22:06,840 Speaker 6: how much money went to operational costs, to programming, to 442 00:22:07,240 --> 00:22:10,679 Speaker 6: office supplies, to everything. And a lot of times big 443 00:22:10,720 --> 00:22:13,600 Speaker 6: donors want to see where every dollar went last year, 444 00:22:13,920 --> 00:22:16,520 Speaker 6: and if you can show that, then they will give more. 445 00:22:16,760 --> 00:22:18,879 Speaker 6: Like I said earlier, the more the more that a 446 00:22:18,960 --> 00:22:22,280 Speaker 6: donor knows, the more they will give. So we always 447 00:22:22,280 --> 00:22:24,840 Speaker 6: make sure that we're very transparent about what we give, 448 00:22:25,200 --> 00:22:27,800 Speaker 6: but then also making sure that they see the numbers 449 00:22:27,800 --> 00:22:30,719 Speaker 6: that they that they that they'd want to see, right, So, 450 00:22:30,880 --> 00:22:34,160 Speaker 6: Like if I'm giving a dollar, I want to know 451 00:22:34,280 --> 00:22:36,560 Speaker 6: that at least seventy five cents of my dollar is 452 00:22:36,600 --> 00:22:39,240 Speaker 6: going to go to the wards the children and the 453 00:22:39,240 --> 00:22:41,520 Speaker 6: images that you're showing me in this deck to that 454 00:22:41,640 --> 00:22:46,000 Speaker 6: program and so a precious dreams. It's interesting because I 455 00:22:46,080 --> 00:22:49,360 Speaker 6: kind of mimicked an idea that I saw from Usher's Foundation. 456 00:22:49,440 --> 00:22:54,000 Speaker 6: So Usher has the New Look Foundation, and I don't 457 00:22:54,040 --> 00:22:56,120 Speaker 6: know if they still do this, but years ago their 458 00:22:56,200 --> 00:22:59,840 Speaker 6: board was covering one hundred percent of the operational cost 459 00:23:00,240 --> 00:23:04,159 Speaker 6: and so they marketed on the website that one of 460 00:23:04,200 --> 00:23:08,400 Speaker 6: your donation goes to the programming, and that will reel 461 00:23:08,440 --> 00:23:11,439 Speaker 6: anybody in. So I went to my board. This is 462 00:23:11,480 --> 00:23:13,960 Speaker 6: actually how I was able to get approved for a salary. 463 00:23:14,000 --> 00:23:16,840 Speaker 6: I went to my board and said, this is what 464 00:23:16,880 --> 00:23:19,160 Speaker 6: I saw, and I think that this is a great approach. 465 00:23:19,240 --> 00:23:22,240 Speaker 6: And because we're only still at like the sixty thousand 466 00:23:22,320 --> 00:23:26,200 Speaker 6: dollars annual level, would you guys be willing to put 467 00:23:26,200 --> 00:23:30,320 Speaker 6: together a cost so that this is this is how 468 00:23:30,400 --> 00:23:33,240 Speaker 6: much would go towards operational costs, and then this is 469 00:23:33,280 --> 00:23:35,800 Speaker 6: how much that you give to the organization every year. 470 00:23:36,280 --> 00:23:39,840 Speaker 6: And they voted, because voting is another thing that must 471 00:23:39,880 --> 00:23:43,119 Speaker 6: happen on your board. They voted it was approved, and 472 00:23:43,200 --> 00:23:47,159 Speaker 6: they actually cover my salary. So when people donate to 473 00:23:47,240 --> 00:23:50,879 Speaker 6: Precious Dreams, none of that money goes to operational costs. 474 00:23:52,520 --> 00:23:55,960 Speaker 6: My board, my boarder directors out of their pocket, out 475 00:23:56,000 --> 00:23:59,719 Speaker 6: of their pocket. Yeah, which says so much. Right, So 476 00:24:01,000 --> 00:24:05,560 Speaker 6: the highest level, the highest level of leadership at my 477 00:24:05,800 --> 00:24:09,560 Speaker 6: organization believes in this mission so much that out of 478 00:24:09,640 --> 00:24:11,600 Speaker 6: pocket they pay for my salary. 479 00:24:12,200 --> 00:24:13,240 Speaker 4: So if rule it. 480 00:24:13,280 --> 00:24:16,080 Speaker 3: Thumb, like if we're starting a nonprofit, what would you 481 00:24:16,119 --> 00:24:18,639 Speaker 3: say that percentage would be for a nonprofit to have 482 00:24:18,680 --> 00:24:20,120 Speaker 3: an operational. 483 00:24:19,600 --> 00:24:23,919 Speaker 6: Course they're recommended accorded to according to like Charity Navigator, 484 00:24:23,960 --> 00:24:28,280 Speaker 6: would be forty percent should go towards operational costs and 485 00:24:28,359 --> 00:24:33,399 Speaker 6: anything outside of programming, everything else should go towards programming. 486 00:24:33,440 --> 00:24:35,800 Speaker 6: And then if it doesn't, they would they judge you. 487 00:24:36,080 --> 00:24:39,000 Speaker 6: There's a lot of like grading systems online for nonprofits, 488 00:24:39,200 --> 00:24:42,320 Speaker 6: so you you will get graded on a lower scale 489 00:24:42,840 --> 00:24:45,399 Speaker 6: if you are taking that money and putting it. 490 00:24:45,520 --> 00:24:47,679 Speaker 5: So we have if like a million dollars comes in, 491 00:24:47,760 --> 00:24:50,640 Speaker 5: four hundred thousand should go to operational cost, six hundred 492 00:24:50,680 --> 00:24:51,720 Speaker 5: dollars should go to the proper to. 493 00:24:51,800 --> 00:24:54,240 Speaker 3: Ya right, and that the operational cost always if you 494 00:24:54,240 --> 00:24:57,360 Speaker 3: have staff, which you obviously just a Plaska fall in. 495 00:24:57,280 --> 00:24:57,760 Speaker 4: That list too. 496 00:24:58,320 --> 00:25:02,560 Speaker 6: Yeah. And also it's like just accountability and being smart 497 00:25:02,600 --> 00:25:05,240 Speaker 6: about how you spend that money because there's no rule 498 00:25:05,320 --> 00:25:08,720 Speaker 6: that says that you have to. But if you get 499 00:25:08,720 --> 00:25:10,640 Speaker 6: an audit from the I R S and they look 500 00:25:10,680 --> 00:25:12,840 Speaker 6: at how you're spending, they can pull that five on 501 00:25:12,840 --> 00:25:13,960 Speaker 6: one C three at any time. 502 00:25:14,359 --> 00:25:18,119 Speaker 4: Okay, all right, that was good. That was a lot 503 00:25:18,160 --> 00:25:18,840 Speaker 4: of good information. 504 00:25:19,320 --> 00:25:22,080 Speaker 3: Obviously some stuff that we're going to take advantage of 505 00:25:22,160 --> 00:25:22,720 Speaker 3: us hopefully. 506 00:25:22,880 --> 00:25:23,120 Speaker 4: Yeah. 507 00:25:23,200 --> 00:25:24,840 Speaker 5: I mean that's that's the thing with our podcast. We 508 00:25:24,840 --> 00:25:26,960 Speaker 5: try to provide information for people. It's like how to 509 00:25:27,160 --> 00:25:30,359 Speaker 5: manual and then from there hopefully they'll be inspired if 510 00:25:30,400 --> 00:25:32,600 Speaker 5: they want to, you know, be inspired to to you know, 511 00:25:32,720 --> 00:25:33,720 Speaker 5: seek more information. 512 00:25:33,800 --> 00:25:36,000 Speaker 4: But you know, it's like a it's like when your. 513 00:25:36,000 --> 00:25:38,479 Speaker 5: Kid first rides a bike and you push them, then 514 00:25:38,520 --> 00:25:40,840 Speaker 5: they got to start riding on their own. But sometimes 515 00:25:40,880 --> 00:25:43,639 Speaker 5: what we lack, especially in our community, is the first push, Right, 516 00:25:43,920 --> 00:25:45,359 Speaker 5: so we just get on a bike and try to 517 00:25:45,440 --> 00:25:47,320 Speaker 5: ride it, and then we just keep falling off because 518 00:25:47,320 --> 00:25:49,000 Speaker 5: we never had momentum. 519 00:25:49,040 --> 00:25:50,560 Speaker 4: Right. So knowledge is momentum. 520 00:25:50,640 --> 00:25:52,960 Speaker 5: Yeah, So if you have the right knowledge, then that 521 00:25:53,000 --> 00:25:55,920 Speaker 5: can propel you to heights unseen. 522 00:25:56,160 --> 00:26:00,320 Speaker 6: Absolutely. But even if your viewers don't want to start nonprofits, sure, 523 00:26:00,400 --> 00:26:02,840 Speaker 6: a lot of people who tune in make donations, right, 524 00:26:03,000 --> 00:26:05,359 Speaker 6: So there are certain things that you don't even know 525 00:26:05,480 --> 00:26:09,159 Speaker 6: about giving just because it's not out there, like the FML, 526 00:26:09,280 --> 00:26:12,639 Speaker 6: like the fair market no, the FMV, the fair market 527 00:26:12,760 --> 00:26:17,440 Speaker 6: value of your donation. I recently produced this collaboration where 528 00:26:18,400 --> 00:26:22,159 Speaker 6: Champion and Complex created this sweatshirt, this limited edition sweatshirt 529 00:26:22,160 --> 00:26:24,919 Speaker 6: where one hundred percent of the proceeds went to Social works. 530 00:26:25,160 --> 00:26:28,479 Speaker 6: The sweatshirt was one hundred dollars. One hundred dollars went 531 00:26:28,520 --> 00:26:32,439 Speaker 6: to Social Works. However, a donor, anybody who purchased that 532 00:26:32,440 --> 00:26:35,960 Speaker 6: sweatshirt could not write off a one hundred dollars donation 533 00:26:36,520 --> 00:26:39,479 Speaker 6: because they received a sweatshirt that had a value of 534 00:26:39,520 --> 00:26:42,760 Speaker 6: seventy five dollars. So really you can only write off 535 00:26:42,800 --> 00:26:45,479 Speaker 6: the difference. Even when you go to a fundraiser, it's 536 00:26:45,520 --> 00:26:48,960 Speaker 6: a ticket is two hundred dollars. Somewhere on that invitational 537 00:26:49,000 --> 00:26:52,600 Speaker 6: on the website where you're purchasing the ticket, it'll say 538 00:26:52,960 --> 00:26:56,200 Speaker 6: FMV and very small letters. It's always small because most 539 00:26:56,240 --> 00:26:58,840 Speaker 6: people don't want the donor to know. It'll say the 540 00:26:58,960 --> 00:27:02,400 Speaker 6: level of the experience. So if you're going to an 541 00:27:02,440 --> 00:27:05,560 Speaker 6: open bar experience, it'll say your FMV is one hundred 542 00:27:05,560 --> 00:27:07,879 Speaker 6: and twenty five dollars. So if you're buying a ticket 543 00:27:07,880 --> 00:27:10,320 Speaker 6: at two hundred dollars, you're only able to write off 544 00:27:10,320 --> 00:27:11,000 Speaker 6: seventy fives. 545 00:27:11,040 --> 00:27:13,919 Speaker 3: Depending on who's at that event, that FMV will go 546 00:27:14,000 --> 00:27:14,919 Speaker 3: up obviously. 547 00:27:14,560 --> 00:27:17,720 Speaker 6: Right, No, who's in attendance doesn't matter. 548 00:27:19,000 --> 00:27:21,840 Speaker 3: Yeah, I'm just thinking like, if I know, right, if 549 00:27:21,840 --> 00:27:23,400 Speaker 3: I have Kanye there, right, then. 550 00:27:23,359 --> 00:27:26,240 Speaker 6: If he's performing, OK, Yeah, that's what I'm saying. So 551 00:27:26,280 --> 00:27:29,439 Speaker 6: if there's a performance, there's a value to that. If 552 00:27:29,440 --> 00:27:31,120 Speaker 6: there's food, there's a value to that. 553 00:27:31,160 --> 00:27:32,920 Speaker 3: And then go up to the sales that they're doing 554 00:27:32,960 --> 00:27:33,639 Speaker 3: from their shows. 555 00:27:33,720 --> 00:27:37,400 Speaker 6: Yeah, And the nonprofits job is to be transparent and 556 00:27:37,680 --> 00:27:40,800 Speaker 6: let their donors know ahead of time what they're going 557 00:27:40,840 --> 00:27:42,600 Speaker 6: to get out of that experience, and then what is 558 00:27:42,640 --> 00:27:45,040 Speaker 6: the difference of what they can write off education. 559 00:27:45,200 --> 00:27:47,280 Speaker 4: I didn't know that. I'm a financial vise. I never 560 00:27:47,320 --> 00:27:47,720 Speaker 4: knew that. 561 00:27:48,160 --> 00:27:50,520 Speaker 5: My understanding, I thought, whatever you get the charity, you 562 00:27:50,520 --> 00:27:51,399 Speaker 5: just write off and it's. 563 00:27:51,240 --> 00:27:51,920 Speaker 4: One hundred percent. 564 00:27:52,080 --> 00:27:53,520 Speaker 6: A lot of people do that, and a lot of 565 00:27:53,520 --> 00:27:56,840 Speaker 6: people also don't even realize that they're not right. You know, 566 00:27:56,880 --> 00:27:59,280 Speaker 6: you're filling it out that you're writing off that much money. 567 00:27:59,280 --> 00:28:01,280 Speaker 6: With the IRS does a lot of checks. 568 00:28:01,400 --> 00:28:03,360 Speaker 5: So if you ever get ordered at the IRS, they 569 00:28:03,359 --> 00:28:04,639 Speaker 5: can come back and say you. 570 00:28:04,560 --> 00:28:06,000 Speaker 4: Absolutely wrote off. 571 00:28:07,280 --> 00:28:09,680 Speaker 5: One hundred dollars for the dinner, but really you only 572 00:28:09,680 --> 00:28:11,960 Speaker 5: get a twenty five dollars because the dinner was worth 573 00:28:12,000 --> 00:28:14,399 Speaker 5: seventy five dollars. But it's up to the charity to 574 00:28:14,440 --> 00:28:16,880 Speaker 5: tell you to inform you on that. If the charity 575 00:28:16,920 --> 00:28:19,639 Speaker 5: doesn't inform you on that, can that fall back on them? 576 00:28:19,880 --> 00:28:21,800 Speaker 6: It can, But the thing is most people don't know 577 00:28:21,840 --> 00:28:24,399 Speaker 6: that they're being informed by the small print. It's the 578 00:28:24,440 --> 00:28:26,280 Speaker 6: same way as you look at a website. I mean 579 00:28:26,320 --> 00:28:28,639 Speaker 6: on a commercial, you see that fine print on the 580 00:28:28,640 --> 00:28:31,960 Speaker 6: bottom that is not their responsibility if you don't read it. 581 00:28:31,960 --> 00:28:34,080 Speaker 4: It's like the back of a ticket, like nobody ever 582 00:28:34,080 --> 00:28:36,480 Speaker 4: looks at it, but nobody nobody reads well, nobody looks 583 00:28:36,520 --> 00:28:37,120 Speaker 4: at the back of either. 584 00:28:37,119 --> 00:28:38,360 Speaker 3: It's it's like I'm here, here's my thing. 585 00:28:38,480 --> 00:28:40,560 Speaker 5: Yeah, Facebook, when you sign up, there's like a whole thing. 586 00:28:40,640 --> 00:28:42,320 Speaker 5: We'll take it information will salt. 587 00:28:42,640 --> 00:28:45,040 Speaker 3: Or the Apple update. It's like eleven pages wrong. Nobody 588 00:28:45,200 --> 00:28:45,720 Speaker 3: is going to read it. 589 00:28:46,200 --> 00:28:47,720 Speaker 4: But what are you not going to do it? 590 00:28:48,240 --> 00:28:51,440 Speaker 5: Yeah, exactly. You can quit the alternative your charity. You 591 00:28:51,480 --> 00:28:53,360 Speaker 5: can have Apple. What are you going to say, No, 592 00:28:53,360 --> 00:28:54,320 Speaker 5: I'm not gonna have an iPhone? 593 00:28:54,360 --> 00:28:57,320 Speaker 6: Yeah, and I hope I'm not discouraging people to give, 594 00:28:57,800 --> 00:28:59,360 Speaker 6: but definitely pay attention. 595 00:28:59,080 --> 00:28:59,800 Speaker 4: To good information. 596 00:29:00,000 --> 00:29:01,880 Speaker 5: Appreciate that because, like I said, that's one of the 597 00:29:01,920 --> 00:29:03,920 Speaker 5: things with the podcast is that you know, even I 598 00:29:04,040 --> 00:29:06,880 Speaker 5: learned every single podcast, I learned something from the podcast. 599 00:29:06,920 --> 00:29:09,240 Speaker 5: So that was something that I was not aware of 600 00:29:10,120 --> 00:29:13,680 Speaker 5: and I learned something. So yeah, but any other form 601 00:29:13,720 --> 00:29:16,719 Speaker 5: of like charity in the in the regular form, that's 602 00:29:16,760 --> 00:29:18,280 Speaker 5: one hundred percent write off. 603 00:29:18,200 --> 00:29:21,480 Speaker 6: Right, as long as there's nothing received in exchange. And 604 00:29:21,520 --> 00:29:24,160 Speaker 6: that's why every receipt usually says that at the bottom 605 00:29:24,160 --> 00:29:24,640 Speaker 6: of the letter. 606 00:29:24,840 --> 00:29:27,520 Speaker 4: What about if you give close? If you give close, 607 00:29:27,640 --> 00:29:28,880 Speaker 4: it's like the value of the close. 608 00:29:29,080 --> 00:29:30,920 Speaker 6: It's not the value of when you purchase it, unless 609 00:29:30,920 --> 00:29:32,720 Speaker 6: it's still brand new and it has a tag on it. 610 00:29:32,720 --> 00:29:35,720 Speaker 5: It's the value of what it is now, Like Salvation Army, 611 00:29:35,760 --> 00:29:36,960 Speaker 5: like they give you like a. 612 00:29:38,680 --> 00:29:39,600 Speaker 4: Like what's it worth? 613 00:29:40,640 --> 00:29:43,120 Speaker 3: All right, that's all self taught, right, you have to 614 00:29:43,120 --> 00:29:46,000 Speaker 3: go through experience learn, yes, and that plays in attack. 615 00:29:46,080 --> 00:29:49,240 Speaker 5: It's all all this stuff intertwined, so that plays into 616 00:29:49,280 --> 00:29:51,720 Speaker 5: taxes as well as a tax play. And that's why 617 00:29:51,760 --> 00:29:55,000 Speaker 5: a lot of balthy people, you know, start foundations also, right. 618 00:29:54,960 --> 00:29:57,840 Speaker 4: Yeah, can you talk about that briefly? We wasn't. I 619 00:29:58,000 --> 00:29:59,680 Speaker 4: wasn't really playing on talking about that. I just thought 620 00:29:59,680 --> 00:30:00,000 Speaker 4: about that. 621 00:30:00,040 --> 00:30:02,840 Speaker 5: A lot of athletes, specifically, and and entertainments and stuff, 622 00:30:02,840 --> 00:30:06,720 Speaker 5: they start foundations because it's it's a way for them 623 00:30:06,760 --> 00:30:07,880 Speaker 5: to lower the taxable income. 624 00:30:07,880 --> 00:30:12,360 Speaker 6: It's attack shelter, right, m about that, Yeah, yeah, absolutely, 625 00:30:12,600 --> 00:30:16,160 Speaker 6: it's also a way for them to it sounds terrible. 626 00:30:16,520 --> 00:30:19,280 Speaker 6: It's also a way for athletes to have their name 627 00:30:19,360 --> 00:30:23,200 Speaker 6: on something that someone else is funding. You know, there's 628 00:30:23,240 --> 00:30:26,160 Speaker 6: a lot of there's a lot of basketball clinics that happen, 629 00:30:26,600 --> 00:30:30,200 Speaker 6: and just because you see that particular celebrities name on 630 00:30:30,280 --> 00:30:33,200 Speaker 6: the clinic doesn't mean that there's not ten other sponsors 631 00:30:33,200 --> 00:30:36,120 Speaker 6: that are coming in and actually paying for it. So 632 00:30:36,320 --> 00:30:38,120 Speaker 6: of course you're going to get more support when you 633 00:30:38,160 --> 00:30:40,640 Speaker 6: have that big name. That's why a lot of smaller organizations, 634 00:30:40,640 --> 00:30:44,080 Speaker 6: grassroots like like my own, will look after We'll seek 635 00:30:44,160 --> 00:30:46,880 Speaker 6: ambassadors and celebrities to get behind our stuff because we 636 00:30:46,920 --> 00:30:48,680 Speaker 6: know when people see that name, they give more. 637 00:30:49,000 --> 00:30:50,960 Speaker 5: So how does that help them personally as far as 638 00:30:51,000 --> 00:30:52,640 Speaker 5: they start a charity, how does that help them? 639 00:30:53,000 --> 00:30:57,120 Speaker 6: Write offs? It's a write off for them personally. Yeah, 640 00:30:57,120 --> 00:30:59,360 Speaker 6: it's a write offs. But so there's two parts to it. 641 00:31:00,640 --> 00:31:03,800 Speaker 6: They get the write offs by giving financially on their own, 642 00:31:04,280 --> 00:31:08,840 Speaker 6: but then also it's a great marketing tool, you know, 643 00:31:09,160 --> 00:31:12,080 Speaker 6: like I not only do this, but I also care 644 00:31:12,840 --> 00:31:14,880 Speaker 6: and you don't have to be there to do it. 645 00:31:15,440 --> 00:31:18,160 Speaker 6: So Usher, I'm just gonna throw that one out there again, 646 00:31:18,360 --> 00:31:21,880 Speaker 6: Usha's New Luck. I've worked with that organization about three 647 00:31:21,920 --> 00:31:24,240 Speaker 6: times now. We've partnered on different things. I've never worked 648 00:31:24,240 --> 00:31:27,480 Speaker 6: with Usher, but every time that we do anything and 649 00:31:27,520 --> 00:31:29,440 Speaker 6: they post anything and it goes on the website, it 650 00:31:29,480 --> 00:31:30,560 Speaker 6: says Usher's New Luck. 651 00:31:32,600 --> 00:31:37,840 Speaker 2: My graduates from my school being forced back drop drop, 652 00:31:38,480 --> 00:31:40,120 Speaker 2: Mike drop backdrop. 653 00:31:51,320 --> 00:31:55,000 Speaker 8: An illegal alien from Guatemala charged with raping a child 654 00:31:55,040 --> 00:31:58,840 Speaker 8: in Massachusetts. An MS thirteen gang member from El Salvador 655 00:31:59,080 --> 00:32:03,120 Speaker 8: accused of murder during a Texas. Man of Venezuelan charged 656 00:32:03,120 --> 00:32:07,040 Speaker 8: with filming and selling child pornography in Michigan. These are 657 00:32:07,080 --> 00:32:10,600 Speaker 8: just some of the heinous migrant criminals caught because of 658 00:32:10,640 --> 00:32:11,520 Speaker 8: President Donald J. 659 00:32:11,600 --> 00:32:12,560 Speaker 6: Trump's leadership. 660 00:32:12,840 --> 00:32:16,440 Speaker 8: I'm Christy Noman, the United States Secretary of Homeland Security. 661 00:32:16,760 --> 00:32:20,520 Speaker 8: Under President Trump, attempted illegal border crossings are at the 662 00:32:20,600 --> 00:32:25,360 Speaker 8: lowest levels ever recorded, and over one hundred thousand illegal aliens. 663 00:32:24,920 --> 00:32:25,720 Speaker 6: Have been arrested. 664 00:32:26,040 --> 00:32:29,600 Speaker 8: If you are here illegally, your next you will be 665 00:32:29,640 --> 00:32:33,520 Speaker 8: fined nearly one thousand dollars a day, imprisoned, and deported. 666 00:32:33,960 --> 00:32:37,200 Speaker 8: You will never return. But if you register using our 667 00:32:37,240 --> 00:32:40,440 Speaker 8: CBP home app and leave now, you could be allowed 668 00:32:40,480 --> 00:32:42,640 Speaker 8: to return legally. Do what's right. 669 00:32:43,200 --> 00:32:44,040 Speaker 6: Leave now. 670 00:32:44,400 --> 00:32:49,200 Speaker 8: Under President Trump, America's laws, border and families will be protected. 671 00:32:49,280 --> 00:32:51,400 Speaker 4: Sponsored by the United States Department of Homeland Security.