According to The Nonprofit Times, Facebook fundraising tools have generated more than $1 Billion in the last few years.
The steps to register your nonprofit on Facebook may seem simple, but there are some important things to know.
STEPS TO REGISTER
Make sure your Facebook Page category is Nonprofit Organization or Charity Organization
Include the address in the ‘About’ section of your Facebook Page
Sign up for Facebook Payments from a Page Admin account
Accept Facebook's terms of service
Accept the terms of Business Manager (for organizations that use Business Manager)
Yours must be a U.S.-based 501(c)(3) nonprofit organization
The organization must be registered with the IRS, with a tax ID number (TIN/EIN)
The bank account must be registered with a licensed financial services institution
When registering, the founder, CEO or Executive Director will be required to provide his or her name, date of birth and address
Bank account information required includes bank name, bank account holder's name (organization's name), a .pdf of a legible and official bank letter or statement dated within the last 3 months confirming this information, a SWIFT Code and bank IBAN number.
WHAT ABOUT FEES?
There are no fees for a Donate Button on the Facebook Payments platform.
There are no fees for a Fundraiser on Facebook.
BUT, with a PERSONAL Fundraiser (one an individual may host on a personal page), Facebook deducts 2.60% + $0.30 USD. (So from a $100 donation, $2.90 is deducted.)
To receive Payout Reports, your organization must be registered with Network for Good.
If a Facebook fundraiser is linked to a campaign on your nonprofit website, the donation is distributed through your payment processor.
WHEN ARE DONATIONS RECEIVED?
If using Facebook Payments, every 2 weeks
If using PayPal Giving Fund, every 15-90 days after donation
If using Network for Good’s Donor Advising Fund, 45-75 days after donation
WHAT ABOUT GIVING TUESDAY?
Although Facebook publicizes its match of up to $7Million on Giving Tuesday for U.S.-based nonprofits in partnership with PayPal, matches are limited to $250K per charity with a max donation of $20K per donor (per 2018 rules.)
To get Matching Gifts on Giving Tuesday, you’ll want to take the steps to verify your Facebook page with a Grey Badge
NOTE: Facebook does send a payment confirmation to donors via the email listed in the users Facebook account. Facebook gathers information about donors during this process. Donation receipt includes the organization’s name, logo, mission statement and EIN.
FOR MORE DETAILS, SEE FACEBOOK’S FAQ HERE.
For a Whitepaper on this topic, please email to email@example.com with the Subject: Whitepaper – Nonprofits + Facebook.
Copyright Tracy L. Teuscher, APR