The For-Profit should be prepared to conduct a donation before engaging. As an Option, we recommended that the Alliance Partner has 250 donators and fully understands this is a complete self-service donation contribution platform.
As an Alliance Partner with access to eCETP as a For-Profit, all donation contribution is the first taxable. For example, suppose a donator elects to option for the 20/60/40 plan. In that case, 60% must go to a nonprofit organization(s), and 40% is a contribution or gift, depending on gift structure and legal opinions.
The Donor realizes that the For-Profit has operating expenditures; thus, they can participate in the 20/60/40 option plan. The Donation preset is $40, the split is 60% or $24 for the Sponsor, and 40% or $16 as the For-Profit contribution.
As part of the eCETP services, quarterly distribute ledger transaction reports are available two days after the closing date of each campaign.
In addition, daily activity reports are made available to reconcile transactions and accounting information, as required. In addition, each Sponsor is responsible for providing a 1099 form for compensation to For-Profit at year-end, compiling the prior quarterly reports with the last quarter reporting period.