[AccessD] Rates: For-Profit vs. Non-Profit

Rates: For-Profit vs. Non-ProfitDan

...I bill my normal full rate ...and then mark as much as half of it as a donation or in-kind service, whatever makes their accountants happy.

...billing full rate on paper keeps the value of your work in front of them and doesn't result in low ball references to others which tend to take your options away.

...billing at full rate and then donating half may also result in tax advantages for both of you depending upon how you're structured and how much is involved. 

...nonprofits often are recipients of grants which match funds raised elsewhere and may well use your donation as part of their offset while taking advantage of your billing price to boost their expenses for both taxes and fundraising purposes.

...talk it over with the nonprofit's money man and you may well help yourself as well as them.

William Hindman
  ----- Original Message ----- 
  From: Dan Waters 
  To: accessd at databaseadvisors.com 
  Sent: Tuesday, March 04, 2003 3:24 PM
  Subject: [AccessD] Rates: For-Profit vs. Non-Profit


  Folks, 

  I know that sometimes people will provide a lower rate to a non-profit organization, particularly if you believe in what they are doing.  I may get some work from a Non-Profit soon, and I was wondering if anyone has a general rule of thumb about how you reduce your normal rate, or how you might charge differently.  Also, are there any tax implications that you know of?

  Thanks, 
  Dan Waters 
  Quality Process Solutions 
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