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HSUS Eco-fleece?
By Teresa Platt, Executive Director, FCUSA
Every NGO knows fundraising is expensive and telemarketing firms are the most expensive of all. They demand hefty fees up front, and often charge over half of the funds collected for their services.
In time, with a good relationship, these fees can be reduced, but the industry average is about 68% to the telemarketing firm. Ouch!
If a charity is serious about hanging on to as many pennies as possible, it makes sense to use telemarketers sparingly. So the annual "Pennies for Charity" report issued by the New York Attorney General's office raised eyebrows when it explained, "In the campaigns of several wellknown charities - such as the Humane Society of the United States ... - the telemarketers kept all or virtually all of the funds raised."
What? How could HSUS, a multi-million-dollar fundraising behemoth allow itself to be fleeced?
A review of available public records for 1997-2002 telemarketing programs in five states revealed that HSUS raised $4,698,421 using the Share Group, Inc. - which didnŐt share much. Share Group kept $5,361,502.
That's all of the funds raised plus an additional $663,081.
Unbelievable? Then start your research here: www.oag.state.ny.us/press/2001/dec/dec19a_01.html
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