Hosted Fundraising Event: How to secure your funds



By Christelle Leonetti

SKEMA Business School

Lille, France



­Nonprofit organizations and non-governmental organizations (NGOs) represent more than 10 million organizations throughout the world and most of them use fundraising to collect money for their programs. However, they do not use the same methods or have the same results. Fundraising can fail and let the organization without fund and with a negative cashflow depending of the method used and the event planned. Therefore, this paper is developed to analyze the different methods used to raise funds using Multi-Attribute Decision making and determine which one is the best and most effective to use to create a fundraising contract. Based on the analysis, only using one method ensures a low rate of success therefore organizations must be creative when creating their fundraising strategy and aimed at organizations as well as individuals.

Key Words: fundraising, event planning, termination, funds, contract, relative weighting


The American Association of Fundraising Professionals’ 2016 “the Fundraising Effectiveness Survey” report states that the amount raised between 2014 and 2015 by 9,922 nonprofit organizations in the United States is $8,628,240,699. How do those organizations raise so much money?

They use online fundraising (Causes, Crowdrise), grants, financial endowment or they use their network to communicate directly with potential donors by organizing events that combine a just cause with a moment of sharing. Those events can be categorized in 3 different types: self-managed events that the organization manages by itself to raise money, one of the most famous being the “Monaco Red Cross Ball” organized yearly since 1948 by the Red Cross. Participatory events that the organization manages but that require the participation of supporters and hosted events where the supporters host the events for you.

Hosted events usually collect less funds that self-managed events since the host is usually a smaller organization so why so many organizations use them to collect funds? What are the benefits of letting someone else hosts your fundraising event? Well, it expands the organization’s network since the participants of the events come from the host network and not directly from the organization one and it is less risky for the organization because it does not take part in the creation of the event therefore there is no direct cost for the organization.

Considering the small impact of those events of their own, nonprofit organizations use partnership programs in order to use hosted events on a regular basis (several events a year). The organization does not manage those events in contrary of the other two categories so how can they make sure that the money collected by the host will be donated to them at the end of the event? And how much? This is where organizations use contracts to clarify the specifications of those events.

This paper will answer two questions from the nonprofit organization point of view:

– What should a “hosted fundraising event” contract contain?

– What happens to the funds collected in case of termination?


To read entire paper, click here


Editor’s note: Student papers are authored by graduate or undergraduate students based on coursework at accredited universities or training programs.  This paper was prepared as a deliverable for the course “International Contract Management” facilitated by Dr Paul D. Giammalvo of PT Mitratata Citragraha, Jakarta, Indonesia as an Adjunct Professor under contract to SKEMA Business School for the program Master of Science in Project and Programme Management and Business Development.  http://www.skema.edu/programmes/masters-of-science. For more information on this global program (Lille and Paris in France; Belo Horizonte in Brazil), contact Dr Paul Gardiner, Global Programme Director [email protected]

About the Author

Christelle Leonetti

SKEMA Business School
Lille, France

Christelle Leonetti
is a French student in the “Grande Ecole” Program at SKEMA Business School in France, majoring in Project and Programme Management & Business Development (Msc). She used to be the treasurer of two humanitarian student associations. She is interested in the work of nonprofit organizations and event planning. She wants to be a project manager in the event industry. She currently lives in Lille, France and can be contacted at [email protected] or https://www.linkedin.com/in/christelle-leonetti/