As the world shifts in new ways to usher in modern economic and social demands, charities can significantly improve their growth. Nonprofits benefit by allowing their organization to accept stock donations online in the form of a stock gift or mutual fund donation. Charitable giving of stock donations has significantly increased in the last several years, as shown in Dr. Russell N. James’ nonprofit study between 2010 and 2015. His research showed that nonprofits that accepted non-cash asset donations, such as accepting stock donations, saw a growth rate of 66%, while organizations that only took cash contributions saw 11% growth. That is a 55% difference in growth rates. You need to make sure your non profit is well positioned to accept stock donations so you can experience this growth.
How to Accept Stock Donations Online Using Stock Donator
As the number one leader in accepting stock donations online, Stock Donator has been honing this process for more than ten years and has done thousands of stock donation transactions. We are trusted by thousands of non profits as the best way to accept stock donation online. Nobody comes close. As seen in our reviews, our priority is customer service. We want to make this process seamless, easy, and cost effective. We started this business to make it easy for smaller non profits to do what they did best and not get bogged down with the technicalities of accepting stock donations online. There are many hidden pitfalls of opening a brokerage account to accept stock donations. We vowed to bring simplicity back to our non profit communities by making it easier to accept stock donations online in a few easy steps…
Here is how it works:
- You create a free account on Stock Donator.
- You follow the step-by-step instructions to open an account with Stock Donator to accept stock donations online.
- Stock Donator will take care of all the paperwork and accept the stock donation on your behalf.
- After accepting the stocks on your behalf, Stock Donator will cash the shares and provide proceeds net of any fees and service charges via direct wire transfer or check.
To open a free account to accept stock donations, you will need to have the following information handy to complete the form:
- Tax ID
- Primary contact information
- Check or wire transfer preferences
Once you enter your free account information, we will confirm your nonprofit status and activate the account. The process typically takes less than a few hours to complete!
The Benefits of Accepting Donations Online
There are significant benefits to charities that accept stock donations online. Namely, non-cash assets in the form of stocks, mutual funds, and ETFs bring considerable growth to nonprofits. Every nonprofit is looking to get the money they need to run operations, which is why we make liquidating stock donations streamlined and accessible to all 501(c)(3) organizations. Setting up an account with Stock Donator to accept stock donations is free, and Stock Donator will help you solicit stock donations online with current, new, and potential donors.
The Types of Securities You Can Accept
Before you start offering this option to your donors, it is essential to review the types of securities you can accept online as a stock donation. Your organization can accept stock donations online in the form of shares, mutual funds, and ETFs. Unfortunately, we are not able to assist with the transfers of privately held securities. It is important to note that the mutual funds will need to be held by a participating or supported brokerage institution to facilitate the acceptance of mutual fund donations online. The good news is that you do not need a brokerage account to get started accepting stock donations. We will help you with that.
Here’s What NPOs Should Know About Accepting Stock Donations Online.
Unrestricted cash donations are the most effective way to support your nonprofit’s operations; however, they are not the easiest donations to receive. You may not be getting as much as you could be getting if you solicit and accept stock donations. It is difficult to convince donors to give up their hard-earned money. By opening an account with Stock Donator and having a way to accept stock donations and accept mutual funds donations instead, you will be giving your donors another options. Adding the option to receive Stock Donation to your organization will help your NPO growth significantly. Before you can accept stock donations online, there are a few things you should consider whether your charity’s accounting system is set up to track all accepted stock donations. Stock Donator’s dashboard will do that for you.
Accept stock donations and create a win-win for the organization and the donor. The organization receives the full fair market value of the stock donated, and the donor takes an itemized deduction equal to the fair market value of the stocks you accepted as a donation.
Nonprofit organizations do not need to have a brokerage account to accept stock donations online through Stock Donator. We will help you with that!
Accepting stock donations online in the form of a stock gift is easy, and organizations, both big and small, can benefit from providing this option to supporters. In an age where the world has changed dramatically in just a matter of months, people are looking for more ways to give back to the incredible charities that align with their values. Offer them a win-win option and accept stock donations online through Stock Donator. It is a simple, secure, and effective way to accept stock donations online that will help you finance your nonprofit organization and bring more convenience to donors.
