How to organize a charity raffle in the United Kingdom in 2022?
This article explains the rules and procedures to follow when organizing a charity raffle in the United Kingdom in 2022. With a special emphasis on NGOs and non-commercially purposed lotteries.
The first thing to know before trying to organise any charity raffle or any other type of raffle is the legislation in force of the country where the raffle is to be held.
For organisational purposes, there is not much difference compared to organising a raffle online, but in this article we will give you more details on how to organise a raffle for a charitable cause in the United Kingdom (UK) in 2022.
- What is an NGO?
- What is the difference between an NGO and an association?
- How to organise a charity raffle in the United Kingdom in 2022
- What is Cloverhut?
What is an NGO?
It should first be denoted that there is no clear legal definition, in International Law of the notion of a Non-Governmental organization (NGO). However, an NGO is understood as a non-profit organization that is not a part of the state or international institutions. An NGO may either be of humanitarian purpose or of advocacy purpose.
It is therefore an organisation created on a private initiative to achieve public utility goals. NGOs can have several legal forms, However, most NGOs are set up as a non-profit association or a foundation.
What is the difference between an NGO and an Association?
On the one hand, an NGO is a group of autonomous natural or legal persons. The grouping must be private, structured, legally delcared and approved, non-profit, with a humanitarian vocation, carrying out its activities in a professional manner in the form of permanent service provision.
On the other hand, an association is an agreement between two or more persons to gather their knowledge or activity on a permanent basis for a purpose other than to share profits.
In terms of management, reporting, work plans and operations, NGOs are more demanding than associations. This severity constructs the illusion that NGOs are more serious, however, that seriousness is also the result of proof of efficiency and the continuity of activities, partnerships and beneficiaries.
How to organise a charity raffle in the United Kingdom in 2022?
Before organizing a charity raffle in the UK in 2022, creators must be fully aware of the Gambling Commission regulations. As stated, incidental lotteries do not require a licence from the Gambling Commission, these lotteries or raffles may happen at fetes, fairs, fundraising dinners or festivals. These lotteries may not have a lucrative end, they may only raise money for charity and must adhere to the rules of non-commercial lotteries. Additionally, the organisers may charge as much as they wish for a ticket and even apply discount tickets for multiple purchases. On a different note, the prizes may not rollover from one lottery to another.
Notably, the purpose of such event may not have the sole purpose of holding the lottery, rather, the lottery must happen in an environment of a non-commercial one-off event by which everyone may participate.
In incidental lotteries, physical tickets must be provided to each participant and may not be sold online or on social media. These lotteries only occur during the event and may not be sold in any way prior to the date of draw, it is exclusively held for the people present at the event in question. Regarding expenditures, the organiser may deduct a maximum of £100 from the earnings in order to cover the charges of the lottery and a maximum of £500 from the returns to pay for the prizes. However, the prizes do not have a maximum cost, as they may be donated.
In the case of small society lotteries, as well, a licence is not needed from the Gambling Commission, however, the lottery must be registered locally in the relevant authority or local council. Registration will cost a fee of £40 and a renewal sum of £20 after the first year. Unlike incidental loterries, small society lotteries may only sell tickets to people aged 16 or over. The tickets require the inclusion of more information than those in incidental lotteries, those requirements include the insertion of the name of the society or local authority, the ticket price, the name and address of the organiser and the date of the draw. In such case, the organiser may only claim costs for prizes and exprenses up to the value of 80% of ticket sales.
Organising lotteries win non-commercial purposes is not as strictly regulated as lotteries, however, the organisers shall be well aware of the rules and procedures to follow in order to organise a successful charity raffle.
What is Cloverhut?
Cloverhut is a digital platform that seeks to offer a real estate alternative to access housing. The concept was born with the intention of giving families and young people a simplier access to home ownership. The concept is simplier, cheaper and totally legal.
The interested user must access our website, buy the desired numbers at a value of £2 each and register. If you have never participated in a draw before, you should know the more numbers you purchase, the greater the probability that you will win the prize.
Once the draw has taken place, our team will contact the winner via the details provided in their registration and inform the winner of the following steps.
With every purchase, you are contributing to the works of Habitat for Humanity Great Britain.
Participate in our next raffle and get the chance to win a home in the Spanish coast from only £2!
