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Web Advertisements & Rates

18 years 9 months ago #85419 by Ira
While on the surface, it may appear that way,


The IRS link below
IRS Unrelated Business Income link

states an exeception that I believe applies as all work is by unpaid volunteers.

In addition, the following activities are specifically excluded from the definition of unrelated trade or business:

*
Volunteer Labor - Any trade or business is excluded in which substantially all the work is performed for the organization without compensation. Some fund-raising activities, such as volunteer operated bake sales, may meet this exception.

Then again, I am not a lawyer or accountant. Certainly it's worth investigating, but even if it is taxable, the benefit still more than makes up for the potential gain.

-Ira
18 years 9 months ago #85418 by pottsvillemom
I think that you are definately getting into the area of Unrelated Business Income Tax. You might want to check into that.
18 years 9 months ago #85417 by Ira
I know many of you have not yet taken this route, but as webmaster, I am convinced that by taking web ads, we can solve a major issue with getting community support.

1st of all, our group is a Non-Profit organization under Section 501(c)(3) of the Internal Revenue Code.

The problem is, and I'm sure many of you can relate, is that businesses are often not set up to donate to local groups, particularly if they are very regional. Many stores say it's their corporate office in far off states that are responsible. Just submit your request 10 years in advance and they'll send you $25 [img]smile.gif[/img]

However, all stores have a marketing and advertising budget, even the local stores. While they can't donate that old display item that your organization could use (but are allowed to throw it away), they can and do take out ads. A web based ad is a cheap way for a firm to reach local residents.

But ads and schools/PTO's don't necessarily mix well. Thus, my intention is to have a specific web ad page off the main PTO home page where people can view local ads. With appropriate disclaimers, this absolves us of all (or most) responsibility to the content of the ads and doesn't dilute the School/PTO's web page.

I have found that our donation page receives a relatively large number of hits from search engines looking for local businesses, particularly when the firm has no web site itself, or a local store is being searched for. This click thru-is definitely enhanced when an address and local phone number is included with the listing. They come to our page, then go to the firm's web site.

Thus there is value here. And if the school/PTO's web site get's a fair amount of traffic (which our does MacArthur School Webpage ), having a link on a school page help's a firm's position on search engines like Google.

So now the question comes down to rates and ad types. I'm thinking of year (starting July 1) rates and prorate to 50% for ads after Jan 1.

The types of ads I'm thinking about (to minimize web changes) are;

1. ($10)Name, Web or Email Link and 1 line of text
2. ($20) Name, Web and/or Email Link, Phone #, 3 lines of text
3. ($50) Name, Address, Phone #, Web and/or Email Link, 3 lines of text
4. ($150) Name, Address, Phone #, Web and/or Email Link, 3 lines of text, logo

If logo is not provided in a computer graphic format, a $10 logo creation fee will be charged.

For Sale Advertisements (advetisements of limited time):
$50/Month - Maximum image size is 150K. Advertisement can include a web link. Sale advertisements will be listed at the top of the advertising page and must include sale date range

Ad Placement:
There is an additional position placement surcharge for those wishing placement near the top of the category. If you pay for a particular placement, your position will never be lower than that, but may be higher. Placement position is on a 1st paid basis. If desired position is not available, you will be offered other lower positions and refunded and difference in cost.

Rates like $250, $200, $150 for the 1st 3 positions are what I'm thinking.

I'd be interested in hearing any opinions about ad types, rates, etc. Are the prices too high? Too Low?

Thanks,

Ira
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