A raffle is a type of contest in which participants purchase tickets in exchange for chances to win a prize.When the winning ticket is pulled out of the pool of tickets, the prize is determined.Laws vary from state to state for rifling contests.
Step 1: Make sure you check the local regulatory agencies to make sure your organization is allowed to hold a raffle.
Your state may not allow it.The types of prizes that are allowed and how many non-profit organizations can conduct are all regulated by other states.Discuss your state's laws with an attorney.Prizes could cause legal problems.The IRS might be interested in prizes over $600.Alcohol, tobacco, and firearms are prizes that are tightly regulated.
Step 2: Define the rules of the contest.
If a disgruntled loser challenges the contest, you could be in legal trouble.Some of the liability can be mitigated if the rules are clear.You should cite the appropriate provision of your state law in your rules.This raffle is conducted according to the rules of the state in which you reside.In plain English, spell out the rules."Entrants purchase a ticket which is placed into a box and blindly drawn at random."Common sense should be used for your rules.Make it clear that your organization has the right to give out prizes.If nobody claims the prize, another ticket can be drawn.If entrants are required to be in person when the drawing occurs, state in the rules.
Step 3: There is a prize.
At the end of the drawing, there will be at least one lucky winner.There may be more than one prize in the contest.The draw was based on order.Prizes can be donated as a tax write-off.It will save your organization money.It's a good idea to go to your local shopping mall and talk to the managers of the stores in the mall to get prizes.Prizes can be won with gift certificates at popular stores.It's better if you give out a prize but the winner picks out his or her own prize at the store.
Step 4: Tickets can be printed.
You can use your favorite word processor to print the raffle tickets, regardless of your event or organization.List the following information on the side of the ticket: organization name, address and phone number, list of prizes, drawing date and website.There are spaces on the opposite side of the ticket for participants to fill out their information.There are tickets that may or may not have numbers on them.Before having tickets printed, you should look into the rules for your state.
Step 5: Buy tickets and sell them.
Have each purchaser fill in his or her contact information, tear the ticket in half, and give the participant a ticket with the drawing information on it.You can issue your contest tickets door to door.People may be invited to knock on doors by members of the organization.Online.Promoting the raffle online is a good way to reach a broad audience that doesn't require a lot of work, but you need to check state regulations to make sure Internet raffle contest marketing fits inside governing policy.There are storefronts.You may be able to post flyers in the windows or doors of local shops that are donating prizes.There are print ads.Inexpensive ads in local newspapers and lifestyle magazines are an effective way to get the community involved.There are Booths.It's a good idea to have a booth at an art show, carnival, or festival.An event raising money.You can sell tickets for the contest at the event.
Step 6: There is a drawing for a prize.
After you have sold as many tickets as possible, this is usually done at the end of the event.Simply have a designated person draw from the pool of tickets without looking, then announce either the winner's name or the winning number.To avoid cheating, keep the box with the tickets in a secure location.Sometimes people try to "game the system" at nonprofits.The drawing shouldn't be biased in favor of tickets that were placed in the box earlier.
Step 7: Contact the winners who didn't claim their prizes.
It's important that you deliver the prizes to your winners.You have their contact information, which they filled out on the ticket.Information on how to contact winners and how long you should give them to claim their prize can be found in local and state laws.If you want to know how long the winner has to claim the prize, you'll need to contact them by phone and certified letter.The amount of time you give winners to claim their prize may be different.A time limit can be assigned for winners of a $50 grand prize or a one-month limit for $1000 prizewinners.When you contact the winner, you must make clear the time limit.In some cases, winners might have to be there in person.Make sure it's spelled out in the rules.