What is the Charitable Profit Arrangement, "the cpa program"
You will immediately see that this is a Win/Win for all parties, Donors and Nonprofits alike, and
most of all the mission.
The cpa program is a patent pending business process and very unique in its own right.
1. The Donor maintains ownership of his/her money, while getting a return on that money.
2. The Nonprofit can use the "Shared" profits for any and all disclosed purposes.
3. The Nonprofit attracts new money, additional money, and operational money.
4. The Nonprofit is paid first from the rate of return pre-decided in the contract. Then the donor
gets a pre-decided rate of return. Any spillover over this amount will be paid to the nonprofit.
The nonprofit will first receive a pre-decided rate of return from the investment.
The donor then receives a pre-decided rate of return of the investment.
The "balance" of the profit if there is any goes to the 501 (c)(3) as a spillover donation.
5. You will increase donations, you will bring in additional Donors, create more effective sharing
campaigns, while achieving more projects and missions.
With that in mind, the cpa program team works with Nonprofits and Charities to put together a
Charitable Profit Arrangement program to meet their goals and mission. In that program the Donors
share their money on behalf of the Nonprofits inside the financial account. The donor gets
the benefit of the tax write-off on the portion that is Shared and the Nonprofit receives the
dollars as a donation. The balance or "spill-over" amount will be donated to the
Nonprofit, can be determined by the Nonprofit at the commencement of raising funds.
The cpa program in Action
...a simple illustration
Let's assume two (2) donors agree to each share a $100,000 principle with their favorite charity for
a total of $200,000 through a Charitable Sharing Account on behalf of a specific nonprofit.
Hypothetically, lets assume a return on investment of 12% each year for the three-year term.
Each Donor agreed to keep 6% of the profits each year, which is $6,000 and then contribute the other
6% profit, ($6,000 each year) to the nonprofit for their use.
The nonprofit receives the 6% profit or $6,000 from each Donor. This means that the nonprofit would
realize $12,000 from only two (2) Donors over the next three (3) years. In this example, the Donor
receives a 6% return on their investment, plus another 6% write-off as a tax deduction, thereby
yielding an even higher "real rate of return".
"Sharing" dollars are much easier to raise for the Charity due to the fact that the
Donor is only "sharing" the $100,000 on future returns and not gifting away the principle forever.
The donor remains in control of the principle and gets it back after the agreed upon term. Because
the cpa team does all the work including the presenting, the asking and managing the process, it is
seamless and effective for both nonprofits and Donors.
Click here
to view a Charitable Profit Arrangement flow chart.
Click here
to view an in-depth WHITE PAPER on how to implement the cpa program.
Click here
to view our Frequently Asked Questions (FAQ).
** Special Note - 10% of ALL OUR profits made from the operations of the cpa program will be donated back
to a nonprofit of our choice. Corporate sharing is a must in today's world, and the Charitable Profit
Arrangement is the example.
... more info