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Donor Agreement Sample: What You Need to Know

When it comes to philanthropy, it`s essential to have a clear and concise agreement between the donor and the organization. This document outlines the terms of the gift, including how it will be used and any restrictions that the donor may have. It`s a way to ensure that both parties are on the same page and that the gift is used in the way intended by the donor.

If you`re a donor, giving to a charitable organization, it`s important to understand what is included in a donor agreement and what to look for in a sample agreement. Here are a few key things to consider:

1. Purpose of the Gift

The donor agreement should outline the purpose of the gift, including any restrictions. For example, if you`re giving money to fund a specific program, the agreement should specify that the funds will be used only for that program.

2. Duration of the Agreement

The agreement should also specify how long the gift will last. For example, if you`re making a multi-year commitment, the agreement should state the length of the commitment and the amount of the gift each year.

3. Recognition

If you want to be recognized for your gift, the agreement should specify how you will be recognized. This can include naming rights, plaques, or other forms of recognition.

4. Tax Implications

The agreement should specify whether or not your gift is tax-deductible and how the organization will acknowledge your gift for tax purposes. This is especially important if you`re giving a large gift.

5. Dispute Resolution

If there is a dispute between the donor and the organization, the agreement should outline how it will be resolved. This can include legal action or mediation.

Now that you know what to look for in a donor agreement, let`s take a look at a sample agreement.

[Insert Sample Donor Agreement Here]

This sample agreement outlines the purpose of the gift, the duration, recognition, tax implications, and dispute resolution. It`s important to note that this agreement is just an example and should be customized to fit your specific needs.

In conclusion, a donor agreement is an essential document when giving to a charitable organization. It ensures that the gift is used in the way intended by the donor and outlines any restrictions or recognition the donor may want. When considering a donor agreement, be sure to look for the key elements outlined above and consult with legal counsel if necessary.