| Raffle fundraisers can be very successful fundraisers for a variety of organizations. Your costs are next to nothing, and the proceeds are limited only by the number of tickets sold.
The raffle fundraiser works so well because you can achieve high profit margins. If the prizes for your raffle drawing are donated, the only costs are the printing of the raffle tickets. (While you’re at it, get the ticket printing donated as well!) Raffles are less risky than big events. You don’t have to depend on getting large groups of people together at one time, like in a dinner or auction. |
This is great for any size group - from just one person to hundreds. I conducted a raffle fundraiser with only 5 ticket sellers that raised over $1000 profit for our charity! If we can do it, you can too. Follow these guidelines and you will be totally amazed by the results.
Essentials for a Successful Raffle
Prizes - It would not be a raffle if you had nothing to give away! So what kind of prizes should you have? First of all, put yourself in your potential supporter’s shoes - What if someone comes up to you and says they are selling raffle tickets? What prize would you like to win?
Here are some prizes that attract many people’s attention:
Cars - Sports cars, Luxury cars, SUV’s in this years model. Another great alternative is a completely restored classic / collector’s car. You may or may not be able to get this donated. If not, consider other types of prizes, since your profit will be higher if all items are donated.
Travel - Always a winner. Roundtrip Airfare, a package deal, a cruise, hotel stays, even airline miles all make great prizes. Most people love to travel and the biggest obstacle is usually cost. Now if they win this raffle, they’ll just have to take some vacation time and go.
The larger trips such as week-long cruises or packages with airfare and hotel may draw more ticket buyers. However, travel doesn’t have to be exotic to make a great prize. Even a weekend getaway within driving distance could be a great prize. As long as it’s a place people in your area would want to go to for a vacation. A one night stay at a local hotel is not usually as appealing.
Electronic Equipment - Big screen TVs, DVDs, and stereos. These are big incentives, especially for the guys.
Gift Certificates - For stores like Home Depot, Best Buy, and local or chain restaurants. These make great secondary prizes.
These are just a few examples. As mentioned earlier, it is important to offer a prize that your potential sellers will place a high value on. A Barbecue Grill, a Handmade Quilt, a Gourmet Dinner, all of these could be great prizes for the right audience.
Okay, okay. So I know what you are thinking. How do I go about getting these prizes?
The absolute best way is to survey the members of your organization. Every member could possibly have something of value to contribute to the prize pool. And if not, they may know somebody who can. Go for your biggest prize first, though. You need to secure that “hook” in order to have a viable raffle.
Earlier I mentioned that I had conducted a raffle that raised over $1000. In case you are wondering, our prize was a big screen TV. The company I worked for at the time had a point system incentive program. I pooled my points with some of my co-workers to get the big prize.
I also sent out an email asking my friends and the other ticket sellers for donations. I quickly got several more donations including some nice watches. Lastly, I went to several local restaurants and they were more than happy to donate gift certificates. And BINGO, we had the makings of a great raffle!
A Few Words of Caution:
Legal guidelines regarding raffles vary by state. Do a little internet research to find out about the state raffle laws and the restrictions in your county and city.
There are also some legal issues with big ticket items like cars. You may need to sell a minimum number of tickets for the car to be given away. These are legal details that would need to be explored with the dealer before committing to a deal. It is best to consult an attorney when raffling off big-ticket items like cars or boats.
Lastly, let me advise against buying the prizes for the raffle and then paying for it with the proceeds. Only raffle off donated prizes. This will naturally increase your profits! You will be putting vitually all of the ticket sales toward your particular charitable purpose. This will make a much bigger impact for your organization and what it is striving to accomplish.
Price Point
The price set for tickets can make or break a raffle fundraiser. The ticket price needs to be high enough to reflect the value of the prize, and the raise the funds needed. However, it shouldn’t be so high that no one will want to buy a ticket!
Again, you have to know your audience. What are your supporters willing to pay for a ticket? For some prizes and/or audiences you may need to charge $1 or $2 a ticket. But remember, the lower your ticket price, the more tickets you need to sell to make a good profit.
This is why having a big prize is so important. You can charge a higher ticket price for big ticket prizes. If you are raffling a large prize such as a car, you could charge $10 or even more.
For the raffle that I conducted, we charged $5 per ticket. This accurately reflected the value of the prize and was a price most people were willing to pay. In fact many people bought 2 or more tickets each. For many raffles $5 is a good median price. This is usually a good price for items such as travel, TVs, BBQ grills, etc.
Carefully weigh all these aspects when setting the price of the tickets.
Total Tickets Sold - No matter what your prize or what your cost per ticket, your organization has to sell tickets. People have to be willing, able and take action to sell tickets.
Goals
How much money do you want to raise? Is this your group’s only fundraiser for the year, or a supplement? Deciding how much to be raised from the raffle is the first step in creating goals.
Second, estimate the number of ticket sellers you can count on. How many tickets should each person sell, at minimum, to reach the fundraising goal? This ticket / amount raised goal is the Target goal.
Lastly set a stretch goal. This will provide motivation for your group to achieve more. Your super sellers will go for the stretch.
How will you motivate the volunteers to sell more tickets? Possibly a prize (like a gift certificate) for the persons that sell the most? Simple encouragement, praise and enthusiasm will go a long way in motivating your group.
Also, create time-line goals. Set a goal for one or two midpoint dates during the selling period. This will help you gauge your progress.
Boost your Ticket Sales
Are you still brainstorming? Keep on going - push your ideas further. How can you sell the most tickets possible?
Here’s a few ideas to get you started:
- Combine raffle ticket sales with other activities of the organization. Does your group sponsor a fall carnival, dinner, sports tournament or other event? Set up a booth at these events to sell tickets.
- Sell tickets at your regular group meetings, and keep everyone up to date about the campaign’s progress.
- Set up booths at local fairs and grocery stores.
- Have a reasonable time line for sales, especially for big-ticket items. A minimum of one month selling period should be allowed. Plan for 2-3 months for larger ticket items.
- Give your prizes away at a regularly planned event, or a special event. Have tickets available for last minute buys.
- Leverage your organization’s value to the community. When selling tickets, volunteers should make it clear what the sales are for. The more familiar people are with the cause or organization, the more likely they are to buy tickets.
Step by Step Raffle Guide
Now that you have an idea of the essentials for your raffle campaign, lets break it down into steps
1. Planning Meeting with the committee - brainstorm as many ideas and possibilities, as well potential pitfalls. Assign members to researching prizes.
2. Regroup with your committee - report progress on prizes.
3. Finalize your “big prize’
4. Finalize timelines, when ticket sales will start and when they will end. Plan the date and how the giveaway will take place.
5. Gather smaller prizes such as gift certificates for secondary prizes.
6. Make raffle ticket layout.
7. Get the Raffle Tickets Printed
8. Keep records of which tickets will be given to which sellers. Having numbered tickets will help in record keeping.
9. Distribute tickets to the sellers.
10. Assign captains to follow up with a groups of sellers
11. Have a mid-campaign committee meeting. Report on how ticket sales are going, how to boost sales if needed.
12. Set a due date (before the giveaway day) for the sellers to turn in the money and tickets (both sold and unsold. Place sold tickets in a safe holding area.
13. On the appointed date and time, draw for prizes.
14. Distribute all prizes.
15. Have a celebration party. Thank all your volunteers, ticket sellers and buyers. Acknowledge your highest fund raisers and give out awards.
There you have it! With a little creativity and super selling, you can raise a lot of support for your charity!
March 30th, 2009 at 3:57 pm
I am considering a raffle for my house. I would have it raffled for a charitable event. But how do I get my money for it. I need to pay off the mortgage and have some money for other debts. Would I have to sign my house over to the charity? Would they then pay me the value of my house? What do I need to know about allowing a charity to raffle off my house?
April 6th, 2009 at 9:35 am
Sherri - you are on the right track - a raffle must benefit a registered charity. There’s a lot of information on raffling a house at this website: http://houserafflesecrets.com/
April 8th, 2009 at 5:20 am
Does selling one ticket give a purchaser the equal value of winning all three raffle items? Having three raffle items total, how do you administer the actual drawing? The least value drawn first, middle value next and Highest value?
April 8th, 2009 at 9:29 am
Yes the purchaser has equal chance of winning each item. Odds depend on the total number of tickets sold. The person can increase their odds of winning bu buying more tickets.
It’s great if you can have your drawing in a public place, with all of the tickets in a drum or other container. Draw the prizes from least value to highest.
Have an official rules that outlines the date and time of the drawing, whether they need to be present to win, if someone can win more than one prize, and any other rules that are required by your state and local laws.
Good luck, and let us know if you have any other questions.
April 21st, 2009 at 12:10 pm
I have a mommy playgroup through the website Momslikeme.com and actually work for Momslikeme.com. We will be having a big family picnic at the end of May and just want nices prizes for a drawing that all will enter into. Can I still get things donated for such an event? We will have a jar there for donations to the charity our group supports.
April 23rd, 2009 at 11:27 am
Great question. Unless all of the proceeds of a raffle benefit the charity, and it complies with state and local regulations, then it’s illegal. If the prizes are just for fun, then how about making the prizes door prizes where entry is free. Then donations to the charity are optional. You could get some small prizes donated for this purpose.
May 1st, 2009 at 3:04 pm
We are wanting to raffle off an airboat that we built. Is there a website for that so we do it legally, also we are going to donate some of the proceeds to a charity. Thanks
May 4th, 2009 at 1:41 pm
Hi Angie - the total proceeds of a raffle must benefit a charity in order for it to be legal. If the charity agrees to host your raffle they will usually pay you the retail value of the item. (Of course most nonprofits would rather get prizes donated.)
May 13th, 2009 at 7:28 am
we live in the tampa FL area and my children are wanting to raffle off a tv and try to earn some extra income. If they donate 20% to a charity- is this ok?
May 13th, 2009 at 10:44 am
Keith, it is generally not allowed for the proceeds or a raffle to deliver profit to an individual person, family or company. The entire proceeds (after cost of prizes) must benefit a legally registered charitable organization. From the perspective of the legal system when anyone other than a charity benefits, it crosses the line into gambling. Which as you know, the laws in regard to anything remotely related to gambling vary considerably by location. There are some areas that don’t even allow raffles for charities. For more information review the laws of your particular state, city and county.
June 3rd, 2009 at 7:52 am
Hello Sandra,
A friend of mine was in a very bad car wreck and doesn’t have health insurance. He is now out of a car and has huge hospital bills to pay. I would be interested in organizing an online raffle to raise money to help with his bills. Is there a way to do this legally? And if so, can you recommend any web sites?
Thank you!
June 3rd, 2009 at 8:57 am
Hi Katie, you’d need to go through a charity in order for the raffle to be legal. Other fundraising activities, like a dinner for example, would not require that you go through a nonprofit. A group like the Transplant Fund or a community foundation may be able to help you. Here’s an article that goes into that in more detail: Raising Money for Individuals with Health Conditions. Best wishes to you and your friend.
June 15th, 2009 at 5:25 am
hi sandra, i am really glad i came to your site here, as i founded a charity for Women empowerment and youth education in africa, starting in Gambia. They are close to getting closed, if this´ngs were not done now, as yes they have some that give something , sometimes. but we all know that small amounts are so apresciated really allot:) still every month there are costs. thats was why i desided to go Global with it. Made a facegroup invited members, and goodwill ambasadors, got it registered and now have opened a bank account. then i twittered, and saw the link to your site at another charity:) thank God for that. You have some tips that are so structured and put up, that i just have to get such done. Find some to help and get a raffle moving. Perhaps to get it done in various countrys, this will be perfect:) As a child i have been a part of such, in europe we coc´lected then in a week: 377600 us dollars. 300 children for zimbabwe then. you have any tips for me ? Kind regards Mariann Oona Petersen - President of Awa Educate Global Web
June 29th, 2009 at 12:48 am
Hi Sandra, Grandma here, got donated items like Dinner gift certificates, furniture, sewing machine, etc,etc for a raffle, and for a yard sale. all to raise money for my 2 year old grandson who’s mother abandon him at the age of 4 months,and abuse’s him, and I need to collect money for the attorney fee’s to go to court for full custody. Do I also need to go through a charity? please advised,
June 29th, 2009 at 9:57 am
Hi Liliana — the yard sale you can do on your own, without a charity. The raffle would need to go through a charity. Check with the laws of your state, county and city as well.
July 28th, 2009 at 12:23 pm
Our charity would like to hold a 50/50 raffle in massachusetts. The Attorney General’s office just said it was illegal because it is pooling. We sell raffle tickets for $5. If we raise $700, we give $350 in cash to the raffle winner and keep $350 for the Charity. Why is this illegal?
July 28th, 2009 at 12:28 pm
A general answer would be that a cash award falls too far into the lotto or gambling categories. The states have exclusive rights to determine what is allowed and what is not in terms of gaming, so it is important to follow the Attorney General’s advice and state regulations. (Cities and counties can also impose stricter regulations or require permits, so even if a charity raffle is legal in your state be sure to check locally too.)
Why not get prizes? A great prize can help you sell more tickets and raise more funds.
August 25th, 2009 at 5:04 pm
Hi, I was wanting to do a raffle to raise money to buy bibles for our church to send to China. Is this legal?
August 25th, 2009 at 5:27 pm
Most of the time churches are considered nonprofit organizations, just check with the raffle laws of your state. Also check with your county and city to see if they have any additional requirements. Be certain that a “raffle” is going to be acceptable to your congregation, sometimes that is an issue. You can call it a “drawing” to make it sound nicer, but if you sell tickets, legally it’s the same thing as a raffle. Good luck.
September 6th, 2009 at 1:38 pm
Hi, Sandra, I have been volunteered to help with a raffle they are doing at a Cruise In at a church. Lots of gifts have been donated and the raffle tickets are printed. Now for the important part, how do we go about assigning the gifts to the numbers? Last years Cruise In was little disorganized because we didn’t know what we were doing. Winners would come up and we’d try to match the gifts to the numbers and it got hectic. Your help would greatly appreciated!
September 17th, 2009 at 8:59 pm
how do you go about getting donations from local bussiness? what do you have to have or actually say to get donations?
October 8th, 2009 at 9:55 pm
hi, im trying to raise money for my organization. i was able to get mac make up to give away a gift bag t each member who attends..we expect 200 people to attend…can we place a mandatory $5.00 gift donation in order to attend/receive the gift bag.in addition we will raffle off prizes which will be included in the cost of the donatio of $5.00 let me know thx
October 15th, 2009 at 9:18 am
I need printable certificates for a raffle. The teachers donated a lunch with your favorite teacher and I need to give the winning kids a certificate. I would like to print several on one sheet or 1/2 sheet certificate. Where can I find a template to print out.
October 15th, 2009 at 9:23 am
Hi Andrea - Here’s are a couple of websites with free printable certificates: CertificateCreator.com and 123Certificates. You can also get a package of blank ones at any office supply or teacher store.
October 18th, 2009 at 1:00 pm
I’m trying to figure out how to get raffel tickets for my organization’s fundrasier.Can you help
October 19th, 2009 at 4:00 pm
There are a variety of places to get raffle tickets, visit this page on raffle ticket printing or just search for the phrase on Google.
October 28th, 2009 at 2:11 pm
We have a newly built 4 year old restauarnt fully equiped. Would like to pay the morgage and credit debt and the rest to charity can we do this?
October 28th, 2009 at 2:18 pm
Raffles are not meant to be money making ventures for individuals or businesses even if you want to give the “leftovers” to a charity. Contests sponsored by for profit businesses or governments would either be defined as a lottery (if a ticket purchase is required) or a sweepstakes (if no purchase is necessary) and there are other laws that govern these activities. Check with the laws of your state and local area for more information.
Even if this were possible it would be difficult to raffle off a business. People who purchase business property are interested in running a business or turning a profit on a real estate investmnet. People who buy raffle tickets want luxury items like cars or vacations.
October 29th, 2009 at 12:16 pm
Is there any special steps to follow if our little league is planning a raffle where tickets need to be sold & the prize is money? We are in California and we are a non prof-org.
October 31st, 2009 at 8:13 am
Most states do not allow money to be the prize money because that crosses the line into a lottery. Look up the laws of your state here: http://rafflefaq.com/united-states-raffle-laws/
November 2nd, 2009 at 2:34 pm
We held a raffle and a few tickets came in the mail a few days after the drawing (the date of the drawing was printed on all the tickets) What are we legally required to do?