Administrative Costs to Nonprofits (NPOs)

EPC Administrative Fees - The EPC Network offers nonprofit organizations two options for paying their Administrative Fees: Option 1 - Flat monthly fees of 99 cents per account or Option 2 - Fees based upon the percentage of funds raised using the EPC Network. The EPC Network allows NPOs to select either option and allows NPOs to change options with 30 days notice. Go to EPC Fees for more detail.

Survey of Donor Attitudes About  % Rates
In regard to NPOs paying a % rate -- in a recent survey -- eight percent of those surveyed said charitable organizations should not spend more than 30% on administrative costs. EPC’s 25% Administrative Cost to Nonprofits is therefore below the expectations of the majority of American donors/consumers.

Standard Fees
Below is a shortened list from The Chronicle of Philanthropy showing the standard fees charged by for-profit entities to NPOs. As you will see, if EPC’s 25% fees schedule were rated in this list, our organization would be number 2 in value provided to the NPOs.

How Commercial Solicitors Rank on the Amount of Income Provided to Charity

The ratings below were computed by The Chronicle using a statistical analysis that took into account the percentage of total donations that went to the nonprofit organizations and the size and type of nonprofit organizations for which the campaigns were conducted. A score of 50 is average.

Fund-raising company

Total gross income

Total to charity

Median %
of gross income to charity *

Chronicl e score

Levy Pazanti & Associates (Los Angeles)

$20,358,678

$15,855,626

79.70%

101.1

EVERY PENNY COUNTS, INC. (Red Bank, NJ)

 

 

75.00%

 

Mutual Funding (Fredericksburg, Va.)

$2,806,107

$1,588,010

57.50%

97

Volunteer Fund Raising Dimensions (Dale City, Va.)

$3,198,992

$1,722,021

53.70%

92.5

Events Unlimited (Los Angeles)

$23,974,664

$16,529,007

64.10%

85.2

MZA Events (Los Angeles)

$23,857,335

$16,518,048

68.60%

82.7

Hudson Bay Company (Golden Valley, Minn.)

$2,584,875

$1,431,833

70.30%

75.7

Pallotta Teamworks AIDS Vaccine  (Los Angeles)

$61,287,296

$35,771,186

58.50%

75.2

D&D Telemarketing (Ronkonkoma, NY.)

$2,059,023

$851,864

40.70%

70.7

Aria Communications (St. Cloud, Minn.)

$9,528,248

$6,855,681

68.60%

67.8

Phone Bank Systems (East Lansing, Mich.)

$4,608,026

$3,156,547

66.80%

67.6

Lester Telemarketing (Branford, Conn.)

$6,928,853

$4,953,123

65.70%

66.9

Capital District Callers (Schenectady, NY.)

$2,982,777

$1,115,300

38.40%

66.4

Fundraising & Communication Serv. (Minneapolis)

$7,090,509

$4,650,624

56.40%

66.3

Statewide/Trooper Publications(Falmouth, Mass.)

$11,167,624

$3,780,858

35.00%

65.7

Haines & Company (North Canton, Ohio)

$7,700,074

$4,228,649

47.40%

65.4

IDC (Henderson, Nev.)

$12,680,828

$8,033,209

60.80%

64.9

Royalty Services (Queensbury, NY.)

$2,894,194

$829,509

29.20%

63.8

Gordon & Schwenkmeyer (El Segundo, Calif.)

$2,574,596

$1,052,409

47.10%

63.4

Dialamerica Marketing (Mahwah, NJ.)

$4,776,577

$2,389,948

52.00%

62.1

Tele-Response Center (Philadelphia)

$22,421,344

$8,375,751

30.40%

61.4

Outreach Center (Pittsburgh)

$2,834,924

$1,678,738

60.00%

59.2

Life-Tel (Milwaukee)

$3,370,585

$2,094,754

61.40%

59

Smith Company (Washington)

$2,292,745

$1,039,318

44.80%

58.9

* Half of all fund-raising campaigns provided more than this percentage; half provided less.
Note: Some companies may operate under different names in other states.
SOURCE: Data from California, Connecticut, Minnesota, New Hampshire, New York, North Carolina, Ohio, Pennsylvania, and Virginia.
Copyright © 2001 The Chronicle of Philanthropy

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