Does Online Fundraising Trigger Registration Requirements?
A website donate button can be seen in every state, so does it require registration in every state? Most regulators say: not automatically — but online fundraising often does trigger registration.
The Charleston Principles
In 2001 the National Association of State Charity Officials adopted the Charleston Principles, non-binding guidelines many states use for internet solicitations. In general:
- You must register in your home state if you solicit online.
- An out-of-state organization should register in a state if it specifically targets that state's residents online, or if it receives contributions from that state on a repeated and ongoing basis or a substantial basis through its website.
- Email campaigns, targeted ads, or other outreach directed at a state's residents count as targeting that state.
States decide for themselves how to apply these guidelines, and some take a broader view. The safest assumption is that active online campaigns to residents of a state are solicitations in that state.
What about crowdfunding and donation platforms?
Using a third-party platform doesn't move the responsibility to the platform. If the campaign is for your charity, the solicitation is generally yours. Some states also regulate the platforms themselves.
Practical steps
- Review where your online donors actually live each year.
- Register before targeting a state with ads, emails, or peer-to-peer campaigns.
- Add a state disclosure statement to your donate page — several states require specific wording.
Related service: Charitable Solicitation Registration →