Using Stockdonator.com, the only steps required to accept stock donations without opening a brokerage account are:
- Open a Stockdonator account
- Place a stockdonator button on their website!
It is that simple. After these 2 steps, anytime a donor wishes to make a donation. Stockdonator.com will do all the work and the only thing left for the non-profit is to cash a check.
Please see the FAQs if you have additional questions that you want answered about Stockdonator.com, including what the fees are for this service.
Without Stockdonator.com, Non profits have a lot of work to do. People often underestimate the amount of time and effort required to run a non-profit. Much of a non-profit’s time and effort might be spent on mundane paperwork and processes that distract the organization from the true good work they are doing. Take for example a simple stock donation.
If a non-profit has a donor who is willing to make a stock donation, that non-profit will have to take the following steps in order to accept a stock donation without stock donator:
- open a brokerage account (if they don’t have one already). Which involves researching which brokerage firm is most convenient and has the least fees and will probably involve making visits to the branch to sign papers.
- send the brokerage account information to the donor
- send the donor the correct stock transfer form
- from the date the form is sent to the donor, to the date the stock is received by the non-profit, the organization will have to continuously check their brokerage account for the stock to appear.
- the non-profit will then have to prepare a receipt and figure out what the correct cost basis of the stock is.
- the non-profit will then sell the stock and transfer the cash from the brokerage firm to their bank account.
Sometimes, a non-profit will have to go through all these 6 steps to receive a small donation of a few hundred dollars. And for each donation, they will have to repeat the cumbersome steps above. Sometimes the hourly rate which they pay a person to deal with the above process will be more expensive than the proceeds of the donation they received!
The small fee they pay more than makes up for the increase in productivity. The non-profit does what they do best, and stockdonator takes care of what it does best – making stock donations an automated, online process.