Sunday, October 18, 2009

An ungood idea

Mandatory service projects at high schools bend the meaning of voluntarism (aka volunteerism) as far or farther than it should ever have to go. Now an Arvada company is advertising on Craigslist what it calls -- apparently with no satiric intent -- "a paid volunteer program."

Unraffle.com first got my guard up because it's littered with so many typos it resembles a Nigerian scam letter. The company is described, for example, as being a "social-entrepranurial" venture. I can't imagine any actual entrepreneur, no matter how bad a typist, allowing a mistake like that to go live.

Bad spelling is no crime, of course. Soliciting funds on behalf of charities and neglecting to mention it to the charities, on the other hand -- well, that depends whether the money gets where it's supposed to go. Several charities are listed on Unraffle.com as being recipients of funds generated through the purchase of electronic "unraffle" tickets. Two of them are associated with Denver public schools, which particularly caught my interest: the DCIS Foundation, which supports the Denver Center for International Studies, a secondary school, and Art for Edison, which supports Edison Elementary School. Randy Thomae of Art for Edison told me by e-mail Saturday:
I had never heard of Unraffle. I just googled them, and was quite surprised to see our name listed there. We have no affiliation whatsoever. Thank you for bringing this to my attention.
Jonathan Sandberg, Unraffle's founder, replied to an e-mail inquiry late Saturday that Unraffle is merely in beta test and has not yet collected any funds. If and when it ever does, he pointed out, charities don't need to give prior permission to receive support. (True enough, though using logos without permission seems, at the very least, unbusinesslike, as charities need to control their intellectual property just like for-profits do.) As for the charities that appear currently on the site as grantees, he wrote, "we featured a few local and non-local charities that we love and respect and would like to support/raise money for, in order to ascertain the depth of interest in our project."

If Unraffle is a beta, it's an extraordinarily slow one, since the site says "copyright 2001-2009." Perhaps a distinction needs to be made between the "paid volunteer" program and Unraffle itself. In the Craigslist ad, it's the "paid volunteer" program that is said to be in beta; Unraffle is portrayed as a going concern. My conclusion was that Unraffle has been selling unraffle tickets on behalf of charities since 2001, and that the October 2009 innovation is the "paid volunteer" program, though Sandberg tells me I'm mistaken. How, then, to explain language on the site that uses tenses other than the future, e.g., "Part one and two of the Unraffle.com mission has always been to be effective in raising money for our causes while uncompromisingly nurturing and supporting our paid volunteers"? Indeed, Sandberg tells me he already has "personally made" around $238,000 this way.

The application for the "paid volunteer" program describes an online, multilevel marketing arrangement in which "associates" earn 16.5% commission on the sale of unraffle tickets (it's actually now 30%, Sandberg said) and "directors" also earn 16.5% of their associates' sales. Here, in about the middle of the fine print, is the key to the whole thing:
In order to be accepted into the program, directors are required to pay a $250 set up fee and a $150 monthly membership fee.
In our e-mail exchange, Sandberg asserted that "Unraffle.com is a social venture project that donates 100% of its revenues to charitable causes." When I pointed out that it's not possible to subtract anything from something and be left with everything, he offered this correction:
In my haste to respond to your email I neglected to say "net" revenues in my reply. As stated on the site, "Unraffle.com donates 100% of it's earnings to charitable causes." I'll let you look up the definition of earnings and "Social Venture" but because we are a for-profit business we can really distribute profits as we see fit. It is just our decision to donate 100% of earnings to charitable causes.
Profits, earnings, revenues... if the company's founder can't keep them straight, what is the likelihood that Unraffle's associates and directors will relay accurate information to purchasers of unraffle tickets? Once you start throwing around a figure like "100%" in the context of charitable fundraising, you're almost automatically being dishonest with donors. As someone who has made a decent living as overhead, and hopes to again, I am certainly in favor of a professional model, which holds that fairly compensating fundraisers and administrators makes it possible to deliver charitable services more efficiently and effectively than would be possible with volunteers alone.

If Unraffle can do well by doing good, or even do a little good by doing well -- well, that's well and good! Perhaps Unraffle is no more a scam than those police and firefighters' benevolent associations that have been targeted by journalists for having outrageously high fundraising costs. Being bad at what you do isn't against the law.

Bear in mind, however, that there is no such thing as paid voluntarism. Paying for the privilege of raising charitable donations in hopes of a big personal payoff strikes me as an awfully ungood idea.

6 comments:

  1. An unaccurate storie

    Silly Eric. Surely misquoting is far more irresponsible than misspelling ESPECIALLY for a professional journalist such as your self: "Money I've personally made so far: -$238,000 give or take. Yeah...thats a negative." But thanks for the backlinks Erik and for proof reading our beta site. Now I don't have to right-click on all those squiggly red lines to select the correct spellings. I'll be sure to try to make the necessary changes before we go live.

    Oddly enough it's been proven that misspelled advertisements get greater responses than correctly spelled ones. It's a good thing sucess(sp) isnt(sp) baseded(sp) on "good" spelling or (grammer(sp) for that matter). To the contrary, it seems to be a precursor to success.

    Last time I checked DCIS and Art for Edison were not trademarked logos. Furthermore, the last time I personally did a fundraiser for DCIS we were not told by the foundation that we had to get special permission to put their logo on our Change Makes Cents boxes. It's a good thing I did write EVERYONE before going live in order to get permission from the charities on the site. Oh...you didn't know that did you.

    Anyway...what I'm thinking is that you, as an under-employed writer went to craigslist to look for work. You came across the posting that we put up for the Paid Volunteer Project and you were intrigued...very intreged(sp)...so much so that you spent a little too much time checking out the opportunity before you discovered that we are testing a network marketing aspect to our business modle (I always mix my i's and e's). You then got a so pissed that you "fell" for something so beneath you [network marketing] that you through(sp) cation(sp) and responsible writing to the wind and in an attempt to regain your high impression of yourself you wrote this wonderful (albeit inaccurate) watchdog piece.

    Am I close?

    It's a shame Eric that you don't hold yourself to the same standard as those that you write about. I only wish I had the opportunity to "grade" your beta version of this article before it went live as I'm sure the original misrepresentations , misspellings and misquotes would have been down right embarrasing(sp) if not blatantly unethical(sp)...

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  2. Thanks for visiting, Jonathan. If you're serious about wanting a proofreader, I charge $50 an hour with a 10-hour minimum payable in advance. No (more) questions asked.

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  3. Ouch...that's steep but I will consider it (when we get to that point).

    I also need to figure out how to removed that darned 2001- from my copyright in the footer. It seems to be causing me problems both technically and publicly (Variant(s): also pub·li·cal·ly \-li-k(ə-)lē). If you are at all versed in Joomla please let me know. But again...I have bigger fish to fry than worrying about such things at this point.

    P.S. Just as an aside...we're all wondering what happened to the money from Art for Edison. Maybe you should do a story on that. You know...since they are actually open for business, raising real money and all.

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  4. Not to mention it is illegal to hold online raffles, and in Colorado only non profits that have operated for more than 5 years can offer any raffles:

    From http://www.sos.state.co.us/pubs/bingo_raffles/bingo.htm:
    Many qualified nonprofit organizations use bingo and raffles as a fundraising tool. "Qualified organization" means any bona fide chartered branch, lodge, or chapter of a national or state organization or any bona fide religious, charitable, labor, fraternal, educational, voluntary firefighters', or veterans' organization operating without profit to its members that has been in existence continuously for a period of five years immediately prior to the making of an application for a license under this article and that has had, during the entire five-year period, a dues-paying membership engaged in carrying out the objects of said corporation or organization, and the Colorado state fair authority. (12-9-102(19), C.R.S.)

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  5. Yes and this is why Unraffle.com and the Paid Volunteer Project will be such a great asset for its charity partners. It also stinks for charities that in most jurisdictions they can only hold one raffle per year. By the way, Unraffle.com does not hold online raffles...thus the name "Un"raffle:

    Official Summary

    6/7/2007--Introduced.
    Skill Game Protection Act - Amends federal criminal law to exempt from the prohibition against transmission of wagering information the operation or participation in poker, chess, bridge, mahjong or any other game where success is predominantly determined by a player's skill, to the extent that:
    (1) the game provides for competition only between and among participants, and not against the person operating the game; and
    (2) the operator is in compliance with federal regulations governing games of skill. Amends federal law governing monetary transactions to instruct the Secretary of the Treasury to prescribe regulations requiring each person who operates a game of skill on the Internet to maintain specified safeguards, including:
    (1) that the individual participant depositing funds is 18 years of age or older;
    (2) that the individual participant is physically located in a jurisdiction that does not bar participation in the particular Internet games of skill in which the individual participates; and
    (3) that all taxes relating to Internet games of skill due to federal and state governments and to Indian tribes from individual participants are collected at the time of any payment of any proceeds of Internet games of skill.

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  6. Seems like Jonathan is Unhappy and being Unnice.

    ReplyDelete