Re: [tdf-discuss] Foundation Fundraising

2011-02-20 Thread Florian Effenberger

Hi Ben,

Benjamin Horst wrote on 2011-02-18 14.18:

I think IndieGoGo would work.http://www.indiegogo.com/

However, the existing donation pages are clearly achieving their purpose 
already, so there may be no need for an additional platform and its overhead 
costs.


indeed, although - quite natural - the donation flow is slowing down 
now. I would wait a few more weeks and see where we stand, and then 
consider other options?


Florian

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Re: [tdf-discuss] Foundation Fundraising

2011-02-18 Thread Florian Effenberger

Hi folks,

Benjamin Horst wrote on 2011-02-08 19.58:

My suggestion was to use a personal account to collect and then disburse the 
income, which would probably trigger income tax, as BRM mentioned in his 
response. (I don't know with any certainty, though.)

Another platform like Kickstarter ishttp://www.indiegogo.com/

According to their site, you can Start your campaign from any country in the world 
as long as you have a valid bank account.

It also lets you collect pledged funds even if you don't meet your overall 
goal, but it charges fees of 4 or 9% (the higher fee if you don't meet your 
full goal, the lower fee if you do). Not sure what Kickstarter's fee structure 
is to compare.


I guess it would be best if a nonprofit like OOoDeV would do the thing, 
as otherwise, tax issues arise and there is no tax-deductibility.


If you know of a service we can use as German nonprofit, I'm happy to 
look into it. :)


Florian

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Re: [tdf-discuss] Foundation Fundraising

2011-02-18 Thread Benjamin Horst

On Feb 18, 2011, at 6:37 AM, Florian Effenberger wrote:

 Hi folks,
 
 Benjamin Horst wrote on 2011-02-08 19.58:
 My suggestion was to use a personal account to collect and then disburse the 
 income, which would probably trigger income tax, as BRM mentioned in his 
 response. (I don't know with any certainty, though.)
 
 Another platform like Kickstarter ishttp://www.indiegogo.com/
 
 According to their site, you can Start your campaign from any country in 
 the world as long as you have a valid bank account.
 
 It also lets you collect pledged funds even if you don't meet your overall 
 goal, but it charges fees of 4 or 9% (the higher fee if you don't meet your 
 full goal, the lower fee if you do). Not sure what Kickstarter's fee 
 structure is to compare.
 
 I guess it would be best if a nonprofit like OOoDeV would do the thing, as 
 otherwise, tax issues arise and there is no tax-deductibility.
 
 If you know of a service we can use as German nonprofit, I'm happy to look 
 into it. :)

I think IndieGoGo would work. http://www.indiegogo.com/

However, the existing donation pages are clearly achieving their purpose 
already, so there may be no need for an additional platform and its overhead 
costs.

-Ben


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Re: [tdf-discuss] Foundation Fundraising

2011-02-11 Thread Florian Effenberger

Hi,

Jonathan Aquilina wrote on 2011-02-11 07.45:

On the EU level.


maybe you should connect to Ian, who also has insight on this topic. The 
only important thing is that you don't do anything on behalf of TDF, 
because any action might cause consequences right now :-) Getting solely 
information on possible EU funds, however, is very much appreciated.


Florian

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Re: [tdf-discuss] Foundation Fundraising

2011-02-10 Thread Ian Lynch
On 9 February 2011 18:44, toki toki.kant...@gmail.com wrote:

 -BEGIN PGP SIGNED MESSAGE-
 Hash: SHA1

 On 02/08/2011 04:36 PM, BRM wrote:

  Why resort to deception and Microsoft-esque tactics to promote LO?

 FWIW, it isn't uncommon for 501(c)3 organizations to have a for-profit
 organization operating at an arm's length. Microsoft-esque only if you
 think that a 501(c)(3) organization should pay corporate income tax on
 all the revenue it generates.


And this is very different in the UK. The only companies that are able to
allow donations against tax are registered charities so a foundation set up
as a company limited by guarantee or a CIC will not get tax relief on
donations. They will be able to allow operating expenses against tax which
is why there is no tax to pay if they don't make a profit. It's not
different from any other commercial venture, usually they just don't pay
dividends to shareholders they put that money back into the service the
company was set up to support. If a lot of income is likely to come from
donations, in the longer term an organisation that can claim back the tax
paid is essential but it might be necessary to do something less optimal as
a stepping stone to get there.

Depending upon how much revenue is generated from sources other than
 grants and donations, for the US at least, serious consideration needs
 to be given to establishing a for-profit that operates at an arm's length.


The thing is that company law is different in different countries so in a
multinational project some account has to be taken of that. It seems, for
example, much more expensive to set up a not for profit company in DE
compared to UK and tax exemptions seem easier to get for donations in a
501(c)3 in the USA.  TDF owe it to its community to get the best working
deal that is legal and ethical and that requires understanding of several
options without getting sidetracked into spurious arguments based on half
understandings and irrational fears about competitors' ethics.

jonathon
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Re: [tdf-discuss] Foundation Fundraising

2011-02-10 Thread Florian Effenberger

Hi,

Jonathan Aquilina wrote on 2011-02-09 09.53:

Florian what i meant was what process would TDF need to take to get
funding as an NGO


on the EU level, or about what exactly are you talking?

Florian

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Re: [tdf-discuss] Foundation Fundraising

2011-02-10 Thread Jonathan Aquilina

On the EU level.

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Re: [tdf-discuss] Foundation Fundraising

2011-02-09 Thread Jonathan Aquilina

Yes they do Zaphod.

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Re: [tdf-discuss] Foundation Fundraising

2011-02-09 Thread Jonathan Aquilina
Florian what i meant was what process would TDF need to take to get 
funding as an NGO


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Re: [tdf-discuss] Foundation Fundraising

2011-02-09 Thread toki
-BEGIN PGP SIGNED MESSAGE-
Hash: SHA1

On 02/08/2011 04:36 PM, BRM wrote:

 Why resort to deception and Microsoft-esque tactics to promote LO?

FWIW, it isn't uncommon for 501(c)3 organizations to have a for-profit
organization operating at an arm's length. Microsoft-esque only if you
think that a 501(c)(3) organization should pay corporate income tax on
all the revenue it generates.

Depending upon how much revenue is generated from sources other than
grants and donations, for the US at least, serious consideration needs
to be given to establishing a for-profit that operates at an arm's length.


jonathon
- -- 
If Bing copied Google, there wouldn't be anything new worth requesting.

If Bing did not copy Google, there wouldn't be anything relevant worth
requesting.

   DaveJakeman 20110207 Groklaw.
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Version: GnuPG v1.4.10 (GNU/Linux)
Comment: Using GnuPG with Mozilla - http://enigmail.mozdev.org/

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Re: [tdf-discuss] Foundation Fundraising

2011-02-09 Thread BRM
- Original Message 

 From: toki toki.kant...@gmail.com
 -BEGIN PGP SIGNED MESSAGE-
 On 02/08/2011 04:36 PM,  BRM wrote:
  Why resort to deception and Microsoft-esque tactics to  promote LO?
 
 FWIW, it isn't uncommon for 501(c)3 organizations to have a  for-profit
 organization operating at an arm's length. Microsoft-esque only  if you
 think that a 501(c)(3) organization should pay corporate income tax  on
 all the revenue it generates.
 
 Depending upon how much revenue is  generated from sources other than
 grants and donations, for the US at least,  serious consideration needs
 to be given to establishing a for-profit that  operates at an arm's length.
 

If you make the connection between the two organization extremely clear, then 
there is no issue.
The deception comes when one organization tries to use the other to say/do 
something while both are trying to pretend the two are not related.
That is what I am referring to.

Ben


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Re: [tdf-discuss] Foundation Fundraising

2011-02-08 Thread Jonathan Aquilina
Is the TDF an NGO. If its based in the EU the organization can possibly 
get a lot of funding from the EU itself.


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Re: [tdf-discuss] Foundation Fundraising

2011-02-08 Thread Ian Lynch
On 8 February 2011 09:18, Jonathan Aquilina eagles051...@gmail.com wrote:

 Is the TDF an NGO. If its based in the EU the organization can possibly get
 a lot of funding from the EU itself.


Yes but probably not by the end of March!

Applying for EU grants is certainly possible and we have expertise in the
field but it is not trivial to either fill in the applications - I'm doing
one at the moment for a project to support certification of OOo/LO - or
manage the projects. There is generally a lead in time of 18 months and
maybe 2 years to run the project itself. On the other hand you can get
300,000 Euros to do it.


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Re: [tdf-discuss] Foundation Fundraising

2011-02-08 Thread Jonathan Aquilina

Would you like me to find out whats needed to be an NGO Florian?

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Re: [tdf-discuss] Foundation Fundraising

2011-02-08 Thread Ian Lynch
On 8 February 2011 11:34, Florian Effenberger flo...@documentfoundation.org
 wrote:

 Hi,

 thanks for your contributions, great to see things moving! :-)

 Well, I think opening an US bank account is problematic at least from the
 time perspective, but maybe also from a legal PoV - our association might
 not be eligible to do so, as we are accredited in Germany and have special
 tax rules applied here.

 Jonathan Aquilina wrote on 2011-02-08 10.18:

  Is the TDF an NGO. If its based in the EU the organization can possibly
 get a lot of funding from the EU itself.


 IIRC, the EU only funds existing entities, i.e. they will only fund us when
 the Foundation itself exists.


That is correct. One avenue would be to create a company limited by
guarantee or Community Interest Company in the UK - costs about 50 Euro and
then use that to raise money to set up the German Foundation after say a
year and just transfer any surplus money. Note that for EU grants you have
to submit accounts so probably you need a years operation to generate those.
So the earlier the better. Of course there are some advantages to having two
sister companies since they could be partners in an EU project. That could
even be a deliberate strategy. You could then get money for study visits and
mobilities between them. Organise a preparatory meeting at one and you have
the potential for people from other countries to get paid by their NA to
attend the meeting. You could even set up a thematic network with funding
for partners to travel meet and discuss things.

Florian
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Re: [tdf-discuss] Foundation Fundraising

2011-02-08 Thread BRM
- Original Message 

 From: Ian Lynch ianrly...@gmail.com
 On 8 February 2011 11:34, Florian Effenberger flo...@documentfoundation.org
   wrote:
 
  Hi,
 
  thanks for your contributions, great to  see things moving! :-)
 
  Well, I think opening an US bank account  is problematic at least from the
  time perspective, but maybe also from a  legal PoV - our association might
  not be eligible to do so, as we are  accredited in Germany and have special
  tax rules applied  here.
 
  Jonathan Aquilina wrote on 2011-02-08  10.18:
 
   Is the TDF an NGO. If its based in the EU the  organization can possibly
  get a lot of funding from the EU  itself.
 
 
  IIRC, the EU only funds existing entities,  i.e. they will only fund us when
  the Foundation itself  exists.
 
 
 That is correct. One avenue would be to create a company  limited by
 guarantee or Community Interest Company in the UK - costs about 50  Euro and
 then use that to raise money to set up the German Foundation after  say a
 year and just transfer any surplus money. Note that for EU grants you  have
 to submit accounts so probably you need a years operation to generate  those.
 So the earlier the better. Of course there are some advantages to  having two
 sister companies since they could be partners in an EU project.  That could
 even be a deliberate strategy. You could then get money for study  visits and
 mobilities between them. Organise a preparatory meeting at one and  you have
 the potential for people from other countries to get paid by their  NA to
 attend the meeting. You could even set up a thematic network with  funding
 for partners to travel meet and discuss  things.
 

Why resort to deception and Microsoft-esque tactics to promote LO?
That is all having two companies owned by the same collective would do.

So while it may be expedient to setup one company for a short term to raise 
money
in order to convert to the other in the future (no problem), if that is done 
then the first
should be shut down upon conversion.

Everything you mention, aside from the deceptive partnerships, can be done with 
one entity.

Ben

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Re: [tdf-discuss] Foundation Fundraising

2011-02-08 Thread Benjamin Horst
Would it be legitimate and useful for a private US citizen to set up a 
Kickstarter with the stipulation that the funding would all be donated to the 
TDF legal entity in Germany?

If this approach is sound, then I or another US-based volunteer could set it 
up. When the campaign finishes and is disbursed, we'd transfer the money to 
TDF. 

Clear messaging on the campaign information pages would eliminate any likely 
misunderstandings from donors and supporters.

-Ben

On Feb 7, 2011, at 1:35 PM, drew wrote:

 On Mon, 2011-02-07 at 18:18 +, toki wrote:
 -BEGIN PGP SIGNED MESSAGE-
 Hash: SHA1
 
 On 02/07/2011 01:27 PM, drew wrote:
 
 A requirement to have to have a US bank account in order to receive funds 
 is not the same thing as saying the money must be dispersed in the US only, 
 is it?
 
 No.
 
 A couple of things to do, before setting up the business account:
 
 * Make sure that you really want to have a business presence in the
 state that the bank that handles the account is located in.
 
 * Decide what currency you want the account to be denominated in.
 (I don't know how that affects Amazon Processing.)
 ( I don't know how FDIC works for non US-Dollar denominated accounts.)
 
 * Verify that the bank is financially sound.
 (The Federal Reserve Bank is on track to close more financial
 institutions this year, than in the previous two years, combined.)
 
 
 Good points but I don't see it quite same way, as kickstarter is an all
 of nothing situation - you set a target and if you hit it or exceed it
 you get the funds, if not they go back to the donors - so I would say
 you don't want to setup to do business of any kind in the US beyond the
 ability to accept funds into a checking account and then later transfer
 the funds as one lump sum to the proper account for the foundation and
 close the account.
 
 As for the target amount for 100,000 euro with a close date of March
 30th, and todays exchange rate or 0.73 it would take $136,166 USD. Given
 the time frame $150,000 would seem a large enough cushion, even with
 fees, anyway that's just my quick swag at it.
 
 Also - Benjamin mentioned a different site that I have no information on
 and perhaps it does not have this US - either way, the necessary banking
 setup and then a media campaign..that is a darn tight schedule.
 
 
 
 
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Re: [tdf-discuss] Foundation Fundraising

2011-02-08 Thread Zaphod Feeblejocks
On 8 Feb 2011 at 9:45, Ian Lynch wrote:

 On 8 February 2011 09:18, Jonathan Aquilina eagles051...@gmail.com wrote:
 
  Is the TDF an NGO. If its based in the EU the organization can possibly get
  a lot of funding from the EU itself.
 
 
 Yes but probably not by the end of March!

The EU spend money on useful things?!!!

wow...--
Zaphod



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Re: [tdf-discuss] Foundation Fundraising

2011-02-08 Thread Florian Effenberger

Hi Jonathan,

Jonathan Aquilina wrote on 2011-02-08 12.36:

Would you like me to find out whats needed to be an NGO Florian?


what do you mean? ;-)

Florian

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Re: [tdf-discuss] Foundation Fundraising

2011-02-07 Thread Benjamin Horst
On Feb 7, 2011, at 9:19 AM, drew wrote:
 Firstly I'd say - slow down a bit - let this idea percolate a bit.
 
 _If_ kickstarter is something of interest then the way to go would be
 IMO to have German nationals open an account in a US bank, and that can
 be done. 

Kickstarter looks like the strongest, but other options exist as well. For 
example, http://www.chipin.com/ is one I've seen used in the past.

-Ben


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Re: [tdf-discuss] Foundation Fundraising

2011-02-07 Thread toki
-BEGIN PGP SIGNED MESSAGE-
Hash: SHA1

On 02/07/2011 01:27 PM, drew wrote:

 A requirement to have to have a US bank account in order to receive funds is 
 not the same thing as saying the money must be dispersed in the US only, is 
 it?

No.

A couple of things to do, before setting up the business account:

* Make sure that you really want to have a business presence in the
state that the bank that handles the account is located in.

* Decide what currency you want the account to be denominated in.
(I don't know how that affects Amazon Processing.)
( I don't know how FDIC works for non US-Dollar denominated accounts.)

* Verify that the bank is financially sound.
(The Federal Reserve Bank is on track to close more financial
institutions this year, than in the previous two years, combined.)

###

If the target is 100.000 €, then it should be a minimum of US$250,000.
(This is to cover currency exchange fees, and the decline in the value
of the US Dollar.)

Disclaimer:
I am not a lawyer.
I am not an accountant.

jonathon
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