Stu Posted March 20, 2019 Share Posted March 20, 2019 (edited) 1 hour ago, garfield said: And this example has both the youthful vigor and the chiseled experience of a mature "teacher". Yep, that can absolutely work. The questions, it seems to me, is: SHOULD DCI attempt to replace the "sponsorship" or, instead, find a replacement from a different effort that's not begging for sponsorship dollars? Refresh my memory. Over a year ago didn't you and I have a discussion about me saying it is good sometimes for a company to contract, and you said oh no, a company should always expand, expand, expand? Edited March 20, 2019 by Stu Quote Link to comment Share on other sites More sharing options...
garfield Posted March 20, 2019 Share Posted March 20, 2019 2 minutes ago, Stu said: Refresh my memory. Over a year ago didn't you and I have a discussion about me saying it is good sometimes for a company to contract, and you said oh no, a company should always expand, expand, expand. Uh-oh, this sounds like one of “those” questions. Yes? No? I do remember that convo. Quote Link to comment Share on other sites More sharing options...
Stu Posted March 20, 2019 Share Posted March 20, 2019 1 minute ago, garfield said: Uh-oh, this sounds like one of “those” questions. Yes? No? I do remember that convo. No snark on my part just a question. Because you and I will likely disagree on what DCI should do and I do not want this to go in the direction it went with Jeff. Quote Link to comment Share on other sites More sharing options...
Jeff Ream Posted March 20, 2019 Author Share Posted March 20, 2019 1 hour ago, garfield said: And this example has both the youthful vigor and the chiseled experience of a mature "teacher". Yep, that can absolutely work. The question, it seems to me, is: SHOULD DCI attempt to replace the "sponsorship" or, instead, find a replacement from a different effort that's not begging for sponsorship dollars? retain and add new/more...that's the ultimate goal of any successful business Quote Link to comment Share on other sites More sharing options...
Stu Posted March 20, 2019 Share Posted March 20, 2019 (edited) 4 hours ago, garfield said: The question, it seems to me, is: SHOULD DCI attempt to replace the "sponsorship" or, instead, find a replacement from a different effort that's not begging for sponsorship dollars? A non profit is extremely limited by the IRS on how it can secure revenue. So to keep non profit status most revenue must come from donations and sponsors and only some from unrelated business ventures. Also if DCI comes too close to competing for revenue with for profit entertainment business it will lose non profit status. DCI is already competing for eyeballs with touring broadway shows and touring rock/pop/country concerts which use the same type stadiums as DCI. And while it is athletic DCI will never be as big as PGA or NFL. And youth non profits like DCI must beg for those dollars or move into the world of for profit. Those are but a few of many reasons why I believe DCI has overreached its major league card and needs to back off some of its big appetite and major revenue requirements. Edited March 21, 2019 by Stu Quote Link to comment Share on other sites More sharing options...
garfield Posted March 21, 2019 Share Posted March 21, 2019 (edited) Uh, huh? Double post. No idea how that happened. Thanks, Stu Edited March 21, 2019 by garfield Quote Link to comment Share on other sites More sharing options...
Stu Posted March 21, 2019 Share Posted March 21, 2019 (edited) I think ya have a double post Gar. See above. Edited March 21, 2019 by Stu Quote Link to comment Share on other sites More sharing options...
Fran Haring Posted March 21, 2019 Share Posted March 21, 2019 20 hours ago, Jeff Ream said: i'm only a narcissistic ### when you're involved. otherwise ask W and Fran, and i'm a pretty down to earth guy. 😂 I'll vouch for this. Even though you make fun of my sartorial style. Or lack thereof. Quote Link to comment Share on other sites More sharing options...
garfield Posted March 21, 2019 Share Posted March 21, 2019 2 hours ago, Stu said: A non profit is extremely limited by the IRS on how it can secure revenue. So to keep non profit status most revenue must come from donations and sponsors and only some from unrelated business ventures. Also if it comes too close to competing for revenue with for profit entertainment business it will lose non profit status. DCI is already competing for eyeballs with touring broadway shows and touring rock/pop/country concerts which use the same type stadiums as DCI. And while it is athletic DCI will never be as big as PGA or NFL. And youth non profits like DCI must beg for those dollars or move into the world of for profit. Those are but a few of many reasons why I believe DCI has overreached its major league card and needs to back off some of its big appetite and major revenue requirements. The litmus test of of whether income is UBTI, as I understand it, is based on the use of the revenue towards the org's mission. Making revenue from outside drum corps will not attract scrutiny from the IRS unless the income is used for non-mission purposes. "...beg for those dollars or move into the world of for profit." I think that's a false choice. There's a whole bunch of revenue to be made between maxing non-profit income and becoming a tax-paying C-corp. 1 Quote Link to comment Share on other sites More sharing options...
Stu Posted March 21, 2019 Share Posted March 21, 2019 (edited) 2 hours ago, garfield said: The litmus test of of whether income is UBTI, as I understand it, is based on the use of the revenue towards the org's mission. Making revenue from outside drum corps will not attract scrutiny from the IRS unless the income is used for non-mission purposes. "...beg for those dollars or move into the world of for profit." I think that's a false choice. There's a whole bunch of revenue to be made between maxing non-profit income and becoming a tax-paying C-corp. According to the attorney I spoke with a few years back this is my understanding: The tax exempt status is a privalige bestowed upon a charity. And as long as the services of that charity are related to the mission, and the revenue from said services goes toward the mission, the profits are typically tax exempt. For example that is where thrift stores come in. However the tax exempt privalige should not be used as an advantage to compete with for profit business. That is why there is an IRS stipulation concerning how much can be done outside the actual mission; and it will be taxed at the corporate rate. So let's apply this to say BD. As much as I respect the Blue Devils, if their BD Entertainment starts competing too much for gigs against for profit booking agencies and for profit entertainment groups, and a large revenue is generated by BD Entertainment, the parent BD organization should then lose their non profit status. Why? Because even though their revenue would be going toward the mission, their services would be competing way too much for the same customers as for profit companies instead of performing within the scope of the mission. Thus, non profits do and should garner most revenue from donors and sponsors. As in beg. And if ya dont like to beg, compete in the for profit world as a for profit organization and pay your taxes. Edited March 21, 2019 by Stu Quote Link to comment Share on other sites More sharing options...
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