Glossary of Terms

Charitable Organization – is a type of non-profit organization (NPO). It centers on non-profit and philanthropic goals as well as social well-being (e.g. charitable, educational, religious, or other activities serving the public interest or common good).

Charitable purpose – any purpose to promote the well-being of the public at large, or for the benefit of an indefinite number of persons, including but not limited to educational, literary or scientific purposes, or for the prevention of cruelty to children or animals, or for the benefit of religion, rehabilitation services, public recreation, civic improvement or services which lessen the burdens of government.

Commercial Co-venturer – a person, for profit, which is not normally in the business of fundraising, sells goods or services to benefit a charitable organization.

Fund-raising Counsel – a person who, for compensation, consults or plans, manages, advises or assists with respect to solicitation for or on behalf of a charitable organization.  A Fund-raising Counsel does not solicit nor has access to the contributions.

Parent Foundation – A parent foundation is defined to mean a charitable organization which charters or affiliates local units under terms specified in the parent charitable organization’s charter, articles of organization, agreement of association, instruments of trust, constitution or other organizational instrument or bylaws.

Professional Solicitor – a person who, for compensation, directly or indirectly solicits, or employs individuals to solicit, on behalf of a charitable organization.

Registered agent – an entity or individual that resides in a state and accepts due process on behalf of the organization.

Solicitation – any oral or written request for a contribution, including the solicitor’s offer or attempt to sell any property, rights, services or other thing, in connection with which: (i) The name of any nonprofit organization is used as an inducement for making the contribution or consummating the sale; or (ii) Any statement is made which implies that the whole or any part of the contribution or proceeds from the sale will be donated to any nonprofit organization.