MKT 441 Exam 4 – Study Guide, Practice Questions & Exam Review
Lifeblood of college athletic departments - ✔✔fundraising/donors
1st core element of fundraising business - ✔✔model and classification of a fundraising
business
how are athletic departments classified - ✔✔501(c) 3
what does classification as a 501(c) 3 mean? - ✔✔they do not pay taxes on revenue coming
and can accept donations
How does fundraising benefit donors? - ✔✔allows donors to write off contributions to the
school under the IRS
Top 3 revenue sources for college athletics - ✔✔media rights
fundraising revenue
royalities, licensing, advertising, and sponsorships
Why is fundraising not a fixed amount? - ✔✔Fundraising isn't tied to any assets, so its
potential is unlimited
Why is fundraising seen as a viable option for schools? - ✔✔Fundraising has unlimited
potential revenue and very low costs to generate revenue
What 2 overhead cost are associated with fundraising? - ✔✔operating budget and salary
Who can be donors? - ✔✔fans, alumni, friends, corporations & charities, family, trusts
, Who might friends be? - ✔✔Anyone associated with the program
someone who might be new the area/school
Trusts - ✔✔a legal device to avoid probate, avoid or delay taxes, and protect family assets; 20%
of the highest donors
What are the donors jobs? - ✔✔people supporting the success of specific programs and ppl
who buy tickets
University of Maryland's biggest donors - ✔✔the Gossett family
Motives to be a donor? - ✔✔fandom, tickets, access, winning, tax write-off, community status
of board position
Fandom - ✔✔passionate people with money who want to see the program succeed
tickets - ✔✔things tied to tickets and seats to help motivate gifts
access - ✔✔conversations with players or coaches
winning - ✔✔helps ppl believe in the vision and make commitments to make this vision
become a reality
tax write off - ✔✔80-100% write off to a cause you believe in; acts as secondary benefit
time and treasure - ✔✔giving back with your time and money
Lifeblood of college athletic departments - ✔✔fundraising/donors
1st core element of fundraising business - ✔✔model and classification of a fundraising
business
how are athletic departments classified - ✔✔501(c) 3
what does classification as a 501(c) 3 mean? - ✔✔they do not pay taxes on revenue coming
and can accept donations
How does fundraising benefit donors? - ✔✔allows donors to write off contributions to the
school under the IRS
Top 3 revenue sources for college athletics - ✔✔media rights
fundraising revenue
royalities, licensing, advertising, and sponsorships
Why is fundraising not a fixed amount? - ✔✔Fundraising isn't tied to any assets, so its
potential is unlimited
Why is fundraising seen as a viable option for schools? - ✔✔Fundraising has unlimited
potential revenue and very low costs to generate revenue
What 2 overhead cost are associated with fundraising? - ✔✔operating budget and salary
Who can be donors? - ✔✔fans, alumni, friends, corporations & charities, family, trusts
, Who might friends be? - ✔✔Anyone associated with the program
someone who might be new the area/school
Trusts - ✔✔a legal device to avoid probate, avoid or delay taxes, and protect family assets; 20%
of the highest donors
What are the donors jobs? - ✔✔people supporting the success of specific programs and ppl
who buy tickets
University of Maryland's biggest donors - ✔✔the Gossett family
Motives to be a donor? - ✔✔fandom, tickets, access, winning, tax write-off, community status
of board position
Fandom - ✔✔passionate people with money who want to see the program succeed
tickets - ✔✔things tied to tickets and seats to help motivate gifts
access - ✔✔conversations with players or coaches
winning - ✔✔helps ppl believe in the vision and make commitments to make this vision
become a reality
tax write off - ✔✔80-100% write off to a cause you believe in; acts as secondary benefit
time and treasure - ✔✔giving back with your time and money
