Help with Sponsors please!!!
 

Hey First Community,
Our team has a huge problem our school wont let us keep sponsor money. If we get any money for sponsors we are only allowed to use it for registration and the KOP. Everything else we need; T-shirts, spare parts, machining, etc... They have given us 1,500 dollars to use toward these. We don't think that our team can operate under such a small budget. Last year we spent a third of that on T-shirts alone (We have a large team). Last year we were only be able to use money because we unknowingly broke a few rules and that can't happen this year. Please help!!!
First 3729

Re: Help with Sponsors please!!!
 

Start out by preparing a budget. Here are some things to include:

-Travel: How much it costs to go to your nearest event. (If it's a day trip, figure fuel, or the cost of a school bus, or whatever that is.)
-KOP/Registration: You know this from FIRST.
-Promotional items: T-shirts, buttons, advertising, anything that you're using to get your name out there.
-Materials: motors, metal, transmissions, you get the picture. This is anything that is not in the KOP.

If the total amount is over the school's limit, when combined with their sponsor limit, then you need to sit down with the school and bring this budget to their attention. Also bring the FRC extra materials limit--$3500--to their attention. (Note that this is for the robot only--but it gives them a hard target to increase to.)

You're not asking for unlimited funds, which may be what they're afraid of.

Other things that you should do:
1) Make sure that you're playing within their rules. If they aren't imposing this restriction on any other group, then you may want to ask them if it's a penalty for breaking rules without knowing about it.
2) Make sure that you know which groups the school already gets funding from--and then avoid them. You don't want to step on the school's toes.
3) Keep the maximum amount you can raise to a fixed amount. Right now, you have a total of about $6500 (registration and $1500) unless you go to multiple events, which I'd imagine the school isn't too keen on. See if you can get them to go up to $7500.

Your other option, which isn't really an option for this year: get the administration to your regional. Should do wonders for restrictions. (Actually, don't treat that as an option.)

Re: Help with Sponsors please!!!
 

Most of the teams and sponsors I have to deal with do not have this problem. However once in a while things get wierd and this looks like one of those cases.

To cover that situation I have a letter that can be adopted by sponsors to help teams get everything that is coming to them. Down below, under the 'cut-line' is a sample letter. You and your sponsor will need to modify it to suit your needs. It should be done on the sponsors letterhead.

If the money is given directly to the school then the paragraph one and two need to be re-written since the money will not go through FIRST.

If the purpose of the donation is clearly stated, then the school has an ethical obligation to follow through on the request. To do otherwise would be considered a breach of trust, putting it as politely as I possibly can.

If your team budget is only $ 12,000 but the sponsor gave $ 50,000 under the following condition, the school still has NO ethical right to take the excess money from the team for its own purposes. The school cannot skim the money if it is buck or million bucks. It is still the team's money. If the team folds the school should offer to return the funds to the sponsors.

The team has an ethical obligation to pursue the mission for which the sponsor donated the money, in a responsible manner. If you have a lot of excess money, expand your mission. You are probably not in this position.

I'm assuming your team collected more in sponsor money that the school is allowing you to spend. If so, then the school is obligated to follow the verbal or written agreement with the sponsor.


------------------ cut line ------------------------------------------------

( COMPANY LETTERHEAD )

( Your School )
( School address )
( School city/state )


( ACME Company ) is pleased to support the ( your team name @ high school ) with continued financial and mentorship support. In support of the team ACME is paying FIRST, a 501c3 non-profit corporation a sum of $ 6,000.

After FIRST applies payments to your teams account, any residual funds at FIRST can be transferred to your school. In order to transfer these residual excess funds to your school you must follow the re-grant procedures at http://www.usfirst.org/roboticsprogr...t.aspx?id=3190 You can contact FIRST at frcteams@usfirst.org to inquire as to the availability and amount of residual funds.

The intent of this contribution is to allow you self determine the best course of action within the confines of the spirit and goals of the FIRST Robotics Competition. Specific restrictions are as follows.

1. Funds can be used to purchase tools, parts, construction materials, marketing materials, food items, travel expenses, and any other expenses related to operating a FIRST FRC, FTC, or FLL program.
   
2. Decision regarding the use of funds are at the discretion of the team teacher sponsor in consultation with team mentors and the team student leadership.
   
3. Funds cannot be used for salary or stipends.
   
4. Funds do not have to be completely spent during the granted academic year but can roll over into the next academic year to provide bridge operating funds.
   
5. There are no formal reporting requirements after you have completed your design, build, and competition.

Good Luck Teams !!

Sincerely


( Wiley Coyote )

------------------ cut line ------------------------------------------------

( COMPANY LETTERHEAD )

( Your School )
( School address )
( School city/state )


( ACME Company ) is pleased to support the ( your team name @ high school ) with continued financial and mentorship support. In support of the team ACME is paying YOUR HIGH SCHOOL a sum of $ 1,000,000.

The intent of this contribution is to allow you self determine the best course of action within the confines of the spirit and goals of the FIRST Robotics Competition. Specific restrictions are as follows.

1. Funds can be used to purchase tools, parts, construction materials, marketing materials, food items, travel expenses, and any other expenses related to operating a FIRST FRC, FTC, or FLL program.
   
2. Decision regarding the use of funds are at the discretion of the team teacher sponsor in consultation with team mentors and the team student leadership.
   
3. Funds cannot be used for salary or stipends.
   
4. Funds do not have to be completely spent during the granted academic year but can roll over into the next academic year to provide bridge operating funds.
   
5. There are no formal reporting requirements after you have completed your design, build, and competition.

Good Luck Teams !!

Sincerely


( Wiley Coyote )

Re: Help with Sponsors please!!!
 

Thanks guys when we came up with our budget for the upcoming year we were thinking that it would be around 13,000 dollars. this includes materials manufacturing cost tshirts travel etc... but our allotted budget is only 1,500 we are not allowed to take in any money from sponsors period but we are allowed to get materials and services as long as it is not direct payment. And EricH, what did you mean about "don't treat that as an option". Also we are starting over a new year. We have no money what so ever and have spent none. Our balance is 0 at the moment.
First 3729

Re: Help with Sponsors please!!!
 

You have some really good ideas posted so far. I would also contact your local FIRST Regional Director. They are keenly qualified to deal with such situations. They can try and push things in the right direction.

Re: Help with Sponsors please!!!
 

ok something doesn't sound right here. I know some school systems will redistribute money from accounts to cover other expenditures. Did they do that with your money last year? If so, they might have an issue with your sponsor if that sponsor earmarked that money for the sole use of your team. You may want to get verification on the fact here. Again, something doesn't sound right...

Re: Help with Sponsors please!!!
 

The post above me is a good course of action. You can also pursue separation from the school. This may require a lot of legal document reading but you can attempt to either A. 100% separate from the school, but maintain the team as a mere program that occupies space at the school (IDK about other areas, but in Waukesha, Wisconsin ALL clubs that fit within a loose policy are allowed to operate. This allows for various religious clubs and some for profit groups to operate on campus. The state library system also utilizes the same policy). Or B, create a separate organization that handles money. This can be in the form of a booster club. The money is donated to the booster club and then donated to the team either in cash or through actual items. You have to be careful to follow/notify/be knowledgeable about how a separate identity is NOT affiliated with first, has to obtain 501c3 through the legal process and has to have its own organizational structure. Basically you create a charity that is run by adults that just so happens to only donate to your team. Intent needs to be expressed and a whole slew of other legal things need to be set up. If the school does not allow the donation of items in excess of a MSRP value, the booster club could purchase equipment to use at an off site location and your team would make field trips to use the equipment.

I strongly don't recommend option B. However, it sounds like your school is suffocating your team. Maybe you should campaign to change school policy instead?:rolleyes:

Re: Help with Sponsors please!!!
 

At this point, with the administration effectively shutting down your funding, getting them to competition is not optional for your team. It's mandatory, or just about, if the team is to survive for long. There are a number of positive things that would come from this. (It's not an option because it's something that you need to do.)

I'd estimate a given team's budget at between $10K and $15K, per year, depending on such things as practice robots or second competitions. Some teams go much higher in a given year.

With you being allowed $1500 and nothing else in terms of funding, you'll need to exercise every contact you can get. That means that someone has to pay FIRST the registration fee directly (depends on sponsor whether that can even happen--with NASA, it does; with other sponsors, who knows).
Many supply places will have some policy against donations of materials, but may be able to offer a discount (which doesn't help you very much). The machine shops are where you're probably going to have the best success in terms of donated services.

If I was in your shoes, I'd talk to the school about having a fixed cap on fundraising in the $10K range, including donated goods, to allow you to be able to pay FIRST and build other stuff. Any monies that are paid directly to FIRST would count against that limit. (Not including donated goods and services in the limit, $6500-$7500 is a more reasonable request.)

Re: Help with Sponsors please!!!
 

My team never faced this kind of restriction by the school, but over the summer we registered our parent booster club under Parent Booster USA http://www.parentbooster.org/. Previously, all our money went into a school account, and I'm not sure how all of it worked, but it took a lot of paper work to use money and there were restrictions like no school funds can be used to buy food. Registering as a booster club was a win-win: we have an account separate from the school and can therefore use our money however we need to, we are a 501c3 so businesses who donate to us get tax breaks, and in your case, you would be able to raise and spend as much as you need. I believe there is a small annual fee/registering fee to register for parent booster USA, but it is a fairly easy process to go through. Let me know if you have any questions about this.