Etsy is all about supporting small artisans and small businesses. This makes it a great way for customers to redirect their cash from big corporations toward smaller artisans.
Can Etsy shops donate to charity? You may be asking this question because you're either a shop owner and want to support a local or international charity that you're passionate about. Or you're a customer, and you're wondering if the Etsy shop you're supporting is also giving back.
Either way, we will be looking at whether shops on Etsy can donate to charity, and we will be going deeper by also looking at how sellers can donate together with the benefits.
Can Etsy shops donate to Charity?
Yes, Etsy shops can donate to Charity as long as they comply with a few basic rules. These donations have the potential to make a tremendous impact on causes they(sellers ) care about while remaining profitable, whether you do it through a portion of your sales or otherwise.
How do Etsy shops donate to Charity?
You may have heard that there are only one or two ways to donate to your favorite charity. Well, that may be true if you're set in your ways; however, from what we have read, there might be more ways.
- Donating a percentage of sales from items you've chosen
- Donating a fixed amount per sale
- Direct Donations
- Donating a portion of the profits
- Donating half of the proceeds of all sales to charity
- Promoting charitable organizations on their shop page
- Creating and donating handmade items
- Setting up a donation campaign
Donating a certain percentage of sales from particular items
This involves choosing one or several things from your shops and dedicating a certain amount to a charity.
This is where at your discretion, you choose how much money you will be donating. This can be at the end of the month or year. You can do this through the shop: i.e., the profits or the salary you pay yourself.
Donating a portion of the profits
This is one way many sellers, especially on Etsy, go about it. You can decide to donate a certain percentage, say 10%, after calculating your profits.
Additionally, some shops choose to donate a certain amount of cash, for example, $1 per sale.
Creating and donating items
This is by far one of the more straightforward modes. If you have a charity in mind, let's say one that works with kids, you can donate some toys to the charity. This isn't limited to charities that deal with children.
There are several methods you can go about it. You can also reach out to them and ask for ideas or your community, i.e., customers.
Donating half of the proceeds
A lot of shops on Etsy use this method, with some even going as far as donating 100% of the proceeds to their charity of choice. However, this is all up to you and what you're comfortable doing.
There are numerous ways that you can go about donating. However, one thing that you should always note is that the charity you are endorsing is legal.
Additionally, if someone reaches out to you through messages on Etsy asking you to donate to their charity, be vigilant. It's not always a registered charity, and they may be trying to scam you. Moreover, Etsy does not allow the solicitation of donations through messages for sellers and buyers.
Using the Etsy Uplift Fund
For buyers who may be looking for a way to donate directly, the Etsy Uplift Fund may be a good fit.
The Etsy Uplift fund is a charitable initiative set up by Etsy to support non-profits that work to dismantle barriers that work against entrepreneurship.
Etsy understands that the road to entrepreneurship isn't the same for everyone and is challenging. Through the fund and Brooklyn Community Foundation, a 501(C)(3), they can support different non-profits across the US.
Through the fund, buyers in the United States using Etsy payments can round up their orders and donate the remaining change to the fund. For example, if their total order comes to $68.73, they can round up their order to $69 and donate the change to the fund.
Although the change may seem small, it adds up over time and can amount to a good amount of money.
Once a customer checks out, they can see their total (order plus donation).
Need to know: Etsys policies on charitable donations
Before you can start donating to charity, you need to be aware of a couple of things, especially if you want to fundraise for an organization with 501(c)(3) status.
- You need permission from the charity this is consent that they have permitted you to use their name and trademark
- You must include clear information about the donation details and organization you're supporting in your listing description
- Each listing that supports a charity must represent a tangible item for sale that meets Etsy sellers' policy.
- Sellers shouldn't send unsolicited donation requests by use of community features such as messages
- Donations may not be collected for organizations funding weapons or any extremist groups
- No promotions or giveaways: Shop owners cannot use charitable donations as a way to promote their shop or as a requirement for a giveaway or promotion.
- Compliance with laws and regulations: Shop owners are responsible for ensuring that their donations comply with all applicable laws and regulations in your state/country.
One thing to always remember is that Etsy might change its policies at any given time.
As such, it's important to always stay up to date on any changes that might have occurred.
If you fail, to comply with their house rules, your account may be terminated or suspended.
The Benefits of Donating through an Etsy Shop
Shopping on Etsy is an excellent way to support independent artisans and small businesses while supporting and contributing to a charity. Customers donating through an Etsy shop allows them to support a cause they are passionate about while shopping for their favorite items.
Furthermore, customers always feel good when they know that part of their purchase is being used for a positive purpose, thus making a difference in the world.
Benefits of Donating As an Etsy Shop Owner
Apart from the charitable aspect, there are added benefits for sellers.
- A lot of buyers tend to gravitate towards shops that have a buy one give one free model. This makes it easy for customers to buy from your shop as they are assured that their purchase goes towards a worthy cause.
- Supporting a charity helps you stand out from the crowd much more easily. Etsy is home to 2.1 million sellers. Whatever help you can get to stand out within the marketplace, you should take it.
- When you support a charity, you are more motivated to share your listing, plus as an added benefit; your customers are more inclined to share your listings.
- Increased trust with customers. When you donate to a charity, it shows that you, as a seller, value making a difference. Customers are more inclined to be loyal to a socially conscious business that tries to give back. Through this, you're able to boost loyalty and build long-term relationships.
- The donations made via Etsy are tax deductible for US taxpayers. However, the costs of the supplies may be the only part that's tax deductible.
- Personal fulfillment. Through donations, you get a sense of personal satisfaction. Furthermore, it's also an excellent way for shop owners to give back to the community and support important causes.
When choosing a charity to donate to be sure to :
Find the right fit: There are hundreds of charities across the US, not including international ones. As such, finding the right fit can be a hassle. One method you can use is to start with local charities. If you see a charity in your community making an impact consider donating to them for starters.
Identify your core values and interests: Think about the issues you're passionate about and what is important to you. If the refugee crisis is something you're passionate about, look for charities or non-profits that are passionate about such issues.
Consider the charity's mission: Evaluate its approach and how it aligns with your beliefs.
Assess the charity's transparency: Ensure that the charity is open about how they use the donations and that they are accountable to their donors.
Consider the charity's reputation: this might seem like an obvious thing. However, many people seem to forget that if things don't seem above board, it's best to stay away.
Check for any negative reviews or controversies surrounding them. Additionally, consider how the community perceives them as a whole.
Donating to a charity as a seller is a great way to show your community that you care about leaving a positive impact on the world. Whether you do it through direct donations or donating a portion of the profits, there are numerous ways you can go about it. So if you're looking for a way to give back, consider donating from your shop and making a lasting difference.