Helping Ventura County Nonprofits Navigate California Fundraising Compliance
Schneiders & Associates, L.L.P. helps nonprofits throughout Ventura County, Los Angeles County, and Santa Barbara County meet California’s charitable solicitation requirements. We assist with every step from initial registration with the Attorney General’s Registry of Charities and Fundraisers to annual renewals, commercial fundraiser contracts, raffle compliance, and online platform rules. Our Ventura County nonprofit law attorneys provide practical, jurisdiction-specific counsel led by founding partner Roy Schneider, a nationally recognized nonprofit law attorney, so your organization can focus on its mission while staying in good standing with state regulators.
Why Choose Schneiders & Associates, L.L.P.?
Nonprofits need legal counsel that understands both the regulatory landscape and the practical realities of running a charitable organization. Schneiders & Associates, L.L.P. offers:
- More than 100 years of combined legal experience across the attorney team
- A nationally recognized nonprofit law attorney in founding partner Roy Schneider, who has served on nonprofit boards and taught business and nonprofit topics at the university level
- AV Preeminent ratings from Martindale-Hubbell and 10.0 Superb ratings on Avvo
- Three office locations in Oxnard, Westlake Village, and Ventura for convenient access throughout the region
- Comprehensive legal services that connect nonprofit law with related areas such as business formation, employment compliance, and estate planning
We work with charitable organizations at every stage, from initial formation and tax-exempt applications to ongoing governance and fundraising compliance. Our team is committed to helping California nonprofits operate with confidence, clarity, and full legal compliance so they can stay focused on their mission.
What Registration Does California Require for Nonprofit Fundraising?
California law requires most charitable organizations to register with the Attorney General’s Registry of Charities and Fundraisers before soliciting donations. Under the Supervision of Trustees and Fundraisers for Charitable Purposes Act, codified in Government Code sections 12580 through 12599.10, nonprofits must file an initial registration within 30 days of first receiving charitable assets. This includes public donations, grants, property, and any other contribution of value.
The initial registration requires submitting Form CT-1 along with founding documents, current bylaws, any IRS determination letter, and a $50 filing fee. Religious corporations formed under California’s Nonprofit Religious Corporation Law are generally exempt from this requirement, as are most hospitals and educational institutions. After initial registration, organizations must file Form RRF-1 annually, with the renewal due four months and 15 days after the close of the organization’s fiscal year.
What Happens if a Nonprofit Fails to Comply?
The consequences of non-compliance with California fundraising regulations are significant. If a nonprofit fails to file its annual renewal after being notified by the Attorney General, the California Franchise Tax Board may revoke the organization’s state tax exemption. This can trigger a minimum tax penalty of $800 plus interest. The Registry of Charities and Fundraisers may also impose late fees of $25 per month or partial month, beginning 31 days after the Registry mails a delinquency notice to the organization.
Beyond financial penalties, non-compliance can undermine donor confidence and make the organization ineligible for certain grants or partnerships. Organizations that have let their registration lapse may also face difficulty resuming fundraising activities until they bring their filings current. We help nonprofits in Ventura County avoid these outcomes by establishing compliance systems and monitoring filing deadlines.
How Are Commercial Fundraisers Regulated in California?
When a nonprofit hires a commercial fundraiser to conduct solicitation campaigns, both parties take on additional legal obligations. The Nonprofit Integrity Act of 2004 amended the Supervision of Trustees and Fundraisers for Charitable Purposes Act to impose stricter requirements on commercial fundraisers operating in California. Under Government Code Section 12599, commercial fundraisers must register with the Attorney General and file a notice at least 10 working days before the start of any solicitation campaign, event, or service.
California law also requires a written contract between the nonprofit and the commercial fundraiser for each campaign or event. The contract must include specific terms mandated by statute, and a copy must be available for inspection by the Attorney General.
Commercial fundraisers must, within five working days of receipt, either deposit all contributions in their entirety into a bank account solely in the name of and controlled by the charitable organization, or deliver the contributions directly to the charitable organization in person, by express mail, or by another overnight delivery method. They must also maintain detailed records of each solicitation campaign for at least 10 years after the campaign ends.
What Are the Rules for Nonprofit Raffles and Special Events?
Raffles are a common fundraising tool for nonprofits, but California regulates them under Penal Code Section 320.5. To conduct a lawful raffle, a nonprofit must:
- Have been qualified to conduct business in California for at least one year;
- Hold tax-exempt status under a qualifying section of the Revenue and Taxation Code; and,
- Register with the Attorney General by submitting Form CT-NRP-1 along with a $30 registration fee.
At least 90 percent of the gross receipts from raffle ticket sales must be used by the organization to benefit or support beneficial or charitable purposes in California.
Nonprofits must obtain written confirmation of registration from the Registry before selling any raffle tickets. Because the Registry requires time to process applications, the Attorney General’s guidance directs organizations to file Form CT-NRP-1 and the registration fee at least 60 days before the scheduled event. Missing this window can render a raffle non-compliant even if the application is eventually approved. Online or telephone ticket sales are also prohibited.
After each reporting period, the nonprofit must file an aggregate financial disclosure report on Form CT-NRP-2 covering all raffles conducted during that period.
Special events like bingo nights and auctions carry their own compliance requirements. We advise our clients on structuring these events to meet all applicable state and local regulations.
What to Expect When Working With Our Team
When you bring a fundraising compliance matter to Schneiders & Associates, L.L.P., we begin with a thorough review of your organization’s current registration status, fundraising methods, and internal policies. We identify any gaps in compliance and develop a plan to address them. For organizations just starting out, we handle the initial registration process and help establish systems for ongoing annual filings.
For nonprofits that work with commercial fundraisers or conduct special events, we review contracts, draft required disclosures, and ensure your fundraising activities align with California law. Our goal is to provide practical, cost-effective legal support that keeps your organization in good standing with the Attorney General’s office and positioned for long-term success.
Talk to a Ventura County Nonprofit Fundraising Attorney
If your nonprofit needs guidance on California fundraising regulations, registration requirements, or compliance strategies, we are here to help. Contact Schneiders & Associates, L.L.P. today to schedule a consultation with our nonprofit law team. We serve organizations throughout Ventura County, Los Angeles County, and Santa Barbara County from our offices in Oxnard, Westlake Village, and Ventura.
Frequently Asked Questions
Do online fundraising platforms have separate compliance requirements in California?
Yes. Assembly Bill 488, which became operative on January 1, 2023 (with platform registration requirements taking effect on June 12, 2024 after final implementing regulations were issued), requires charitable fundraising platforms that solicit contributions online from people in California to register with the Attorney General. These platforms may only solicit on behalf of nonprofits that are in good standing with the Attorney General’s Office, the California Franchise Tax Board, and the IRS. Nonprofits should verify that any online platform they use meets these requirements.
Does a nonprofit need to register in California if it only raises a small amount of money?
California does not provide an exemption for small charities. Unlike many other states, virtually all nonprofits that receive charitable assets must register with the Attorney General’s Registry of Charities and Fundraisers, regardless of revenue size. The primary categorical exemptions under Government Code §12583 apply to religious corporations, educational institutions, and hospitals; other types of organizations generally must register regardless of their size or revenue.
What disclosures must a nonprofit provide to donors during a fundraising campaign?
California’s Charitable Solicitation Disclosure Law (Business and Professions Code Section 17510 et seq.) generally requires solicitors to proactively disclose, before asking for a donation, the organization’s name and address, how contributions will be used, the percentage of contributions going to charitable purposes, whether the contribution is tax-deductible, and the identity of any paid fundraiser conducting the solicitation. Unpaid volunteers may comply through a simplified disclosure pathway, and must make additional financial information available upon request.
If the organization uses a commercial fundraiser, the fundraiser must also disclose information about its identity and how funds will be allocated. These disclosures help maintain transparency and protect donor confidence, and failure to provide them can result in enforcement action by the Attorney General.