LegalMatters: Sweepstakes: Legal Considerations and Best Practices

MA: Certainly the least amount of money spent out-of-pocket on the prizes the better. However, you need attractive and motivating prizes to generate a successful response. So the options for a nonprofit are either to solicit prize donations from its corporate donor base or to test a sweepstakes using a cooperative sweepstakes program whereby the prize costs are borne by either the sweepstakes agency provider or direct marketing agency. There are various relationships available.