Sponsorship and Philanthropy - There is a difference you know

[Bill(2)]

Interesting watching the questions being thrown (almost literally) last night at the people who were putting together a plan for fund-raising for the KRSEC. There certainly seemed to be a lack of understanding between the difference between Philanthropy and Sponsorship.

Philanthropy, people / corporations will contribute and hopefully their support will be acknowledged in an appropriate manner.

Sponsorship, people / corporations will step up and agree to provider funding for a function of facility, and in return they will be acknowledged in the agreed to fashion. This could be in naming rights, signage or other forms of advertising. Yes, that's what it is - advertising.

So instead of beating up the messages who are still creating the plan for not having all of the final answers, let's help them get the job done right. They are, after all, the professionals. Yes, they are in this to make money - find me a business that isn't. So let them build a plan that will support the objectives rather than slow them down with minutia, which will also be a recipe for disaster / failure.

[BornAndRaised]

Interesting indeed. Well said Bill. I wasn’t there but are we sure that it was a lack of understanding …….or a lack of trust?
I wonder if the same people throwing questions around, would be skeptical of businesses downtown giving donations to the funding of the LVEC. Now that the LVEC is past the point of no return, I could see some businesses donating to the construction since they know that they will now benefit from the project. This is an example of philanthropy in part by the city, where they build something that they believe in and people support the decision and donate to the decision by aiding or improving the project somehow and giving what they feel they can. Any person generous enough to donate to the LVEC during a fundraising drive at his time shouldn’t be under scrutiny and the donation shouldn’t be seen as payment for putting the LVEC in a specific location but it probably will - by the same kind of people who were throwing questions at the planning committee.

I hope that there are people who will take that noble step and support the LVEC by doing what they can to make this project the best that it can be, which will add to it’s success and in turn to their own success. Do you think this is too ambitious?

JMHO

[Lydia]

I agree with you both, now that we are past the point of no return. I do agree with you that we should encourage sponsorships, endorsements, advertisement in any way. As long as these people/businesses don't dictate to us who can or who can't do the same. Think back to the Tall Ship disgrace where the local hot dog vendors were EXCLUDED from selling at the park and ONLY ONE PERSON BOUGHT the right to sell hot dogs at inflated prices.

[Bill(2)]

As long as these people/businesses don't dictate to us who can or who can't do the same.

One of the considerations when framing sponsorship agreements is the return to the sponsor for their investment. This may include an exclusivity clause in the agreement. Depending on how much they pay / invest, it may be worth it. Now, I do not know the details behind the hot-dog situation at the Tall Ships event. Hopefully, for the exclusive rights to sell hot dogs the vendor paid a hefty premium. Yes, this means that local vendors may be blocked out from an area, but they could always be creative and sell outside of the zone, or perhaps other lateral-think solutions.

I have been on the receiving end of the exclusivity - being locked out of opportunities. Regretfully, that's business. Naturally, it would be preferred if local vendors have an opportunity to bid for the contract and I hope that they do but if the need is there for a sponsorship fee that the local vendors cannot support, well then the decision becomes one of lower expectations (and fee) or recalculate the fee by changing the agreement levels available, which may include the removal of clauses including those such as exclusivity.

The hands cannot be tied at this point in time. The opportunities need to be explored, and exploited when appropriate. In the end, we will need to turn the process over to those who's job it is. After all, City Council does have a city to run, not individual projects.

[Lydia]

Your are 100% correct Bill about exclusivity regarding what happens in the LVEC or any other project.

I don't mind it as long as ALL Business in the city are INFORMED that exclusive rights are going to be up for sale. Does this means that only the HUGH RICH CORPORATIONS get involved? I believe it does.

My question is at what cost and what time period is a corporation entitled to exclusive rights. Sometimes it is a great idea and other times it isn't. Another question is who is entitled to make that decision and under what conditions. I believe that council as a WHOLE makes that decision and I would back them entirely regardless of my opinions on it.