We often receive gifts-in-kind such as of furniture, printed materials, supplies, etc. from donors. These non cash donations of materials or long-lived assets are referred to as ‘gifts-in-kind’.
In an effort to ensure that the required information regarding gifts-in-kind is provided to the Cambridge Self-Help Food Bank (CSHFB), a checklist is below. The information requested is intended to be a guide and will streamline the process of recording and acknowledging gifts.
Here’s a summary of the information that is required in writing from the donor:
- A description of the gift (in basic terms that can be easily understood by a non-technical person)
- The date the gift was received by CSHFB
- The value / amount of the gift and how the value was determined (see the following section for acceptable ways to value a gift-in-kind)
- Note if the gift is used and if so, indicate how old it is and its condition
- Costs associated with accepting the gift (i.e., shipping, installation, maintenance); if so the amount
- Stipulations as to how the gift will be used by CSHFB
The gift-in-kind should be valued at the Fair Market Value (FMV), usually provided by the donor, but may require additional verification such as third party expert, appraisal, internet pricing of a similar item (to substantiate FMV).