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Can I use social media to fundraise in West Virginia? What are the requirements?

Fundraising in West Virginia via Social Media

In West Virginia, there are no specific laws or regulations that prohibit fundraising through social media platforms. However, there are certain requirements that must be met to ensure compliance with state and federal laws.

Registration Requirements

If you plan to solicit donations from the public, you may need to register with the West Virginia Secretary of State’s office. According to [1.2]" >WV Code §29-19-1, any person or organization that solicits charitable contributions in West Virginia must register with the Secretary of State’s office. This includes online fundraising campaigns conducted through social media platforms.

Disclosure Requirements

In addition to registration, West Virginia law requires that certain disclosures be made to donors. According to [1.2]" >WV Code §29-19-6, any person or organization that solicits charitable contributions in West Virginia must provide donors with a written disclosure statement that includes the following information:

  • The name and address of the organization
  • A description of the charitable purpose for which the solicitation is made
  • The name and address of the person who will receive and manage the funds
  • A statement indicating whether any part of the contribution will be used to pay for fundraising expenses

Crowdfunding Portal Requirements

If you plan to use a crowdfunding portal to fundraise in West Virginia, you must comply with the requirements set forth in [1.3]" >WVCO 32-5-505. The offering must be made exclusively through an internet-based crowdfunding portal that is incorporated or organized under the laws of West Virginia and authorized to do business in West Virginia and registered with the commissioner. The crowdfunding portal must contain a conspicuous disclaimer that reflects that access to securities offerings on the website is limited to West Virginia residents and offers and sales of the securities on the website are limited to persons that are West Virginia residents. There must be an affirmative representation by a visitor to the crowdfunding portal that the visitor is a resident of West Virginia before the visitor can view securities-related offering materials on the crowdfunding portal website. The crowdfunding portal must take reasonable steps to verify that all prospective purchasers are West Virginia residents.

Conclusion

In summary, while there are no specific laws or regulations that prohibit fundraising through social media platforms in West Virginia, individuals and organizations must comply with registration and disclosure requirements. If you plan to solicit donations through social media or use a crowdfunding portal, it is important to consult with an attorney or other qualified professional to ensure compliance with state and federal laws.

Source(s):
Jurisdiction

West Virginia