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To run a sweepstakes, pick a strong prize, set entry rates and a total number of entries, let Zeffy add the free entry the law requires, publish official rules, promote it, then draw and contact your winners.
A sweepstakes is a fundraising drawing where people enter for a chance to win a prize, and no donation is required to enter. Supporters can make a donation for entries, but anyone can also enter for free with the same odds of winning.
The big difference from a raffle is legal. A sweepstakes removes the "consideration" element (the legal term for having to pay to play): there is a free way to enter with the same odds of winning. Raffles are regulated state by state, and many nonprofits run into permits, bonds and residency rules. If you still want the raffle path, check the state-by-state raffle rules (for the raffle alternative where state law allows it) first.
Nonprofits pick a sweepstakes for two simple reasons. You can run one fundraiser and promote it everywhere, and nobody gets left out because of where they live. Zeffy offers sweepstakes to organizations in every US state, and supporters from any state can enter. Laws still vary by state, and each organization is responsible for its own compliance.
For a small nonprofit: a sweepstakes lets you share one campaign link with your whole network, including the out-of-state cousin a board member just emailed, without saying "sorry, not your state."
Your prize is your marketing. A sweepstakes runs like any prize drawing: supporters enter with a donation to back your cause and for a chance to win. The more exciting the prize, the more people enter. Good options are things your supporters already want:
Ask local businesses to donate prizes so more of every entry goes to your cause. Write down a fair value for each prize. You will need it for your official rules, for planning, and later for taxes.
One rule to plan around early: New York and Florida have registration and bond rules for prize pools over $5,000, and Zeffy doesn't currently accept sweepstakes above that amount in those two states. Check your state's requirements before you launch.
For a small nonprofit: keep your total prize value at or under $5,000 if New York or Florida is involved. One great donated prize usually beats five forgettable ones.
Next, set what each entry costs. The standard setup is a single entry plus two or three bundles:
| Option | Entries | Amount |
|---|---|---|
| Single | 1 entry | $5 |
| Bundle | 5 entries | $20 |
| Bigger bundle | 15 entries | $50 |
| Best value | 40 entries | $100 |
Bundles get supporters to give a bit more. Only 501(c)(3) organizations can discount bundles; others charge the same price per entry.
Then set the total number of entries. Start from your goal: to raise $2,000 with $20 bundles, you need 100 bundles.
Keep in mind that prizes cannot depend on how much someone paid. Every entry, paid or free, has the same chance.
For a small nonprofit: a $5 single and two or three bundles is easy to explain in one sentence, and simple is what gets shared.
The law requires every sweepstakes to offer a free way to enter, and a free entry must have the same odds as a paid one.
On Zeffy, this is handled for you. Every sweepstakes comes with the free entry the law requires: anyone can claim one free entry per email per day through the free entry form, with the same odds as a paid entry. There is nothing to set up on your side.
For a small nonprofit: the free entry is a legal requirement, and it barely changes how your drawing runs. Supporters enter with a donation to back your cause, just like in any prize drawing, so put your energy into great prizes and promotion.
Official rules are the written terms of your sweepstakes. They tell entrants exactly how the drawing works. Official rules usually cover:
On Zeffy, you don't have to write them from scratch. Zeffy writes the official rules from your campaign details, with the notice that no donation is necessary to enter or win, and shows them on your campaign page. You can preview them before you publish. Under the entry options, supporters see a "No donation necessary to enter" notice, and the free entry form opens from the rules on the same page.
Read your rules carefully before launch. Make sure your prize details, dates and entry information are correct in the campaign, since the rules are built from them.
For a small nonprofit: generated rules save hours, but they are not legal advice. If your prize is large or your situation is unusual, have someone with legal knowledge look over your plan.
Every sweepstakes needs a draw date. Pick one that gives you enough time to promote, often a few weeks, and tie it to a moment people care about, like a gala, a holiday or the end of your fiscal year.
Then spread the word. Good channels include:
Watch your wording. The same rules apply to promotion as to the campaign page:
On Zeffy, the word "raffle" can't be used in a sweepstakes title or description, so your campaign page stays on track.
For a small nonprofit: your board and volunteers are your best promoters. Send them a ready-made message and link so sharing takes ten seconds.
On the draw date, choose your winner from all entries, using the method your official rules describe. Each entry is numbered, with a detachable stub, so you have a clear record of who entered and which number won.
Do the drawing in a way you'd be comfortable showing anyone. Many organizations draw live on social media or at an event. Either way, keep a record of the entry list and the result.
Then contact your winners:
On Zeffy, every entrant lands on their donor record in your free CRM, next to everything else they've given. You can track entrants and email winners from one dashboard, and receipts go out automatically.
For a small nonprofit: send a thank-you to everyone who entered and tell them what their entries funded. It's the easiest way to bring them back to your next campaign.
Most tax content about sweepstakes is written for winners. This section is about your side as the organization running it.
Here's what to know:
Let winners know up front that prizes may be taxable. A short line in your winner email avoids surprises.
For a small nonprofit: book a short call with your accountant or a tax professional while you plan, not after the drawing. It's the cheapest way to avoid a messy fix later.
Zeffy is the free all-in-one fundraising platform with a donor CRM built in. Sweepstakes sit in the same Raffle & Sweepstakes campaign type as raffles, with the same campaign page and checkout. Here's the setup flow, in order:
Zeffy offers sweepstakes to organizations in the US and the UK. Every entry flows into your donor CRM, so your sweepstakes builds your supporter list as it raises money. And it's free: No platform fee, no transaction fee, no credit card fee. Ever. Your nonprofit keeps 100% of every entry.
Zeffy builds in the official rules, the free entry the law requires and the "No donation necessary to enter" notice. Laws vary by state, and Zeffy doesn't currently accept sweepstakes with more than $5,000 in prizes in New York or Florida.
For a small nonprofit: the setup takes one sitting, and the structural pieces you'd otherwise build by hand are already there.
Running a sweepstakes comes down to six steps: a prize people want, simple entry rates, the free entry the law requires, clear official rules, steady promotion and a well-documented drawing. Add a quick tax check, keep your prize pool at or under $5,000 if New York or Florida is involved, and you're ready.
The best part for a small nonprofit: a prize drawing you can run legally and simply, with one campaign link that works for every supporter, wherever they live.
A sweepstakes can run legally in every US state, while a raffle depends on your state's rules. The legal difference comes from the free way to enter, with the same odds as a paid entry, which a sweepstakes must offer and a raffle doesn't. That's why Zeffy can offer sweepstakes to organizations in every US state, and why supporters from any state can enter. Laws vary by state, and each organization is responsible for its own compliance.
It depends on your prize and where entrants live. New York and Florida have registration and bond rules for prize pools over $5,000, and Zeffy doesn't currently accept sweepstakes with more than $5,000 in prizes in New York or Florida. Check your own state's rules before you launch, since each organization is responsible for its own compliance.
Every sweepstakes needs a free way to enter by law, and Zeffy builds it in: anyone can claim one free entry per email per day through the free entry form, with the same odds as a paid one.
Yes, if your organization is a 501(c)(3). For example, 1 entry for $5 or 5 entries for $20. Organizations that are not 501(c)(3) cannot discount bundles, so every entry costs the same base rate.
Not on Zeffy. Zeffy writes the official rules from your campaign details, with the notice that no donation is necessary to enter or win, and shows them on your campaign page. You can preview them before you publish.
Prizes are generally taxable income for winners, and your organization may have IRS reporting duties for larger prizes. Confirm the details with a tax professional or irs.gov before your drawing.
No. Call it a sweepstakes or a fundraising drawing, and talk about entries rather than tickets. On Zeffy, the word "raffle" can't be used in a sweepstakes title or description.
Nothing. Zeffy is free for nonprofits, and your organization keeps 100% of every entry.
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