Reply from CharitybuzzMay 9, 2023
Hi there- thanks for reaching out to us about your concerns. A portion of every Charitybuzz purchase goes to a registered 501(c)(3) charity in good standing with the IRS. Oftentimes, the charities use our platform to auction their items and experiences, and therefore receive 80% of the proceeds, paying a 20% platform fee. Other times, Charitybuzz sources and sells our own items and experiences; in those cases, we still donate an amount to a charitable organization, even though the benefiting organization is not involved in the auction. In those cases, the amount we donate to charity ranges from 5%-80%, and is stated up front on each item page.
For all Charitybuzz purchases, the money we're giving to nonprofits is money that otherwise would just be spent on entertainment (travel, events, gifting, collectibles, etc.), so by using Charitybuzz, patrons are moving new funds into the hands of charitable organizations. We are a for-profit business with a new type of business model that increases the amount of funds going to charity, by bringing people unique, rare access and experiences. We are grateful to play this role and bring new, unrestricted funds to so many charitable beneficiaries.
We do hope you can see from the explanation above that we are proud of our business and genuinely committed to unlocking new funds for charities, in different and evolving ways. For people who want to shop for dream experiences, secure access to unmatched events, vacation in luxury (etc.), Charitybuzz is an option to shop in a better way, obtain what you're looking for, and trigger charitable impact simply by bidding or purchasing. We of course understand if you wanted to donate directly to a charity, 100% of your donation would go to that organization, and we always encourage people to donate directly if and when they're ever motivated to do so. Again, we hope this adds some clarity and answers questions you may have had about our contributions. Thank you again for reaching out so that we can address this.