The Guilld, paypal and finances at DVinfo.net

Dennis Stevens · February 16th, 2011, 09:36 AM

I watched an interview Felicia Day, creator of the Guild. She said at one point she just put a paypal button on the Guild website, and raised a fair amount of money.

Wouldn't those people technically be investors? She took the money and made the project. I believe now they sell dvds, t-shirts, etc. Couldn't anyone who sent in money claim some of the profits?

My understanding is if someone gives you money for your project, they are investors who have some claim on your project.

Chris Luker · February 16th, 2011, 01:16 PM

If you specifically 'sell' it as a donation towards a certain project, yes.
If it's "Here's some money, do what you want" then no.
My $.02

Roger Van Duyn · February 16th, 2011, 01:41 PM

Since when does the term "Donation" imply investment? Shareware software sites often have a Donate button, PayPal or otherwise. Likewise charities.

Dennis Stevens · February 16th, 2011, 03:53 PM

If Felicia is doing the Guild as a non-profit charity, then it sounds like you're making 'donation' to a charity.

I don't know if The Guild has been organized under 501(c) guidelines, but not as far as I know.

Not that I'm complaining about the Guild, it's great and I love it. Wish them all the success.

It just struck me that I've been in a lot of discussions in this board about this issue, and the opinion is always put forward that you have to be really careful about how you organize the finances. Sounds like Felicia just put up a paypal button and got a lot of money. If she doesn't have a 'Guild' company, is it her personal (and taxalbe) income? If there is a Guild LLC, is it taxable income to the company?

I'd love to put a paypal button up for my web series, but it sounds like there are a pantload of potential legal issues.

February 16th, 2011, 09:36 AM	#1
Dennis Stevens Major Player Join Date: May 2006 Location: Boston, Massachusetts Posts: 425	The Guilld, paypal and finances I watched an interview Felicia Day, creator of the Guild. She said at one point she just put a paypal button on the Guild website, and raised a fair amount of money. Wouldn't those people technically be investors? She took the money and made the project. I believe now they sell dvds, t-shirts, etc. Couldn't anyone who sent in money claim some of the profits? My understanding is if someone gives you money for your project, they are investors who have some claim on your project.

February 16th, 2011, 01:41 PM	#3
Roger Van Duyn Major Player Join Date: Feb 2009 Location: Lakeland Florida Posts: 692	Since when does the term "Donation" imply investment? Shareware software sites often have a Donate button, PayPal or otherwise. Likewise charities. __________________ Roger My YouTube Channel: https://www.youtube.com/channel/UCAp...2AHr_pHFID5LDA Last edited by Roger Van Duyn; February 16th, 2011 at 01:43 PM. Reason: another comment

February 16th, 2011, 01:16 PM	#2
Chris Luker Major Player Join Date: Oct 2005 Location: Woods Cross, Utah Posts: 310	If you specifically 'sell' it as a donation towards a certain project, yes. If it's "Here's some money, do what you want" then no. My $.02

February 16th, 2011, 03:53 PM	#4
Dennis Stevens Major Player Join Date: May 2006 Location: Boston, Massachusetts Posts: 425	If Felicia is doing the Guild as a non-profit charity, then it sounds like you're making 'donation' to a charity. I don't know if The Guild has been organized under 501(c) guidelines, but not as far as I know. Not that I'm complaining about the Guild, it's great and I love it. Wish them all the success. It just struck me that I've been in a lot of discussions in this board about this issue, and the opinion is always put forward that you have to be really careful about how you organize the finances. Sounds like Felicia just put up a paypal button and got a lot of money. If she doesn't have a 'Guild' company, is it her personal (and taxalbe) income? If there is a Guild LLC, is it taxable income to the company? I'd love to put a paypal button up for my web series, but it sounds like there are a pantload of potential legal issues.