QUALIFIED SPONSORSHIP GIFTS
Philosophy
A sponsorship is a gift meant to support a specific University event or activity. The agreement for a
sponsorship gift allows the donor certain, but limited privileges as a “sponsor.” These sponsorships are
defined by the IRS as “Qualified Sponsorships.” The USF Foundation may accept, and classify as gifts,
sponsorships defined by the IRS as “Qualified Sponsorships” under IRS Code Section 513 (3) (i)
Treatment of certain sponsorship payments (2) Qualified Sponsorship Payments.
Process
The following rules govern “Qualified Sponsorships:”
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The sponsor will receive no substantial benefit in return, other than acknowledgement or the
use of the sponsor’s name or logo in connection with USF events or activities.
Any benefits received in return for a sponsorship are defined as substantial benefits if their
total value exceeds 2% of the sponsorship payment.
o Items of value include event tickets, dinner or reception tickets, advertising, etc. The
value of these items must be provided by the University representatives handling the
sponsorship to document the value of the benefits. Request form and documentation of
the value of benefits received should be sent to the Director of Development
Communications.
o Questions regarding methods of valuation should be addressed to the USF Foundation
Associate Director of Business & Financial Services
Advertising that promotes the sponsor’s business activity cannot be part of a sponsorship
agreement.
o Advertising may be purchased separately by the sponsor; however, revenues from
advertising require an EBA form and must be deposited directly into a non-Foundation
USF account.
Sponsorship Administration:
o The college, campus or unit designates the fund receiving the sponsorship gift.
o A portion of the sponsorship gift may be designated for college, campus or unit-wide
administrative costs and the sponsorship agreement must indicate this fund
administration.
o All sponsorship agreements involving development events, activities, etc., must be
approved by the Foundation Office of Business & Financial Services and Development
Management Teams.
Qualified Sponsorship Gifts
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The following examples represent insubstantial benefits that may be offered to qualified sponsors:
 Name Recognition
The sponsor’s name or logo can be included in event-related publications, invitations,
announcements, exhibition, catalogues, or exterior banners. Please remember that all printed
material that is intended for external audiences should be reviewed prior to production by the
Development Communications Office.
o The sponsor’s physical address, website address and phone number may appear in
event publications.
o The sponsor’s name can be used in pre- or post-event reception, announced at the
audience welcome or during the event or activity.
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WEB Links
Web links are permitted under certain conditions with prior approval from the Office of
Development Communications:
o Direct links to commercial web sites and the placement of company logos are not
permitted on a university ‘.edu’ site.
o A text link that redirects from an ‘.edu’ site to a USF ‘.net’ site is permissible.
o Links on any USF site cannot contain any qualitative language about the sponsor.
o The link should go directly to the sponsor’s home page and should not link to a
sponsor’s page which promotes any manner of business activity, such as product sales
and services.
 Promotional Opportunities
Sponsor may display product to the attendees of the sponsored activity as long as there is not an
inducement to buy.
 Other Benefits for Sponsors
Membership in USF giving levels as appropriate at the university and college levels.
Qualified Sponsorship Language
To Acknowledge or Recognize a Sponsor please review the following examples of appropriate
acknowledge and inappropriate acknowledge to ensure benefits remained qualified by the IRS.
APPROPRIATE
Inclusion of company name and/or logo in printed
event program, event brochures, announcement,
banner, or other display.
“The concert is sponsored by The Music Shop,
located at 124 Main Street, 999-555-1234.”
Display or use of Sponsor’s Product at the event.
“Display of an Ed Morse Cadillac vehicle at the
official “Parade Watch Party” for the 2004
Qualified Sponsorship Gifts
NOT APPROPRIATE
Inclusion of company name with the use of
qualitative language.
“The concert is sponsored by The Music Shop.
Please visit the Music Shop today for the finest
selection of music CDs.”
Display of Sponsor’s Product with an inducement
to sell the product or other call to action.
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Homecoming Parade on the University of South
Florida Tampa campus.” Or “Use of an Ed Morse
Cadillac vehicle to transport participants in the
2004 Homecoming Parade.”
“Display of Ed Morse Cadillac vehicle at Parade
Watch Party with table for Ed Morse
representative to hand out flyers or other material
about the vehicle.”
Acknowledgement on the event holder’s, such as
the college or campus, website containing a link to
the sponsor’s website.
Acknowledgement on the event holder’s, such as
the college or campus, website containing a link to
the sponsor’s website with an endorsement by the
event holder.
“The Alumni Association will acknowledge Ed
Morse Cadillac on it’s ‘.net’ website with a link to
the Ed Morse Cadillac website home page.”
“The Alumni Association ‘.edu’ website will
acknowledge Ed Morse Cadillac with a link to the
Ed Morse Cadillac website. On the Ed Morse
Cadillac website the statement “Alumni
Association endorses Ed Morse Cadillac please take
a test drive today.”
Exclusive Sponsorship and Exclusive Provider
APPROPRIATE
Acknowledges payor as exclusive sponsor of an
event. “Inclusion of Pizza Hut logo on
Homecoming brochures indicating Pizza Hut is the
exclusive or official sponsor of Homecoming. In
addition, free samples of Pizza Hut pizza will be
distributed at the event.”
Qualified Sponsorship Gifts
NOT APPROPRIATE
Arrangement that limits the sale, distribution, or
availability of competing products at the event.
“Only Pizza Hut pizza may be distributed or sold
during the Homecoming event.”
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Event Publicity
APPROPRIATE
Event is publicized in regularly scheduled
periodical, journal or printed material.
“The Homecoming event will be publicized in the
St. Pete Times, Tampa Tribune, USF Talk and USF
News.”
Sponsorship is contingent upon event taking
place. “Upon cancellation of the event,
sponsorship payment must be returned.”
NOT APPROPRIATE
Sponsorship acknowledgement is publicized in
regularly scheduled periodical, journal or printed
material.
“Company logo is included in the event publication
in USF News.”
Sponsorship is contingent upon event attendance,
broadcast ratings or other indicators of public
exposure.
“A minimum attendance of 15,000 will be present
at the event or the sponsorship payment must be
returned.”
Other Benefits
APPROPRIATE when items value is less than 2% of
sponsorship payment
NOT APPROPRIATE when items value is more
than 2% of sponsorship payment
Sponsor may receive a benefit such as event
tickets, dinner or reception tickets, etc. as long as
the value of the benefit received does not exceed
2% of the sponsorship payment.
Sponsor may not receive a benefit such as event
tickets, dinner or reception tickets, etc. if the value
of the benefit received exceeds 2% of the
sponsorship payment.
“In return for your sponsorship of $10,000 you will
receive four tickets to the event as part of your
sponsorship package.”
“In return for your sponsorship of $10,000 you will
receive four tickets to the event as part of your
sponsorship package.”
PLEASE NOTE: Acceptable only if value of the four
tickets is less than $200. Proper documentation
must be submitted to substantiate the value of the
tickets or other benefit.
PLEASE NOTE: Unacceptable if value of the tickets
exceeds $200. Proper documentation must be
submitted to substantiate the value of the tickets
or other benefit.
Qualified Sponsorship Gifts
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Responsible
Office
DEPT
FDN
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STEPS TO COMPLETE PROCESS
Department should review benefits offered to sponsor to ensure they meet the
qualified sponsorship guidelines.
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Sponsorship solicitations may be submitted to the Foundation for review prior
to sending out to potential sponsors. Assign a fair market value to benefits
received by the sponsor that are not disregarded benefits.
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If the payment is related to an event, prior to the commencement of the
activity, if applicable, complete the Educational Business Activities (EBA) Form
and submit. Include sponsorship solicitation and event flyers with the EBA form.
They may be submitted in draft form.
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If the EBA is approved for acceptance through the USF Foundation, an EBA
activity code will be assigned and the department notified.
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All deposits and expenses related to the activity must include the EBA code
under “Activity Code” on the appropriate forms. This is to ensure appropriate
tax reporting of these activities.
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Submit payment and all supporting documentation to the Foundation for gift
processing and deposit with the bank. Supporting includes anything received
with the payment including donor letters, envelops, etc.
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USF Foundation will process the gift and issue appropriate tax receipt.
Forms
Education Business Activity (EBA) Form
Deposit Transmittal Form
For more information, please refer to the USF Foundation Contact List FOUNDATION CONTACT LIST
Qualified Sponsorship Gifts
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