Frequently Asked Questions
Q: How will joining the 1% For The Planet (FTP) alliance help my business?
A: Membership in 1% FTP brings increased visibility in a crowded marketplace by letting current and new customers know of your commitment to ensure a healthy planet now and for the future. It identifies your business as one that recognizes the importance of good environmental stewardship, and one that is working to become part of the solution rather than part of the problem.
Q: What are some other advantages to membership?
A: Membership can result in greater customer loyalty and an increased customer base, especially among the growing number of people who recognize and appreciate the importance of environmental responsibility. Your customers, employees and community can take pride and satisfaction in knowing they support an environmentally responsible company, especially in the face of increased environmental degradation and decreased government and financial support to address these problems. The 1% FTP mark allows people to immediately identify those businesses with a serious environmental commitment.
Q: What sorts of services does the 1% FTP organization offer to me?
A: 1% FTP assists business members by providing the 1% For The Planet mark, certifying your business has contributed at least 1% of your net annual sales to groups on a list of researched and approved environmental organizations. Once your business is certified, the 1% FTP mark will be provided to you and can be displayed on your productsÂ’ advertising materials. In addition, your businessÂ’s logo will be prominently featured on all 1% FTP promotional materials including our website, brochures, and press releases.
Upon becoming a 1% FTP alliance member, you will receive a welcome package, newsletters and annual report, access to a ‘members only’ section of the 1% FTP website where you will find updates, a bulletin board, and networking opportunities with other 1% FTP members, as well as invitations to 1% FTP milestone celebrations. You can also participate in members-only workshops focusing on marketing, sustainable practices, and other relevant topics.
Q: How do I go about identifying approved environmental organizations?
A: Once you decide to join 1% FTP, you decide which environmental nonprofit organizations will receive your 1% funding support. You can choose among many listed on the 1% FTP website (these are organizations that have met the 1% FTP criteria for being a non-profit organization dedicated to environmental projects). If you need assistance, 1% FTP staff will help you find organizations doing the work that addresses the environmental issues or geographical area that is of primary importance to you.
Q: How does the process actually work?
A: You will be responsible for making environmental grants during the year totaling 1% of your businessÂ’s net annual sales by the end of your companyÂ’s fiscal year. 1% FTP staff will work with your business to ensure compliance with the conditions for the licensing agreement, and ensure your business receives certification for the next fiscal year.
Q: What is the ‘administration fee’ and what is it used for?
A: To cover our small overhead, 1% FTP charges a small administrative fee based on a sliding scale and the size of your business. For example, if your business net revenues are between $50,000 and $100,000, the administrative fee is $100 each year. The fee covers all expenses of the 1% FTP organization and programs including staff salaries, publications and information materials, the website, communications, and events. This allows us to provide services to business members like tracking grants, certifying the 1% FTP mark, screening nonprofit organizations, maintaining and updating the website, signing up new members, organizing events, providing advice and guidance on environmental issues and organizations, and generating and disseminating public relations materials and news releases. 1% FTP keeps its overhead low, and its expenses to a minimum.
Q: How did 1% FTP get started?
A: In 2001 Yvon Chouinard, owner and founder of Patagonia, and Craig Mathews, owner of Blue Ribbon Flies in West Yellowstone, MT, discussed together the fact that their companies grew, not despite their donations to environmental groups but, in part, because of it. With a modest amount of self-trumpeting, this self-imposed earth tax had earned them customer recognition and loyalty. 1% contributions have since become an integral part of the identity of these companies. These visionaries recognized it was the right thing to do, and wanted to replicate the idea and increase their cadre of like-minded businesses. 1% For The Planet, a separate 501(c) 4 nonprofit entity, was born out of this idea.
Q: My business already supports charitable organizations. Why do we need to join 1% FTP?
A: 1% FTP membersÂ’ donations do not support ALL charitable organizations, only those that are actively working to protect our global environment. This definition is purposefully broad and meant to include organizations working on environmental education, environmental health, pollution prevention, conservation of open space and ecologically important landscapes, and many others. It does not include organizations such as those dedicated purely to art, music, medicine or other concerns without an environmental focus. While these are noble concerns, there are a number of funds available to support them, and it is not what 1% FTP is about.1% FTP is an easy and efficient way for you to contribute to environmental efforts and to become part of an important effort to engage the private and public sectors. If you are already providing support to organizations listed on the 1% FTP website, this counts toward your total 1% contribution for the year. Joining 1% FTP identifies your company as one that understands the environment is the foundation for all life on earth, and a healthy environment is necessary for humans and all other life forms to thrive into the future.
Q: 1% of net revenue is a lot of money. Why is the amount so big?
A: We decided to make the amount 1% of net revenue because this is a ‘hard’ number as opposed to "profits," which can vary enormously depending on how much a company pays its executives or puts into advertising. 1% of net revenue is a much more transparent and meaningful number that businesses and customers can relate to. We recognize that 1% of net revenue is a significant amount of money to donate, especially for smaller businesses. However, the negative environmental challenges we face are enormous and this affects us all. Sources of funding from government agencies and private foundations are decreasing, even while these environmental problems mount. If the private sector doesn’t respond to these needs, who will? Part of the 1% FTP contribution can also be made as in-kind support (that is, donated products or services). Since this is a charitable donation, your 1% contribution is tax deductible which is a financial advantage.
Q: Who are 1% FTP business alliance members?
A: Alliance members are any and all businesses that accept the 1% FTP charter, want to do more to support environmental efforts, and want to play an active role within the private sector in ensuring that we protect our natural resources and work towards a healthier planet. The current membership includes companies that run the gamut from small and local to large and international, from ‘green’ to ‘not so green’, and everything in between. The one thing they have in common is they recognize the need for action is urgent, and they want to be part of the solution.
Q: We are already giving more than 1% of our net revenues to environmental organizations. Why should we join?
A: We congratulate you! But 1% FTP isnÂ’t just about charity and donating to good causes. It is about activism within the private sector, and about being a part of a groundswell of change to become part of the solution as a member of the private sector. Government alone canÂ’t get the job done. And the many nonprofit environmental organizations canÂ’t get the job done without your help. So even if you are already contributing generously, join like-minded businesses by signing up as a 1% FTP alliance member and become a catalyst for change by lending your voice (and company logo!) to this important effort.
Q: Are my 1% contributions tax deductible?
A: Yes. Contributions to non-profit organizations with IRS 501(c)(3) status on the 1% FTP list are tax-deductible. Your total contribution deduction is subject to the federal contribution deduction limit, which says that current year contributions cannot exceed 10% of taxable income (before the contributions are taken into account).
Q: Is my 1% FTP administration fee deductible?
A: Yes. This fee is actually an annual "license" fee, which allows your organization to use the 1% FTP mark and other materials pursuant to the license agreement. As such it is a deductible business expense. It is not a charitable contribution.
Q: What do I have to do to join?
A: We try to make joining as easy as possible. Simply contact 1% FTP, (978) 462-5353 and they will explain the licensing process to you.
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