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Compliance Insights

Why Companies Need a Single Platform for All Things CCV

Amar Shah
January 30, 2025
Amar Shah

Why Companies Run Giving Campaigns

Brands today are increasingly focused on more than just profit. Many companies are incorporating philanthropy into their business models as part of a triple bottom line approach – prioritizing people, planet, and profit. Cause marketing initiatives like commercial co-ventures (CCVs) help brands build stronger customer relationships and enhance loyalty while making a positive impact. Studies show that consumers are more likely to support businesses that align with their values, and giving campaigns are a tangible way to demonstrate corporate responsibility. Real-world examples include retailers like Patagonia, which donates a percentage of sales to environmental nonprofits, and Bombas, which has built an entire brand identity around its "Buy One, Give One" model.

The Legal Complexity of Running a CCV Campaign

A commercial co-venture is a partnership in which a company advertises that a portion of sales will be donated to a nonprofit. While these campaigns can be powerful marketing tools, they come with legal obligations. CCVs are regulated at the state level, requiring businesses to follow specific compliance steps before launching a campaign. There are at least 9 states that require businesses to file as CCVs or file campaign reports when the charitable solicitation campaign is over. 

This varies by state, but typically, to run a legally compliant CCV, a company must first identify a nonprofit partner and obtain written agreements from both parties. They must determine the structure of the donation activation – whether it’s a percentage of purchase, round-up at checkout, or limited-time event – and decide on campaign details such as duration, marketing assets, and promotional strategies. Companies often work with law firms to navigate their compliance requirements, which include registering in the applicable states (if the campaign runs online, registration is likely required in all nine states with CCV laws). Proper disclosures must be included in marketing materials, and companies need to ensure they file required campaign reports with regulators after the campaign ends.

Brands like Starbucks and RED have successfully run large-scale CCVs. For instance, Apple partnered with RED to donate a portion of sales from select products to fight HIV/AIDS, making the campaign both impactful and legally compliant. However, even smaller-scale CCVs must meet the same compliance requirements, which can be challenging to manage without the right infrastructure in place.

The Challenges of Managing Donations and Compliance Separately

Many companies manage CCV donation processing and compliance separately, which can create inefficiencies and compliance risks. Often, businesses use a Shopify plug-in or a basic fundraising tool to collect donations at checkout. In other cases, they collect funds manually, set aside a portion of sales, and send a lump-sum check to the nonprofit after the campaign ends.

While these approaches may seem straightforward, they come with major challenges. The Shopify plug-ins or widgets often lack compliance support and are limited in branding customization, making it difficult for companies to create a seamless brand experience. Manual donation processing, on the other hand, places a heavy burden on finance and accounting teams. Managing multiple nonprofits becomes increasingly complex, and without an automated system, tracking donations for campaign reports can be cumbersome.

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Why Consolidating CCV Donation Processing and Compliance Matters

By consolidating donation processing and compliance under one system, companies can streamline operations and reduce risk. Benefits include:

  • Seamless Compliance – Ensures registration in required states, handles legal disclosures, and automates campaign report filings.
  • Efficient Donation Processing – Eliminates the need for manual tracking and simplifies payouts to nonprofits.
  • Custom Branding & Integration – Avoids the limitations of plug-ins by offering a tailored giving experience that aligns with a company’s brand.
  • Automated Record-Keeping – Makes it easy to file annual campaign reports by keeping a centralized record of all donations and nonprofit payouts.
  • Donor-Advised Fund (DAF) Benefits – Working with a DAF streamlines tax reporting and allows for faster, more efficient nonprofit disbursements. 
  • Reduced Administrative Burden – Frees up finance and legal teams to focus on other priorities instead of manually managing compliance and donations.

How Change Provides a Holistic CCV Solution

Change is the only solution that offers a fully integrated approach to CCV campaigns. We help companies navigate legal compliance by working with their trusted legal counsel to file necessary registrations, campaign reports, and disclosures. At the same time, we streamline donation processing, ensuring that nonprofit payouts are accurate and timely. 

Through our partnership with the donor-advised fund Our Change Foundation, we simplify CCV agreements by handling nonprofit disbursements efficiently and ensuring compliance with state regulations. 

By consolidating these processes, Change allows brands to focus on what matters most: building impactful campaigns that drive customer engagement and support important causes.

Want to learn more about how Change can help streamline your CCV campaigns? Click here to learn more.

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