How to Run a Raffle Fundraiser: Complete Guide for Nonprofits and Schools

How to Run a Raffle Fundraiser: Complete Guide

Raffle fundraisers raise money through ticket sales and chance-based drawings. They work for schools, churches, nonprofits, and community groups. They are often simpler to run than auctions and can reach more people at lower price points. But raffles are heavily regulated. Before you sell a single ticket, you must understand your state's laws.

This guide walks you through planning, legal compliance, prizes, formats, pricing, promotion, and execution. We cite the National Council of Nonprofits, Rafflr, Zeffy, PayBee, and industry sources. This is not legal advice. Consult your state's charitable gaming authority or a lawyer before running a raffle.

Why raffle fundraisers work

Raffles work because they lower the barrier to participation. People can support your cause for a few dollars. The chance of winning creates excitement. Events with raffle elements can generate 30–50% more participation than donation-only events, according to Charities Aid Foundation.

Raffles can run:

• Standalone – A raffle is your main fundraiser
• Alongside an event – Add a raffle to a gala, auction, or school night
• Online only – Sell tickets and run the drawing entirely online
• Hybrid – Sell online and in person; draw live or digitally

Raffles and ticketing can run in the same platform as auctions. Online raffle software guide covers features, setup, and platform options. The fundraising guide explains when to use raffles vs. auctions vs. campaigns. Not sure which format fits? Silent auction vs. raffle compares both and when to combine them.

Step 1: Check raffle laws and obtain permits

Do not skip this step. Raffle laws vary by state and change over time. Violating them can result in fines, permit revocation, or criminal penalties.

States that prohibit raffles

Three states prohibit charitable raffles: Alabama, Hawaii, and Utah. If your organization is in one of these states, you cannot legally run a raffle. Consider alternatives like 50/50 splits structured as donations, or focus on auctions, campaigns, or sponsorships.

States with restrictions on online raffles

Some states allow in-person raffles but restrict or prohibit online raffle ticket sales. Examples include Arkansas, California, and New Mexico. Raffle laws change; some states expanded online options during the pandemic. Check current rules.

Common requirements across states

Most states that allow raffles require:

Requirement	What it typically means
Nonprofit status	501(c)(3) or equivalent IRS designation
Operational history	Many states require 1–5 years of existence before eligibility
Permit or license	Application to state Attorney General, gaming commission, or local clerk; fees often $15–$500
Mandatory ticket text	Drawing date/time/location, prize descriptions and values, permit number, ticket price, organization name and contact
Post-event reporting	Financial report due 30–90 days after raffle: gross receipts, prizes awarded, expenses

Where to find your state's rules

• US raffle laws by state – Direct links to every state's official charitable gaming agency (Attorney General, gaming commission, or equivalent)
• National Council of Nonprofits – State Fundraising Regulations
• Your state Attorney General office
• Your state gaming commission or charitable solicitation division
• Rafflr's Online Raffle Laws Guide – State-by-state summary

Apply for permits early. Processing can take weeks. Do not sell tickets until your permit is approved.

Step 2: Set your goal and timeline

Before you choose prizes or formats, decide what success looks like.

How much do you want to raise? Pick a number. Work backward: If tickets are $5 and you need $10,000, you need at least 2,000 tickets sold (more if you offer bundles or have expenses).

When will it happen? Small raffles can be planned in 4–6 weeks. Larger events, especially those tied to galas or school nights, need 2–3 months. Online raffles that run for 2–4 weeks need promotion time before ticket sales open.

What will the funds fund? Donors give more when they know the impact. "Proceeds fund our youth mission trip" or "Raffle sales support classroom supplies" is clearer than "supports our organization."

How to plan your auction covers goal-setting and timeline planning in more detail; many principles apply to raffles.

Step 3: Secure prizes

Prizes drive ticket sales. Strong prizes justify higher ticket prices and more sales.

Where to get prizes

• Donations – Local businesses, restaurants, wineries, and sponsors. Companies that donate to auctions and businesses that help fundraise list ideas. Same businesses often donate to raffles.
• Purchased items – Gift cards, electronics, experiences. Budget carefully; keep costs low relative to expected revenue.
• Consignment – Travel packages or high-value items with no upfront cost. Similar to risk free auction items for auctions.

Prize types that work well

• 50/50 raffles – No prize to procure. The "pot" is half the ticket revenue. Simple and popular.
• Basket raffles – Themed baskets (wine, spa, sports, gourmet). Donors and businesses contribute items.
• Wine pull / mystery bag – Wrapped bottles or bags; some high-end, some everyday. Creates instant excitement.
• Experiences – Dinners, trips, backstage access. Often donated.

Match prizes to your audience. A school raffle may use teacher experiences and class art. A church raffle may use mission trip spots or community dinners. A gala may use luxury travel or exclusive access. Raffle game ideas covers formats plus creative basket themes (spa, date night, game night). 9 raffle games to help you raise more compares formats and prize types in detail.

Step 4: Choose your raffle format

The format determines how you sell tickets, how the drawing works, and what kind of engagement you create.

Format	Best for	Prize type	Engagement
50/50	Community events, sports, festivals	Cash (half the pot)	Medium
Basket raffle	Schools, galas, silent auctions	Multiple themed baskets	High
Reverse raffle	Galas, live events	Grand prize	High
Heads or tails	Large live crowds	Single prize	Very high
Online raffle	Virtual or hybrid	Any	Medium
Wine pull	Adult events, galas	Wine / mystery	High
Golden ticket	High-value donor audiences	Top-tier prize	High
Multi-winner	Medium–large events	Mixed prizes	High

9 raffle games to help you raise more explains each format in detail and when to use it. Many events combine a raffle with an auction or ticketed event—raffles, tickets, and bidding can share one checkout.

Step 5: Price tickets and offer bundles

Ticket pricing affects both volume and revenue. Price too high and you limit sales. Price too low and you leave money on the table. How to price raffle tickets has detailed strategies, formulas, and format-specific tips.

Typical price ranges

Raffle tickets often range from $1 to $20 per ticket depending on:

• Prize value
• Audience (school parents vs. gala donors)
• Event format (casual vs. formal)

Bundle pricing

Offering bundles usually boosts sales 30–50%. Examples:

• $5 each or 5 for $20
• $10 each or 12 for $100
• $1 each or 25 for $20

Bundle pricing makes larger purchases feel like a deal. PayBee and Zeffy recommend it for charity raffles.

Anchoring and tiered options

List your highest-priced bundle first so mid-tier options feel reasonable. Offer multiple tiers (e.g., 5 tickets, 25 tickets, 100 tickets) to appeal to different buyer types.

Display the growing pot

For 50/50 raffles, show the pot total as it grows. "Current pot: $2,450" creates urgency and justifies higher ticket sales.

Early bird pricing

Offer a discount 4–6 weeks before the drawing; increase prices as the date nears. Creates urgency and rewards early buyers.

Step 6: Promote and sell tickets

Where to sell

• Online – Your event platform or raffle software. Share one link. Track sales. Automatic number assignment. Online raffle software guide covers features and setup.
• In person – At events, school pickups, church services, community gatherings
• Both – Hybrid maximizes reach. CharityAuctions supports online ticketing and raffles alongside auctions.

Promotion channels

• Email – Announce ticket sales, share the link, send reminders as the drawing nears
• Social media – Post prize highlights, pot updates, and countdowns
• In-person – Announcements, flyers, table signs
• Volunteers and ambassadors – Ask board members, parents, and supporters to share the link

Silent auction promotion timeline and auction marketing what to say offer templates and timing; adapt them for raffles.

Make purchase easy

• One link for online purchase
• Clear rules: price, drawing date, how winners are notified
• Mobile-friendly checkout. No app download required when possible.

Step 7: Run the drawing and report

Conducting the drawing

• Random selection – Physical drawing from a drum, software-based random selection, or third-party certified draw
• Document the process – Record date, time, method, and winner names
• Announce publicly – Live at the event, livestream, or posted results online

After the drawing

• Notify winners – Email, phone, or both
• Distribute prizes – Arrange pickup or delivery. Document who received what
• Thank participants – Send a message to all ticket buyers. Share the total raised and impact
• File required reports – Many states require post-event financial reports (gross receipts, prizes, expenses) within 30–90 days

Retention

Keep records of:

• Ticket sales and revenue
• Winner names and prizes
• Drawing method and date
• Permit and compliance documents

Combining raffles with other fundraisers

Raffles pair well with:

• Auctions – How to run a charity auction. Run a basket raffle during silent bidding; add a 50/50 during the live program
• Ticketed events – Fundraising guide. Sell tickets and raffle tickets in one checkout
• Campaigns – Raffle as a campaign component with recurring or one-time draws

Chain restaurants that do fundraisers suggests pairing restaurant fundraisers with raffles or auctions for bigger revenue.

Legal disclaimer

Raffle laws vary by state and change over time. This guide summarizes common patterns and is not legal advice. Consult your state's Attorney General, charitable gaming authority, or a qualified attorney before conducting a raffle. Organizations are responsible for their own compliance.

Next steps

• Online raffle software guide – Features, setup steps, and platform options
• How to price raffle tickets – Formulas, bundle pricing, and format-specific strategies
• Silent auction vs. raffle – When to choose each, when to combine both
• Raffle game ideas – Formats plus creative basket themes (spa, date night, game night)
• US raffle laws by state – Official state agency links for permits and regulations
• 9 raffle games to help you raise more – Formats, comparison table, and tips
• Fundraising guide – Event types, timelines, and promotion
• Create your free event – Add raffles and ticketing to your fundraiser

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This guide is maintained by CharityAuctions. We cite the National Council of Nonprofits, Rafflr, Zeffy, PayBee, Charities Aid Foundation, and industry sources. Questions? Talk to our team.