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Turning
Surplus Assets
Into Tax Deductions




                  www.ormita.com
Do you want to donate to charity but lack the ability
                to help financially?




  Does your business have excess time or surplus
        assets which are going to waste?




  Do you have goods or services you would like to
   donate that a charity can not directly utilize?




   Are you interested in converting your unsold
     products into a full value tax deduction?
Research has shown that more than half of all charitable contributions by companies are in
the form of merchandise not cash.

Ormita can turn those excess inventories, space or hours into a full tax deduction (at retail market value) to help
improve your bottom line.


                                                Charities that help the less fortunate find it hard at times to
                                                get donations from businesses and when they do get dona-
                                                tions it is just not enough. When a business makes a donation
                                                to a charity it comes out of their profit margins and yet is a tax
                                                deduction and creates goodwill and PR.

                                                Ormita solves the problem of not being able to give more to a
                                                charity because there is a limited amount of cash to give.

                                                Because of logistical reasons many charities do not accept
                                                in-kind donations.

                                                Ormita makes it possible for you to donate goods or services
                                                that otherwise would not have been accepted by your favorite
                                                charity.

                                                There is little tax benefit received from donating time
                                                based services.

                                                Ormita provides a mechanism to donate your unsold time or space
                                                whilst creating a positive effect on your balance sheet.

                                                Liquidating can often result in just cents on the dollar, and
                                                sometimes the liquidator can be slow in making a payment.
                                                Your products may also end up in cut-rate discount houses,
                                                hurting your product’s image and affecting your future
                                                marketing efforts.

                                                Ormita takes your product off-market and ensures you retain
                                                product and brand integrity while providing you with valuable
                                                brand name support and aligning your business with charitable
                                                activities in a way which has a positive effect on your cash-flow.




                                                Ormita enables companies to link their product or brand
                                                    with a particular cause and, in doing so, generate
                                                    greater revenues – all without the need for cash.
Haven’t Considered Donating Before?
Here Are Some Of The Tangible Financial Benefits.
Manufacturers, Wholesalers and Retailers
  • Takes your excess product off-market, thereby retaining the
    market value for your goods.
  • Tax-deductible benefits may be greater than income received
    from a sale.
  • Creates savings in warehouse space, disposal costs and
    staff time.
  • If you plan to close or consolidate a warehouse or distribution
    centre, it may be more cost-effective to donate that inventory
    rather than move it to another location.
  • Helps to reduce waste and meet environmental goals.
  • Staff and customers want to see your surplus goods going to
    people in need rather than to the dump.
  • Donated goods are generally only deductible at cost (not market value). Using Ormita your donation
    is eligible for a tax deduction at full retail value.
  • Ormita effectively converts items which a charity may not be able to directly use into goods and
    services they need.
  • A single email or phone call to Ormita can take all of your surpluses off your hands.


Service Industries
  • Allows for a full retail value tax deduction for your surplus
    time, space, unsold seats or service-related offerings.
  • Provides a creative way for your staff to give to their
    nominated charities without the need for time-off or
    cash from their pockets.
  • Can help fulfil your company’s philanthropic, environmental
    and/or social welfare goals and translate into goodwill.


General Benefits for Businesses
  • Businesses who donate trade credits receive the up-front tax benefits at the time of donation -
    even though they may only earn the trade credits at a later date.
  • Allows you to tie your giving to your sales or customer activities without spending any additional
    cash to do so.
Corporate Social Responsibility
        In such a competitive labour market, being recognised as a socially responsible employer is
        important. According to one study+, 87% of respondents said they would feel proud to work for a
        company that offered significant support to causes or charities. 82% of respondents said they would
        rather work for a company that supported good causes, if all other employment factors were equal.
        41% of respondents said that they’d even take a job that paid less if it provided the chance to make a
        difference to the community. 1


        An organisation’s commitment to creating a mutually beneficial future for the community is an
        important factor in developing and maintaining strong relationships with stakeholders. Increased
        recognition of the importance of CSR globally, has seen external rating systems such as the Good
        Reputation Index, DOW Jones Sustainable Group Index, Business in the Community Corporate
        Responsibility Index and the FTSE4Good become increasingly relevant to corporates. These rating
        frameworks measure the performance of companies in regard to their corporate social responsibility.
        There is an acknowledgement that these frameworks can impact and facilitate investment in companies
        regarded as ranked highly in these indexes. Organisations are also beginning to acknowledge the need
        for accountability and internal reporting on their CSR initiatives, and accordingly are utilising internal
        reporting frameworks such as the London Benchmarking Group (LBG) and Corporate Community
        Involvement Index (CCI).


             • Impacts staff motivation and pride in their organisation; thereby increasing staff satisfaction,
               enhancing loyalty and retention. It also provides the opportunity to be seen as an employer of
               choice and gives employees the chance to contribute to the social well-being of communities.
             • Companies are increasingly looking to Corporate Social Responsibility (CSR) as a proven vehicle
               to drive greater staff, stakeholder and community engagement.
             • Consumer trust is at an all-time low, with 55 percent of consumers regarding big corporations as
               having no morals or ethics. A company’s brand can be significantly enhanced by aligning itself with
               a good cause. In fact, 9% of consumers believe that a great brand comes from a company with
               values and ethics. 2




                                                                                                                     
    (2004)., Passion People, Cavill  Co.
1

    (2005)., Eye on Australia, Grey Worldwide.
2
How The Program Works
Step .
Register as a donor
  • Fill out our application form or go online to www.ormita.com/donate and obtain a donor account.

Step .
Tell us what you have to donate
  • You can donate time, services, empty space, unsold seats, surplus tickets, excess inventory, surplus
    machinery or equipment, end-of-line items, improperly marked goods, last-seasons stock or other
    assets which are no longer required by your business.

Step .
Ormita will collect your product or service
  • Ormita will work on behalf of your named charity to trade your product off-market to members
    of a closed business network in return for goods or services needed by your named charity.
  • Ormita has a number of recognized charities already participating in its Corporate Donor
    Programme however your favourite charity is also eligible to receive donations whether they
    are an existing member or not.

Step .
Recipient Charities spend from within the Ormita Commerce Network and
purchase needed supplies, services or products.
  • Recipients have a large pool of products they can purchase from and put to good use. Advertising,
   printing, food and clothing, transportation, office equipment, stationery or other needed supplies.

Step .
Claim your tax deduction and other benefits
  • Speak with your charity and accountant to work through the issues of co-branding, featuring your
    business in their communications to other donors and to claim your tax deduction.




         Charitable donations create a reservoir of goodwill in the community and preserve
        the public’s trust in your business. The Ormita service takes your surpluses and turns
           them into charitable donations without the need to spend any additional cash.
AUSTRALIA                                        Derby                         0133 291 7004
                                                                                                   MARYLAND
                                                 Dundee                        0138 260 5000
                                                 Edinburgh                     0131 606 0044       Baltimore                    (443) 692 0121
                                                 Glasgow                       0141 421 0051
AUSTRALIAN CAPITAL TERRITORY
                                                                                                   MASSACHUSETTS
                                                 Gloucester                    0145 249 8010
Canberra             (02) 6160 1477
                                                 Huddersfield                  0148 461 0011       Boston                       (857) 524 5135
                                                 Ipswich                       0147 339 5000
NEW SOUTH WALES
                                                                                                   MICHIgAN
                                                 Kingston upon Hull            0148 269 0011
Campbelltown                 (02) 4602 4115
                                                 Leeds                         0113 358 0166       Detroit                      (313) 733 2939
Dubbo                        (02) 5804 5111
                                                 Leicester                     0116 330 0033
Gosford                      (02) 4304 1501
                                                                                                   NEVADA
                                                 Liverpool                     0151 151 0211
Newcastle                    (02) 4016 6127
                                                 London                        0203 355 1381       Las Vegas                    (702) 446 0899
Penrith                      (02) 4702 0513
                                                 Manchester                    0161 421 0177
Sydney                       (02) 8197 7017
                                                                                                   NEW JERSEY
                                                 Newport                       0163 337 0011
Tamworth                     (02) 5711 1203
                                                 Norwich                       0160 391 1010       Newark                       (973) 741 6884
                                                 Nottingham                    0115 817 0011
QUEENSLAND
                                                                                                   NEW YORK
                                                 Oxford                        0186 557 6041
Brisbane                     (07) 3121 9657
                                                 Peterborough                  0173 351 7070       New York                     (347) 527 7677
Gold Coast                   (07) 3166 5304
                                                 Plymouth                      0175 239 9006
Sunshine Coast               (07) 5313 3411
                                                                                                   OHIO
                                                 Preston                       0177 221 7010
Townsville                   (07) 4795 0409
                                                 Reading                       0118 331 0020       Columbus                     (614) 754 5884
                                                 Rotherham                     0170 927 0000
SOUTH AUSTRALIA
                                                                                                   PENNSYLVANIA
                                                 Saint Helens                  0174 471 0000
Adelaide                     (08) 7423 0109
                                                 Sheffield                     0114 301 0004       Philadelphia                 (215) 695 3040
                                                 Swansea                       0179 267 6001       Pittsburgh                   (412) 360 8450
TASMANIA
                                                 Swindon                       0179 329 6077
Hobart                       (03) 6281 4775
                                                                                                   TENNESSEE
                                                 Watford                       0192 337 9010
                                                                                                   Memphis                      (901) 328 7278
VICTORIA
Melbourne                    (03) 9095 3402
                                                 NEW ZEALAND                                       TEXAS
                                                                                                   Austin                       (512) 499 2345
WESTERN AUSTRALIA
                                                                                                   Dallas                       (214) 461 4818
Bunbury                      (08) 9774 0105      NORTH ISLAND
                                                                                                   Fort Worth                   (817) 439 6909
Kalgoorlie                   (08) 9051 5200      Auckland                      (09) 974 9159
                                                                                                   Houston                      (713) 820 9464
Mandurah                     (08) 9512 8010      Wellington                    (04) 974 9061
Perth                        (08) 6465 9631
                                                                                                   UTAH
                                                 SOUTH ISLAND
                                                                                                   Salt Lake City               (801) 618 0488
ITALY                                            Christchurch                  (03) 974 9041
                                                 Dunedin                       (03) 974 8014
                                                                                                   WASHINgTON
                                                                                                   Seattle                      (206) 691 8191
Bari                         080 214 9618
                                                 UNITED STATES
Bologna                      0511 990 7661
Brescia                      030 207 7648
                                                 OF AMERICA                                        HEADQUARTERS
Cagliari                     070 773 8241
Firenze (Florence)           055 535 7643
Genova                       010 893 7302        ARIZONA
                                                                                                   AUSTRALIA
Messina                      090 896 8832        Phoenix                       (602) 427 5620
                                                                                                   PO Box 638
Padova                       049 859 7942
                                                                                                   Booval, QLD, 4304
Palermo                      091 619 3644        CALIFORNIA
St Vincent                   016 687 1130        Los Angeles                   (323) 443 0233
                                                                                                   Facsimile: (07) 3123 5908
Taranto                      099 987 1038        San Francisco                 (415) 358 1808
                                                                                                   Email: aus@ormita.com
Torino                       0111 983 9445       San Jose                      (408) 538 0208
Verona                       045 485 8775
                                                                                                   NEW ZEALAND
                                                 COLORADO
                                                                                                   PO Box 132009
ROMANIA                                          Denver                        (303) 997 1666
                                                                                                   Sylvia Park, Auckland
                                                 DISTRICT OF COLUMBIA
                                                                                                   Facsimile: (028) 890 637
                                                 Washington DC        (202) 380 3223
Bucharest                    (021) 519 1421
                                                                                                   Email: nz@ormita.com
                                                 FLORIDA
UNITED KINgDOM                                                                                     UNITED STATES
                                                 Tampa                         (813) 200 4844
                                                                                                   PO Box 16120
                                                 Orlando                       (321) 281 3766
                                                                                                   Pittsburgh, PA, 15242
                                                                                                   U.S.A
BBasildon                    0126 843 0010
                                                 gEORgIA
Birmingham                   0121 264 0130
                                                 Atlanta                       (678) 298 3210
                                                                                                   Facsimile: (412) 360 8403
Blackburn                    0125 441 0010
                                                                                                   Email: usa@ormita.com
Blackpool                    0125 358 0011
                                                 IDAHO
Bolton                       0120 423 0001
                                                 Boise                         (208) 906 1188
Bradford                     0127 444 9121
Bristol                      0117 361 0030
                                                 ILLINOIS
Chelmsford                   0124 576 0050
                                                 Chicago                       (773) 337 4770
Coventry                     0247 699 8602
                                                                                                                                                    
Ormita is a registered trademark of Ormita International Limited and/or its affiliates. Other names may be trademarks of their respective owners.

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Donations And Tax Deductions

  • 1. Turning Surplus Assets Into Tax Deductions www.ormita.com
  • 2. Do you want to donate to charity but lack the ability to help financially? Does your business have excess time or surplus assets which are going to waste? Do you have goods or services you would like to donate that a charity can not directly utilize? Are you interested in converting your unsold products into a full value tax deduction?
  • 3. Research has shown that more than half of all charitable contributions by companies are in the form of merchandise not cash. Ormita can turn those excess inventories, space or hours into a full tax deduction (at retail market value) to help improve your bottom line. Charities that help the less fortunate find it hard at times to get donations from businesses and when they do get dona- tions it is just not enough. When a business makes a donation to a charity it comes out of their profit margins and yet is a tax deduction and creates goodwill and PR. Ormita solves the problem of not being able to give more to a charity because there is a limited amount of cash to give. Because of logistical reasons many charities do not accept in-kind donations. Ormita makes it possible for you to donate goods or services that otherwise would not have been accepted by your favorite charity. There is little tax benefit received from donating time based services. Ormita provides a mechanism to donate your unsold time or space whilst creating a positive effect on your balance sheet. Liquidating can often result in just cents on the dollar, and sometimes the liquidator can be slow in making a payment. Your products may also end up in cut-rate discount houses, hurting your product’s image and affecting your future marketing efforts. Ormita takes your product off-market and ensures you retain product and brand integrity while providing you with valuable brand name support and aligning your business with charitable activities in a way which has a positive effect on your cash-flow. Ormita enables companies to link their product or brand with a particular cause and, in doing so, generate greater revenues – all without the need for cash.
  • 4. Haven’t Considered Donating Before? Here Are Some Of The Tangible Financial Benefits. Manufacturers, Wholesalers and Retailers • Takes your excess product off-market, thereby retaining the market value for your goods. • Tax-deductible benefits may be greater than income received from a sale. • Creates savings in warehouse space, disposal costs and staff time. • If you plan to close or consolidate a warehouse or distribution centre, it may be more cost-effective to donate that inventory rather than move it to another location. • Helps to reduce waste and meet environmental goals. • Staff and customers want to see your surplus goods going to people in need rather than to the dump. • Donated goods are generally only deductible at cost (not market value). Using Ormita your donation is eligible for a tax deduction at full retail value. • Ormita effectively converts items which a charity may not be able to directly use into goods and services they need. • A single email or phone call to Ormita can take all of your surpluses off your hands. Service Industries • Allows for a full retail value tax deduction for your surplus time, space, unsold seats or service-related offerings. • Provides a creative way for your staff to give to their nominated charities without the need for time-off or cash from their pockets. • Can help fulfil your company’s philanthropic, environmental and/or social welfare goals and translate into goodwill. General Benefits for Businesses • Businesses who donate trade credits receive the up-front tax benefits at the time of donation - even though they may only earn the trade credits at a later date. • Allows you to tie your giving to your sales or customer activities without spending any additional cash to do so.
  • 5. Corporate Social Responsibility In such a competitive labour market, being recognised as a socially responsible employer is important. According to one study+, 87% of respondents said they would feel proud to work for a company that offered significant support to causes or charities. 82% of respondents said they would rather work for a company that supported good causes, if all other employment factors were equal. 41% of respondents said that they’d even take a job that paid less if it provided the chance to make a difference to the community. 1 An organisation’s commitment to creating a mutually beneficial future for the community is an important factor in developing and maintaining strong relationships with stakeholders. Increased recognition of the importance of CSR globally, has seen external rating systems such as the Good Reputation Index, DOW Jones Sustainable Group Index, Business in the Community Corporate Responsibility Index and the FTSE4Good become increasingly relevant to corporates. These rating frameworks measure the performance of companies in regard to their corporate social responsibility. There is an acknowledgement that these frameworks can impact and facilitate investment in companies regarded as ranked highly in these indexes. Organisations are also beginning to acknowledge the need for accountability and internal reporting on their CSR initiatives, and accordingly are utilising internal reporting frameworks such as the London Benchmarking Group (LBG) and Corporate Community Involvement Index (CCI). • Impacts staff motivation and pride in their organisation; thereby increasing staff satisfaction, enhancing loyalty and retention. It also provides the opportunity to be seen as an employer of choice and gives employees the chance to contribute to the social well-being of communities. • Companies are increasingly looking to Corporate Social Responsibility (CSR) as a proven vehicle to drive greater staff, stakeholder and community engagement. • Consumer trust is at an all-time low, with 55 percent of consumers regarding big corporations as having no morals or ethics. A company’s brand can be significantly enhanced by aligning itself with a good cause. In fact, 9% of consumers believe that a great brand comes from a company with values and ethics. 2 (2004)., Passion People, Cavill Co. 1 (2005)., Eye on Australia, Grey Worldwide. 2
  • 6. How The Program Works Step . Register as a donor • Fill out our application form or go online to www.ormita.com/donate and obtain a donor account. Step . Tell us what you have to donate • You can donate time, services, empty space, unsold seats, surplus tickets, excess inventory, surplus machinery or equipment, end-of-line items, improperly marked goods, last-seasons stock or other assets which are no longer required by your business. Step . Ormita will collect your product or service • Ormita will work on behalf of your named charity to trade your product off-market to members of a closed business network in return for goods or services needed by your named charity. • Ormita has a number of recognized charities already participating in its Corporate Donor Programme however your favourite charity is also eligible to receive donations whether they are an existing member or not. Step . Recipient Charities spend from within the Ormita Commerce Network and purchase needed supplies, services or products. • Recipients have a large pool of products they can purchase from and put to good use. Advertising, printing, food and clothing, transportation, office equipment, stationery or other needed supplies. Step . Claim your tax deduction and other benefits • Speak with your charity and accountant to work through the issues of co-branding, featuring your business in their communications to other donors and to claim your tax deduction. Charitable donations create a reservoir of goodwill in the community and preserve the public’s trust in your business. The Ormita service takes your surpluses and turns them into charitable donations without the need to spend any additional cash.
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