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Nonprofit organizations provide opportunities for individuals and institutions to voluntarily contribute to causes of their choosing and play an important societal role in serving as the vehicles by which philanthropy occurs.

Nonprofits act as the intermediary between donors and beneficiaries, and have an ethical obligation to ensure proper handling of funds to carry out their missions.

Nonprofit fundraising should be conducted according to the highest ethical standards with regard to solicitation, acceptance, recording, reporting, and use of funds. Nonprofits should adopt clear policies for fundraising activities to ensure responsible use of funds and open, transparent communication with contributors and other constituents.

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