Raffles are a popular fundraising tool, especially for nonprofits and community organizations looking to engage their supporters in a fun, chance-based way to raise money for good causes. However, the legality and rules around hosting a raffle vary widely across the United States. In some states, raffles are considered a form of gambling, which can be heavily regulated or even prohibited. Understanding the legal requirements and restrictions is essential for any organization planning a raffle.
In this guide, we’ll walk through who can host a raffle, the steps for legally holding one, alternatives to raffles in states where they’re restricted, and how you can structure a raffle without calling it one.
Note: The NC statute on raffles (NCGS Section 14-309.15) allows 501(c)(3) nonprofits to conduct raffles but does not allow others to conduct raffles on behalf of nonprofits. Unlike Louisiana (and some other states), there is no registration requirement for charitable raffles in North Carolina.
