RAINE MAGAZINE Volume 20 | Innovate

CULTURE
TECHNOLOGY + GIVING BACK + FUN =
501 AUCTIONS
Volunteering at a local charity auction in the spring of 2010, Jon Carrier was convinced
the event had the potential to raise more money if a better system could be found to
collect auction bids and process payments. That same summer, when most of his
fellow MBA students were interning with DC firms, Jon, a software engineer by training,
set out to build a fundraising platform. Designed with the fundraising professional and
donor in mind, it allowed guests to bid on their mobile phones, while streamlining many
of the administrative tasks involved in running a fundraising event.
The University of Virginia’s Public Interest Law Association (PILA)
agreed to use the new platform in the fall with tremendous success.
Fundraising revenue increased by 34% and guests loved the excitement
of bidding on their own smartphones. With that, 501 Auctions was born.
The online silent auction in the lead-up to the live event “gave people an
opportunity to research items,” PILA President Ashley Matthews said. “The
fact that it was online helped people to aggressively bid on items, and
increased our revenue total.”
Encouraged by the results, Jon reached out to his own network in
an effort to source new clients. A technologist at heart, he soon realized he
needed a sales and general business partner if he was truly determined to
scale the service.
Upon their return to school in the fall, Jon reached out to a friend and
classmate, Teddy Jones. With five years of sales and product management
experience in the software-as-a-service industry, Teddy immediately saw the
potential in the system. “The market need was clear,’ he says. “The system’s
ability to make bidding easy and fun for guests, as well as streamline many
of the time intensive tasks for the event organizers meant it was a service
that I knew people would want.”
Profitable from the beginning, 501 Auctions now employs a full time
staff of twelve with more than one hundred part time workers and helps
nonprofits run events nationwide. The secret to their success: hiring the right
people. “Time and time again, we hear our clients praise both the usability of
the software and the unparalleled customer service our Account Managers
provide”, says Teddy. “Our full commitment to our customer’s happiness
and success is the main reason our clients return to work with us again and
again.”
Both founders have a clear vision for the future of the company.
“We’re both very different people, and therefore complement each other’s
skillsets well”, says Teddy, “while we don’t always agree, it’s a healthy
dynamic and one which improves our collective contributions and efforts.”
In 2014 alone, they are set to help nonprofits raise more than $30 million
dollars for important causes across the US. A concentration on reliable technology,
excellent customer service and an emphasis on listening to the needs of their clients,
means the list of those they have worked with, including the US Tennis Association,
Ronald McDonald House, and Boys and Girls Clubs of America, is set to grow.
The world of fundraising is increasingly using technology to achieve their
fundraising goals and broaden their reach. “We believe every nonprofit has the potential
to raise more money”, says Teddy, “and 501 can help them.”
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