What Is Underwriting?

What Is Underwriting?

Underwriting is simply a very specific form of advertising and refers to announcements made on public broadcasting outlets and other non-commercial radio stations in exchange for funding. These spots typically mention the name of the sponsor and provide very basic information about the person or company. They resemble the traditional “advertisements” that we are all (too) familiar with in commercial broadcasting. However, under the terms of a public broadcaster’s license from the Federal Communications Commission (FCC), underwriting “spots” are prohibited from making any sort of a “call to action”, a phrase that refers to making product claims, announcing prices, or providing an incentive to buy a product or service including the mention of sales and product-specific promotions (e.g., “offering interest rates lower than ever before”). Underwriting spots are usually 30 seconds or less in duration; the FCC feels that otherwise, longer “spots” may be construed as endorsements by the non-commercial entity.

Underwriting on KZSR is Affordable

Underwriting is a cost-effective alternative to commercial advertising and a great way for your business or organization to connect with KZSR’s listeners, most of whom reside locally. Although underwriting is different than traditional advertising, it is a low-cost marketing vehicle to position your services or products or to brand your business to our listening community.

Underwriting Offers Added Value

In addition to on-air announcements, KZSR underwriters will be recognized on our Web site, www.kzsr.org on which we also provide a link to the Web site of each of our underwriters. When involved in public workshops and other events, our underwriters will be recognized in ads or with event-specific literature.

Your Underwriting Support May Be Tax-Deductible

KZSR, as part of the Pacific Coast Conservation Alliance, is a 501(c)(3) non-profit organization. Underwriting may be considered an advertising expense while others use it as a charitable contribution. Each underwriter should consult a tax professional about the benefits of marketing your organization using non-commercial community radio and which is more beneficial, a line item advertising expense or a charitable contribution. In either case, your contribution benefits both you and your community.