Charitable Gaming: Definition, Regulation & Industry Overview

Charitable gaming refers to gambling activities conducted by non-profit or charitable organizations to raise funds for their causes. Common examples include charity bingo halls, raffles (such as 50/50 draws), charitable lotteries, pull-tab tickets, and “casino night” fundraisers. Unlike commercial gambling, charitable gaming is regulated to ensure that a portion of proceeds directly supports charitable, educational, or civic initiatives. This sector forms a significant part of the gaming industry in North America, where thousands of local charities rely on bingo games or raffles as key fundraisers. In this overview, we explore what charitable gaming entails, its regulatory landscape, major players, and emerging trends, with a focus on North America (and notes on global jurisdictions).

SCCG Business Development Support for Charitable Gaming

SCCG Management brings its gambling industry expertise to the charitable gaming and related technology sector, offering tailored business development support:

• Regulatory Navigation & Licensing: We assist organizations in understanding and complying with the complex regulations governing charitable gaming in each jurisdiction. For charities looking to expand gaming fundraisers (or tech firms servicing them), we provide guidance on licensing processes, paperwork, and maintaining good standing with regulators.
• Technology and Vendor Partnerships: SCCG helps connect technology providers with charities and regulators. Whether you’re a tech startup with an innovative digital raffle platform or a manufacturer of electronic bingo devices, we facilitate partnerships with established charities, veteran organizations, and lottery agencies. Our network can open doors to pilot programs and distribution channels across North America and globally.
• Market Entry Strategy: For companies aiming to enter the charitable gaming space (e.g., a payment technology provider or an iGaming firm adding a charity-focused product line), we craft a go-to-market strategy. This includes identifying which jurisdictions are most receptive, tailoring products to meet local rules (for instance, adjusting an online 50/50 raffle platform to comply with a province’s requirements), and positioning the offering to align with the philanthropic mission.
• Operational and Fundraising Consulting: SCCG also advises nonprofits and foundations on optimizing charitable gaming operations. This can involve improving the profitability of bingo halls (through better game mix or marketing to attract younger players), incorporating new game formats to rejuvenate stagnant fundraisers, or adopting data-driven approaches for event planning. We emphasize sustainability and responsible gambling measures so that charitable gaming can thrive long-term without compromising the organization’s social mission.

Jurisdictional Licensing and Support

Because charitable gaming lies at the intersection of gambling and philanthropy, obtaining the right licenses and approvals is crucial. Each jurisdiction has its own process:

• In the U.S., a charity typically needs a state charitable gaming license (and often local county/city approval) to run games. There are often limitations – for example, only bona fide non-profits can apply, and funds must go to an approved charitable purpose. Background checks, fees, and reporting requirements are part of the licensing. Some states also require using licensed suppliers for equipment (ensuring games aren’t rigged).
• In Canada, eligible charities apply through provincial lotteries or gaming agencies to participate in charitable gaming programs (like hosting a bingo at a licensed hall, or selling raffle tickets province-wide). The license stipulates how the game is conducted and revenue split. For instance, Alberta and British Columbia have well-defined charitable casino/bingo programs where charities get certain “casino days” or bingo sessions assigned and receive a share of profits, under oversight.
• Internationally, rules range from very permissive (some countries allow any registered charity to run small raffles without much bureaucracy) to highly restrictive (others channel all such activity through a national lottery or not at all).

Scale and Economic Impact

Charitable gaming is big business for good causes. In jurisdictions that allow it, the aggregate wagering can reach impressive levels, demonstrating its popularity as a fundraising method. For instance, the U.S. state of Minnesota – one of the most active charitable gaming markets – saw gross wagers of nearly $4.94 billion in FY2024 on games like pull-tabs, bingo, and raffles. After paying out prizes, this resulted in $712 million in net receipts (gross profit) for charities and operators. Minnesota charities in FY2024 directed about $128 million of those proceeds to their charitable missions, and still paid roughly $199 million in taxes to the state and local governments (illustrating how heavily taxed even charitable gambling can be, with about 28¢ of every dollar going to taxes per officials). Neighboring North Dakota is another example: in FY2022, charitable gaming generated over $222 million in net revenue (post-prizes) in that state, yielding about $73.9 million directly for charitable causes.

These funds have tangible community impacts – supporting veterans’ organizations, youth sports, education, health charities, and more. Canada likewise integrates charitable gaming: in Ontario, for example, 37 charity-affiliated gaming centers (offering bingo and electronic games) distributed $96 million to local charities in the 2023–24 fiscal year. Across many jurisdictions, charitable gaming has grown steadily over the past decade. In Minnesota, gross receipts from charitable games have climbed with a ~13–14% annual growth rate since 2015, reflecting factors like new electronic games and more sites offering these games.

Industry Players and Technology

Several specialized companies supply the charitable gaming industry, providing equipment, games, and technology solutions:

• Arrow International: The world’s largest manufacturer of charitable gaming products. Arrow produces paper bingo cards, pull-tab tickets (also known as break-open tickets), electronic pull-tab tablet devices, daubers, and other supplies used by charities globally. Their products power thousands of bingo halls and fundraising games worldwide.
• Pollard Banknote & Partners: Pollard is a major lottery ticket manufacturer, and through acquisitions (e.g., American Games and International Gamco) it also supplies pull-tabs, bingo paper, and electronic raffle systems used in charitable gaming. Pollard and similar firms bridge lottery and charitable segments by providing technology that can modernize charity games (like electronic raffle drawing systems).
• Digital Raffle Solutions: Companies like Ascend Fundraising Solutions (Ascend FS) and Bump 50:50 specialize in electronic 50/50 raffle platforms. These systems are popular at sporting events and online fundraising drives, automatically splitting the pot between the winner and the charity. (Ascend FS acquired Bump 50:50 from Sportech in 2021, signaling consolidation in this niche.) Their technology allows raffles to extend beyond in-person ticket sales to online and mobile sales, dramatically increasing reach. For example, Bump’s digital raffle platform has helped sports teams and non-profits run raffles that engage fans both in stadiums and at home.
• Electronic Bingo & Gaming Suppliers: As charitable gaming modernizes, vendors provide electronic bingo terminals, point-of-sale systems for charity lotteries, and even tablet-based games. Companies like International Game Technology (IGT) and Video King offer electronic bingo systems used in charity bingo halls (allowing players to use tablets instead of paper, or play multiple cards electronically). Smaller regional suppliers and startups are also innovating with app-based bingo and trivia games that benefit charities.