Arizona nonprofits have increasingly turned to online cash raffles as a practical and engaging way to raise funds. With simple ticket pricing, broad donor reach, and strong community engagement, online raffles have become one of the most effective fundraising tools available.
However, Arizona maintains specific legal requirements for raffles under the Arizona Revised Statutes (A.R.S. §13-3302). Nonprofits must follow these rules to remain compliant and avoid unintentionally violating state gaming laws.
This guide explains what Arizona nonprofits must do to stay compliant and how RaffleGives, the best online raffle platform for nonprofits, helps organizations run secure, transparent, and legally sound online cash raffles.
Arizona regulates raffles under A.R.S. § 13-3302, which outlines which nonprofits qualify, how raffles may be conducted, and what activities are prohibited.
Arizona law distinguishes charitable raffles from gambling by granting qualified nonprofits an exemption to conduct raffles if they meet strict criteria. The Arizona Legislature’s statute A.R.S. §13-3302 states that nonprofit raffles are lawful when they follow required conditions, including restrictions on electronic devices, prize distribution, and organizational eligibility.
The Arizona Department of Gaming provides guidance reinforcing that raffles must be conducted by eligible nonprofit entities and must not operate like for-profit gambling activity.
Only nonprofits that have operated in Arizona for at least five years may legally conduct raffles under the charitable exemption.
Under A.R.S. §13-3302(B), eligibility requires:
Newer nonprofits may still participate by partnering with an established nonprofit. RaffleGives supports partner-managed raffles where proceeds and responsibilities are shared transparently.
Arizona prohibits electronic gambling devices, automated slot-like systems, and any raffle that resembles casino gaming.
A.R.S. §13-3302 prohibits:
Unlike Nevada and some other states, Arizona is stricter about digital gambling representations. RaffleGives addresses this by using a secure randomization algorithm that does not resemble gambling devices and follows the requirements for charitable raffles.
Arizona requires raffles to use a fair, unbiased drawing method and prohibits mechanized gambling systems.
Arizona law emphasizes manual or software-based randomness that can be verified. Approved methods include:
RaffleGives uses a certified and transparent random selection system that assigns unique identifiers to each ticket and produces a fully auditable draw record. This ensures every ticket has an equal chance and that nonprofits can demonstrate fairness if questioned.
Nonprofits must maintain clear records of ticket sales, winner information, prize distribution, and total proceeds.
Arizona requires nonprofits to maintain complete financial records for every raffle. These include:
The Arizona Department of Gaming recommends maintaining records to demonstrate compliance and lawful operation. RaffleGives automatically records all data and provides downloadable reports.
To avoid being classified as illegal gambling, a raffle must follow Arizona’s nonprofit exemption guidelines and cannot operate for commercial or individual benefit.
A raffle is legal in Arizona when:
Nonprofits using RaffleGives meet these expectations by following the platform’s built-in compliance flow, which aligns with Arizona's charitable exemption requirements.
Common errors include failing to meet the five-year rule, using noncompliant digital tools, incomplete disclosures, and poor financial tracking.
Mistakes that lead to compliance issues include:
RaffleGives eliminates these risks through automated disclosures, compliant draw tools, and structured financial reporting.
RaffleGives includes state-specific settings, randomization controls, automated disclosures, and audit-ready reports to help nonprofits remain fully compliant.
Platform features that help Arizona nonprofits include:
RaffleGives ensures that nonprofits stay aligned with Arizona law at every step, even as legal requirements evolve.
Running online cash raffles in Arizona is fully legal when nonprofits follow state guidelines and use secure, compliant technology. RaffleGives provides the structure and automation nonprofits need to raise funds confidently, transparently, and with full legal protection.
Visit RaffleGives.com to begin your next Arizona raffle with complete confidence.