Money Back Guarantee: Ramaswamy Rewards Grassroots Fundraisers

Vivek Ramaswamy, a Republican presidential candidate, is introducing an innovative addition to his grassroots fundraising operation by reimbursing his supporters with a portion of their campaign contributions.

Ramaswamy, an entrepreneur who has primarily funded his own unconventional run for the 2024 nomination, presents this new initiative as a means to “democratize political fundraising.” Additionally, it has the potential to reduce the average donation size for Ramaswamy, which is an important factor for candidates aiming to showcase widespread support from grassroots voters rather than affluent donors.

Ramaswamy’s campaign has already garnered over 60,000 donors, surpassing the 40,000-donor requirement to participate in the Republican presidential debate scheduled for August 23.

The program, known as “Vivek’s Kitchen Cabinet,” offers participants a 10% commission based on the total amount they raise for Ramaswamy’s White House bid. Supporters will receive a unique fundraising link to share with potential donors and can monitor their progress through a personalized dashboard provided by the campaign.

The campaign also pledges “special awards,” including a personal call with Ramaswamy and exclusive event invitations.

Upon signing up for the program, participants will be contacted by an independent background checking agency to ensure eligibility. Ramaswamy’s campaign has not yet disclosed the specific agency responsible for conducting these checks.

The campaign asserts that the program has received approval from the Federal Election Commission. However, some campaign finance experts raise ethical concerns regarding the introduced incentives.

As of the end of March, Ramaswamy, 37, had loaned and contributed over $10.5 million to his campaign.

Brendan Fischer, a campaign finance expert at Documented, expressed his disbelief, stating that he has “never seen anything like this.” However, he acknowledged that the program does not appear to violate any obvious legal regulations and seems to resemble a traditional relationship between campaigns and professional fundraisers.

Fischer anticipates that the campaign’s future FEC filings will reflect some of the payments as the participants are treated as independent contractors. In an interview, Dan Weiner, director of the Brennan Center’s Elections and Government Program, questioned whether the campaign will inform participants that their names may be disclosed as vendors.

Bundling, the practice of soliciting groups of donors for campaign contributions, is common in fundraising efforts. Nevertheless, Ramaswamy’s program appears poised to expand this practice beyond the typical network of wealthy or well-connected individuals.

Ramaswamy addressed this issue in a social media video, expressing his disapproval of the existing system. He believes that while he dislikes the current setup, if it persists, it should be democratized and made accessible for everyone to earn money.