Starting a Nonprofit
Steps to Starting a Nonprofit
Starting a nonprofit corporation can be a challenging process.
The good news is that you don’t have to go-it-alone. We are here to help. Contact us if you could use assistance. We can complete all of your required paperwork or enroll you in guided training where you DIY (do it yourself)!
1. Choose a Relevant Name
Make sure to check the state-by-state information on the various laws that apply to naming a nonprofit in your state.
2. Assemble a Board of Directors
Select a diverse board of directors (people) that are passionate about the nonprofit mission and have the time and resources to commit to the organization.
3. Draft your Bylaws
Draft your bylaws with guidance from your Board of Directors. These are the operating rules for your nonprofit.
4. Form a Nonprofit Corporation
Nonprofit corporations are formed at the state level. Contact your Secretary of State (or Department of State) to form the corporation in accordance with current state laws. There are fees associated with forming a nonprofit corporation that varies from state to state.
5. Obtain your EIN
An Employer Identification Number (EIN) is issued for the purpose of tax administration. If you believe your organization qualifies for tax exempt status (whether or not you have a requirement to apply for a formal ruling), be sure your organization is formed legally before you apply for an EIN.
6. Hold your first meeting to adopt your Bylaws
According to most State Nonprofit Corporation Acts, nonprofit corporations must hold their first meeting of the Board of Directors within 30 days of the date of its incorporation. During the first meeting of the board, bylaws are adopted and board members are elected to their positions.
7. Complete IRS Form 1023 to apply for your Federal Tax-Exemption
Nonprofit corporations that plan to solicit charitable contributions and grants usually apply for tax exemption first. Section 501(c)(3) is the portion of the US Internal Revenue Code that allows for federal tax exemption of nonprofit organizations. There are many variables associated with becoming a 501(c)(3) organization including qualifying under 1 of 8 charitable purposes including: Charitable, Religious, Educational, Scientific, Literary, Testing for public safety, Fostering national or international amateur sports competition, and Preventing cruelty to children or animals.
Benefits of Starting a Nonprofit
Would you like to start AND position your nonprofit for funding?
The Community Heroes Academy offers the best of DIY tools, plus expert guidance to do just that!
The Community Heroes Academy was developed out of an urgent need to support the pre-startup, newly formed, and small nonprofit founders and board members. Your first few years as a nonprofit organization can be challenging without proper guidance and support.
Most nonprofit founders are not independently wealthy. Instead, if you are like most of the founders that we’ve worked with, you are likely exploring options to leave your current job (or you have already left), and you are looking for an affordable way to learn what you need to learn so that you can get funded and further your mission.
Here’s where we can help!
When you join Community Heroes Academy, for a small annual fee, you’ll get access to all of the features below, and more!
We offer growing library of training classes that are LIVE and On-Demand. Each training was designed with 1 goal in mind: To help the new and small nonprofits position themselves for funding and sustainability.