How to Start a Non-Profit

presented by the

This presentation was created in aneffort to support the National Urban

League’s agenda of Education andYouth Development, Economic

Empowerment, Health and Quality ofLife Empowerment, Civic Engagement

and Leadership Training.

Why Start a Non-Profit?

Types of Non-Profit?2014 Non­Profit Outlook

www.councilofnonprofits.org/

Fiscal Sponsorship

Fiscal sponsorship refers to the practice of non-profit organizations(fiscal sponsors) offering their legal and tax-exempt status to groupsengaged in activities related to the organization's missions. It typicallyinvolves a fee-based contractual arrangement between a project andan established non-profit.

May require an application determining if your project supports theorganizations mission.

www.fisccalsponsordirectory.org

Trust for Conservation Innovation (2003­09­29). "Fiscal Sponsorship: the state of a growing service" (PDF). 

Create a Mission StatementExamples: National Urban League - The mission of the Urban LeagueMovement is to enable African Americans to secure economic self-reliance, parity, power and civil rights.

CA Science Center - We aspire to stimulate curiosity and inspirescience learning in everyone by creating fun memorableexperiences, because we value science as an indispensable tool forunderstanding our world accessibility, inclusiveness, andenriching peoples's lives.

Drew CDC - Preparing the children of Watts-Willowbrook, Comptonand South Los Angeles to succeed and thereby strengthen ourcommunity's future.

Create a Non-Profit Name

1. Check to see if name is alreadytaken - kepler.sos.ca.gov

2.You can also request to reserve aname for 60 days

Who's on the Team?

Board of Directors / Advisory Board

At least 3 people you can trust

Someone who has moneyand/or is good with money

Marketing Professional

Someone who likes to write!!

Location. Location. Location

A business address is neededto start a non-profit. Not aP.O. Box.

Shared Work Spaces

Ask a friend who owns theirown business

Virtual Spaces with PhysicalAddresses

Create a Record Keeping System

Nonprofits are accountable tothe public, their funders(contributors), and, in someinstances, governmentgranting bodies.

Open a Bank Account

Accounting - Cash vs Accrual

By-lawsBylaws are your organization’s operating manual. They define:

- Size of the board and how it will function- Roles and duties of directors and officers-Rules and procedures for holding meetings, electing directors,and appointing officers- Conflict of interest policies and procedures- How grant monies will be distributed/dissolved- Other essential corporate governance matters

http://www.publiccounsel.org/tools/publications/files/Annotated_Bylaws.pdf

http://grantspace.org/tools/knowledge­base/Nonprofit­Management/Establishment/nonprofit­bylaws

Time to File!1. Articles of Incorporation of aNonprofit Public Benefit Corporation Form ARTS-PB-501(c)(3) - $30

2. EIN - Form SS-4 - Free- https://www.irs.gov/businesses/small-businesses-self-employed/how-to-apply-for-an-ein

3. Statement of Information - Form SI-100Initial Filing - $20 (No later than 90 days after filingArticles of IncorporationPeriodic Filing - $20 (Due 7 Months after filing Articlesof Incorporation

Time to File! (cont)4. Recognition of Exemption Under Section 501(c)(3) of

the Internal Revenue Code - Form 1023 EZ (online) - $275

- Pay. Gov and Create an account

- Directors Info - Name | Address | Title

-Website & Email - Look for an .org domain

- Organizational Structure - All the information from

the Articles of Incorporation

-NTEE Code - National Taxonomy of Exempt Entities

irs.gov/form1023ez

What's Next?Play the wait game!

-Build your network, team, resources, and

infrastructure!

-Spread the word!

-Build programming & partnerships!

-Search for grants and start writing!

Additional Resourcesfoundationcenter.org

grants.gov

sba.gov

grantspace.org

calfund.org

Los Angeles Urban League Entrepreneurship Center

Questions or Comments?