Congratulations! You are interested in creating a nonprofit 501(c)(3) charitable organization. More power to you!
A nonprofit organization(NPO) can be established to advance a program and institution associated with the arts, culture, science, religion, social services, education, health and healthcare, children's and animal protection without a profit motive. Each one is founded to make lives better, rather than to make money.
NPOs are frequently begun by like-minded people coming together for the support of a cause that, at least potentially, has major social implications. They can also be formed for private causes, if they fulfill slightly different criteria under applicable laws. So planning is important.
The term 501(c)(3) refers to a provision of the Internal Revenue Code that deals with exemptions from income tax on the contributions received from individuals and corporations by the organization. In addition, donors receive tax deductions for their contributions. However, this tax exemption is available only to organizations pursuing a specified set of activities. Certain activities, such as political campaigning, influencing or lobbying for legislation, are excluded.
The good news is you don't have to struggle with the process of starting 501(c)(3) nonprofits. You should not have to. You are establishing a nonprofit to better this world, not to spend your time completing stacks of paper work.
Click here to fill out our Nonprofit Startup Readiness Form.
Click here to find out guide on How to Start a Nonprofit.
For further information we invite you to attend an ESCH seminar on Nonprofit Startup, which can be found online at ESCH Seminar Information and Schedules. "The Art of the Start-Up" seminar describes the legal steps to choose a nonprofit entity, the legal duties and responsibilities of the officers and directors in the management of a nonprofit, the business risks, entity formation documents, picking a name, obtaining a tax identification number, forms for governance such as bylaws, resolutions and preparing meeting minutes and meeting agendas. It will show you how to obtain and maintain a tax exempt status. Participants are directed to numerous resources that can help in all phases of starting up.
If you have already completed your 501(c)(3) application, you can also request a consultant to help you develop your financial plan by filling out a request for consulting assistance at Request for Assistance Form.
Starting a 501(c)(3) charitable organization has many pitfalls. Making your nonprofit succeed requires sound planning, and answers to many questions before your start. Let us help.
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