Top Ten Questions

What
kind of non-profit organizations are there?

There are several classifications. I’ve
posted the list here. Most people think that all nonprofit organizations are tax
exempt organizations, but they are not. This list will help you to identify the
classification for organizations that are tax exempt. 

What
steps should I take in starting a nonprofit organization?

Nonprofit Connectors was created to
answer this very need. We hope that you find tools, resources, and answers to
help you get your nonprofit started within this website. If you don’t see it
here, please contact us directly via email: info at nonprofitconnectors dot com. We also have Free Office Hours
every Wednesday from 10am -11:30am (Eastern Time Zone). You MUST set an
appointment. Feel free to do so today!

What
forms and documents do I need to file?

It is highly recommended that you first
check with the IRS website to make sure you know what nonprofit entity you are creating, and what
the requirements are from IRS’s point of view. Then your state may have additional
documents, or registries you’ll need to join, to establish the validity of your
nonprofit organization.

Do
I need a lawyer? An accountant? Any other special advisor?

Here is a straight simple answer: No
you do not need an attorney to start a nonprofit. However, you will be well
advised to have an attorney and an accountant that you can contact when you
have questions, especially if you’re creating your nonprofit on your own. Another
great resource to have is a membership with your local nonprofit office so you
can take advantage of classes and staff for additional resources and support.

Do
I need to register with other states if I receive money from someone in another
state?

It is not necessary for you to
register in that state just for a contribution. However, if you plan to have a
fundraiser in another state, then you will want to contact the Department of
Assessment and Taxation in that state to register your nonprofit organization. This
will ensure that when people call to verify that you are a bona fide charity,
it will be confirmed.

Can
I get funding for my nonprofit organization? Are there any grants available?

There are many funding sources and
great resources for finding them. The first place you should go to look for
funding sources is your local library. The librarian will be able to direct you
to several resources in the branch, as well as online. Another outstanding
resource is the Foundation Center. If you are fortunate to live in a state that has one (New York, DC, Cleveland, Atlanta,
or San Francisco), go there first! Otherwise you can access information from
them online.

How
do I go about soliciting donations?

It is very import that you handle this
process properly, as it will affect more people than just your organization.
You can only receive tax-free donations after you have received your 501c3
status from IRS. If you have donors clamoring at your door to make tax-free
donations, then you’ll need a fiscal sponsor. (Check out this post for
resources.)

Why
do I need a board of directors, and how do I find them?

Here is another very simple answer, you
have a public charity, and that requires a representation of the public to
govern it. So, your board is a sampling of the general public, the target
market group for your nonprofit organization, and usually the key person(s) that
started the nonprofit in the first place. 

You can find board members by
advertising, referrals from other board members, board search firms, and a
variety of other places. You need to be clear about what skill-sets you would
like to have present on the board (i.e.: legal, financial, technological, marketing,
etc.). A great online tool for searching for potential board members is
Boardnet USA. 

Do
I need to incorporate my nonprofit organization?

IRS says yes! It is part of your
nonprofit organizations foundational documents. Also, I would think for
liability purpose, and because it is a public entity, it should be incorporated
from a good business standpoint.

How
do I find out more information?

Nonprofit
Connectors would love to help you get started. Therefore, we have created Free
Office Hours on Wednesdays from 10am to 11:30am (Eastern Time Zone). You can
schedule a 15-minute individual call by emailing:  info at
nonprofitconnectors dot com.  Otherwise,
check out the Links of Interest page on this site for other resources in
various areas of starting a nonprofit.

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