A nonprofit organization is an organization which uses profits to help further the organization’s mission and goals. A nonprofit does not have shareholders, nor does it sell stock. Most government organizations, charities and public arts organizations are nonprofits, as such; they are exempt from paying certain taxes to local, state and federal governments.
The “Must Haves” of a Nonprofit
There are five things necessary when beginning to plan a successful nonprofit. They are: a clear mission, high-quality programs and services, reliable revenue, clear and transparent accountability, and facilities that can accommodate goals of the nonprofit venture. These things must be in place, or planned for, when applying for funding and revenue.
Before your nonprofit can open its doors, there are a few legal and accounting details which must be completed. These include: filing articles of incorporation, filing with the IRS and registering with the state if you plan to conduct charity fund-raisers. While a nonprofit does not require the assistance of an attorney to do these things, it is suggested that an attorney be retained to help the business organizers navigate the paperwork and government offices required for a successful start-up. Add a comment