ALL THE INFO YOU NEED TO START YOUR OWN NONPROFIT ORGANIZATION

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Starting a nonprofit lets you give back to your community while supporting a cause you're passionate about, like the environment. Setting up a legally recognized nonprofit requires careful planning. There are resources available to help; discover more tips below, presented by SBA Funding Depot.

Plan and Register Your Nonprofit

A nonprofit is a legally recognized business entity that may be exempt from taxation if you properly register it with the relevant authorities.

●     Conceptualize a nonprofit business model that meets a defined need in your community. Perform a needs assessment to ensure the idea is viable.

●     Write a formal business plan, including your nonprofit's mission statement, how it will be run, and what goals it will achieve. You can find business plan templates online.

●     Formally incorporate your nonprofit with the relevant state and apply to the Internal Revenue Service for tax-exempt status.

●     If you plan to register as an LLC, you’ll need a registered agent to act as a go-between. You can hire a service to help, but remember to look into Georgia registered agent LLC reviews before hiring anyone.

Set Up Logistics Needed for Daily Operations

Running a nonprofit is like running a business. You want to have the tools and processes in place to maintain streamlined operations.

●     You'll need a reliable team to manage donations, organize charitable initiatives, and handle basic administration. Recruit the team you need.

●     Give your team the tools they need to stay on top of nonprofit business, like Benchmark Email for sending campaigns and Buffer for social media management.

●     Volunteers can further support your nonprofit's day-to-day operations. Start campaigning for helpful do-gooders in your area.

●     Many nonprofits rely on donors to get the funds they need to provide charitable goods and services. Sketch out a plan for how to attract donors.

●     Grants are another way to get the funding you need. Research local, state and federal grants that may fit with your mission.

Maintain Nonprofit Reporting Requirements

To maintain your nonprofit's tax-exempt status, you will have to meet stringent fiscal responsibility and reporting requirements.

●     Implement an accounting tool to keep track of nonprofit expenses and income. Time-saving software for invoicing like QuickBooks cuts out the headache of spending an inordinate amount of time and effort on administrative tasks. For example, batch invoicing software for your business can simplify bill payments by managing multiple invoices at a time, which will be useful for audits.

●     Understand the do's and dont's of maintaining tax-exempt status. For example, tax-exempt nonprofits are not permitted to participate in political activity.

●     File an annual information return with the IRS to meet your federal filing requirement.

Starting a nonprofit is an exciting step. However, it also requires detailed attention to paperwork, regulations, and administration. Luckily, there are many resources available to guide you through the process.