Starting a nonprofit organization can be an amazing experience for entrepreneurs who wish to make a positive change in the world.
Building a successful nonprofit requires a distinct set of skills and competencies, however, it is not vastly different from starting a for-profit business.
Here, you will find 10 steps that will help you in starting a non-profit organization
2. There are over 1.5 million non-
profit organizations in the
United States.
Public charities are the largest
sector, accounting for 70% of
the market and over $3 trillion
in assets.
3. Starting a nonprofit organization can be an amazing experience for entrepreneurs who
wish to make a positive change in the world.
Building a successful nonprofit requires a distinct set of skills and competencies, however,
it is not vastly different from starting a for-profit business.
4. Below, you will
find 10 steps that will
help you in starting a
non-profit
organization
6. Before starting out, you will need
to identify and quantify the need
for your specific organization.
Research whether there are other
groups already engaged in the
same or similar work, and ensure
that starting a new nonprofit is the
right solution.
Do Your Research
7. The mission statement is a
concise expression that covers in
one or two sentences the name of
the organization, what it does, for
whom it performs services and
where it dispenses service.
A nonprofit organization’s goal is
to accomplish this mission
through its services, purpose and
vision.
Have A Clearly Defined Mission
8. Create a Business Plan
Since a non-profit is simply another
version of a for-profit business, you’ll
need to develop a strategic business plan
to:
Fulfill your mission and reach your goals
Fundraise (grants, institutions, friends,
family, etc.)
Recruit volunteers and board members
Develop a roadmap for your team
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9. Develop a Budget
A well-planned budget focuses on
the primary goals and objectives
of the organization and provides
financial and programmatic
adaptability — key ingredients to
maximize sustainability.
10. Develop a Fundraising Plan
It is important to develop funding from a mix of individual and institutional
sources, as well as earned income generated from special events, products,
services and membership fees. No organization can finance its work
successfully from any one source.
11. Assemble a Board
of Directors
An active, involved board
made up of committed people
is essential. The board
should include those that
share in your mission and
also those that have great
connections and experience
to guide the organization.
12. Create Bylaws
Bylaws define how a nonprofit organization will be managed and how it will run. They
determine which staff and board members have authority and decision-making
responsibilities and how those responsibilities should be carried out. They also aid in
resolving internal disputes.
13. File Your Non-Profit
Be sure to incorporate your organization properly:
Federal Level- Secure your tax exempt status from the federal government.
State level- Complete the state forms with the help of a lawyer to help file
your articles of incorporation
14. Register to Raise Money
If your nonprofit intends to solicit the public for donations, the organization must
register as a charitable solicitor in many states. Obtain forms from the attorney
general, secretary of state or other appropriate agency.
15. Begin the Fundraising Process
A common pitfall is that founders don't realize
the importance of fundraising and as a startup
nonprofit with no track record, fundraising can
be tough. However, this can be overcome by
having documentation on how well the nonprofit
is meeting its goals.
16. Here are the 10 Steps to Help You Start a Nonprofit
Begin the
fundraising
process
Do your
research
Have a
clearly
defined
mission
Create a
business
plan
Develop a
budget
Develop a
fundraising
plan
Assemble a
Board of
Directors
Create
bylaws
File your
non-profit
Register to
raise money