What you need to know about starting a Non-Profit Organization

Ready, Set, Go!

Starting a non-profit is a great way to impact the world in a positive way. Whether you’re a seasoned business owner or you’re new to entrepreneurship — launching a non-profit can seem a little complicated. Tax-exempt organizations have to follow particular procedures when it comes to business formation, raising funds, and annual reporting.

Make sure you’re properly prepared!

In addition to the tips below, LKNConnect supports non-profit organizations with a free business listing in our guide so you can get an idea of the non-profits in our area.

Click on the image above to view LKNConnect’s Guide to Local Non-Profit Organizations

How to Run a Business

To be a great business owner, you need to possess an in-depth understanding of business best practices. Here are some resources to help you learn the ropes.

Click on the image above for LKNConnect’s Financial Services Guide

Forming a Non-Profit Corporation

Forming a nonprofit involves choosing a unique business name, reviewing your state filing requirements, and establishing company bylaws.

  • Choose a business name that describes what your non-profit does.
  • Learn about the specific filing requirements for non-profits.
  • Determine whether you need to register your non-profit as an LLC. An online formation service can help you get set up.
  • Create non-profit bylaws to supplement state laws and guide the operations of your new nonprofit.
This paperwork can be complicated, there are professionals who can help you.

Non-Profit Reporting Requirements

To maintain your non-profit status, you will need to satisfy federal and state filing requirements every year.

  • You will have to file form 990 every year to keep your tax-exempt status.
  • Small non-profits are typically able to submit Form 990-N online to fulfill their annual reporting requirements.
  • Make sure you also report any unrelated business taxable income (UBTI) to the IRS.
  • Always maintain good records and board meeting minutes, in case you get audited.

As a non-profit you may qualify for grants in addition to fundraising

Click on the image below to read more about why you might need a professional grant writer.

Are you ready to become a nonprofit business owner?

If you’re driven by the need for social, cultural, economic, or environmental change, launching a nonprofit can be very exciting. Take the time to learn your way around nonprofits and how they operate to ensure your success!

Click on the image above to see LKNConnect’s feature articles about non-profit organizations.
Article by Shirley Martin
Photos courtesy Pixabay.com

“Shirley turned her neat-freak personality into a business when she became a home organizer. When she isn’t busy working her magic on homes in need of her special touch, she is sharing helpful tips on her site, Tidy Life Today.”

The views, thoughts and opinions expressed by our writers belong solely to them
and do not represent LKNConnect.com, its publisher or its staff.

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