How to Start a Nonprofit Corporation in Illinois

You can start a nonprofit corporation in Illinois for $75, using forms available online. You need an agent who is a resident of Illinois, but the main office doesn’t have to be there.

Instructions

Difficulty: Moderately Easy

1. Open your web browser and enter the website address of the Business Services homepage of the Illinois Secretary of State (SOS) at ‘http://www.cyberdriveillinois.com/departments/business_services/home.html’. From the center bullet list, select the sixth item ‘Corporate/LLC Search/Certificate in Good Standing’.
2. Click the text line below the first paragraph ‘Search in Real Time Corporate/LLC Search/Certificate in Good Standing’. Choose the first search type (Corporate and LLC) and ‘By Key Word.’ Enter the name you would like to have for your nonprofit corporation in the blank box and press ‘Search’. Repeat the search using the ‘By Name’ option, because the search engine is a little sketchy.
3. Confirm that the name you want is not similar to any currently registered Illinois corporations, then return to the Business Services homepage and click on the tenth bullet item, ‘Publications and Forms.’ Click on ‘Not-for-Profit Corporations,’ then select the fifth bullet item ‘Reservation or Transfer of Name.’ Fill out the form (NFP 104.10) on your computer, including your name and address and a brief statement of the purpose of the corporation. Print the form and mail it with a $25 check to the address at the top of the form.
4. Back up one webpage to the list of forms and select the fourth item ‘Articles of Incorporation.' It’s a good idea to also click on the second bullet item, ‘A Guide for Organizing NFP Corporations,' and print out the guide for reference. Fill in the form (NFP 102.10) on your computer, starting with the corporate name.
5. Enter your name as the agent and the business address you want to use, if you are an Illinois resident. If you are not a resident, enter the name of an Illinois corporation that has a purpose clause that allows it to be an agent for other corporations. This might be an accountant, a paralegal service or a registered business agent for example.
6. Fill in the names and addresses of at least three people to be directors. These people can be friends or relatives, and don’t have to be Illinois residents. Be sure to name people that agree to be directors before you submit the form.
7. Enter a complete description of the purposes of the corporation in Article 4. Include language that will identify the tax-exempt nature of the corporation that satisfies the requirements of the U.S. Internal Revenue Code 501(c) or 501(d). Additional language about tax exempt status can also be entered in Article 5. Check the boxes dealing with condominium, cooperative housing and homeowner’s associations.
8. Print out the form and sign your name as incorporator either as an individual or as an officer of the corporation. Mail the form with a $50 check to the SOS at the address listed on the top of the form. The form can be processed within 24 hours if you submit the form in person in Springfield or Chicago and pay an additional $25 fee.

Tips & Warnings

• Another way to search for corporate name availability is by calling the Illinois SOS at 217-782-9520 and requesting a corporate name search.