How to Set Up a Non-Profit Group
Compared to profit groups that distribute their profits to their owners, non-profit groups use their profits to advance their programs. Charitable organizations, educational organizations and social clubs are examples of non-profit groups that use their profits to advance their programs in order to help and benefit the members of the groups. If you feel like you can help other people, such as the community or the public at large, then consider starting a non-profit group to help contribute your ideas to others.
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Instructions
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Start with a mission statement. A mission statement should describe the overall purpose of the organization. It should answer the question, "Why does this organization exist?" By understanding the type of services the non-profit group will provide to people, it will give a general sense of direction as to how you will set up the organization of your non-profit group.
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Identify a name for your non-profit group. If you have members in your group already, you may want to each brainstorm a few names names that suit your organization mission statement. Visit the Division of Corporations' section at the Secretary of State's office Website to do a name search there and confirm organization name.
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Contact a local attorney to incorporate your organization's name and guide you through the process, as well as help you file your articles or incorporation and review your non-profit group's personal policies. Fees for hiring a lawyer will vary depending on the state.
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Select the board members of your non-profit group. Typical board members include the president, vice president, secretary and treasurer. Define the responsibilities and tasks for each board member. Discuss how long meetings will be, when they will take place and what actions need to be performed outside the meetings.
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Obtain a employer identification number from the IRS. Visit the IRS.gov website and type in "employer identification number" in the search bar. It will show you different ways to apply for an EIN. Select the method that is most suitable for you.
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Open a bank account under your non-profit group's name. Establish check signing procedures and other finance work to one of the board members. One one of the staff members should receive and tally your group's funds. Another board member should be responsible for taking the funds to the bank and depositing it.
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Begin researching and applying for grants. Start fundraising, build relationships with local businesses, develop a staff of volunteers and make an impact in your community by following your group's mission statement.
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References
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