Everyone comes in this world and leads their lives but noble are
those who live in the hearts of people and inscribe their names in the
sands of time for eternity. Filled with zeal of serving mankind many of
us think to start a nonprofit organization. But what one does not know
is how hectic this could be if you do not have proper guidance. Your
noble intentions aren’t sufficient for starting an organization. The
main issue is to prove your worth and have adequate fund raising.
Convincing people to give their personal money on non profitable
business isn’t easy. If you are good in public relations then only you
can survive. And of course you cannot escape from loads of paper work.
So, if you are ready to battle all these hindrances then go ahead. Most
people are curious to know how to start a nonprofit organization.
Here are some guidelines to start a nonprofit organization:
The first and the foremost thing you should keep in mind is what exactly
you mean by a nonprofit organization:
COMPREHENDING WHAT IS A NONPROFIT ORGANIZATION
It is an organization whose sole objective is public interest. It thinks
of mankind before all .They are concerned with the benefit of public for
non commercial purposes. They are the vital part of a society, aiding
the poor and needy in all perspective. So, if you want to develop such
organization you need to have a mission statement. Now let’s discuss how
we can accomplish a good mission statement.
MISSION STATEMENT
It is the nucleus of our organization. This statement should revolve
around the purpose of establishment. It should describe your clients the
services you can offer to them. A good mission statement should answer
Who are your clients?
What are the services being rendered?
What image you want to portray of your organization?
What are your plans for fund raising?
How you will utilize the available resources?
A good mission helps in focusing your energy on your goals. It does not allow your thoughts to be drifted. Review your mission statement frequently and welcome new ideas in it to serve your clients more efficiently. It helps to keep in pace with fast moving world.
ESTABLISH BOARD OF DIRECTORS
The board of director should be chosen on the basis of required
qualification for the organization. They should be skilled in their
respective fields. They must have experience to tackle all kinds of
situations. The number of people may vary according to the need of the
corporate but a minimum of three is usually required in most states.
FILE ARTICLE OF INCORPORATION
Article of incorporation is an authentic statement about the creation of
your organization. It should be submitted after the approval of all the
board members. It legalizes your organization and describes the power of
the board of directors. It saves the staff and board from the legal
liabilities.
GET A BANK ACCOUNT
A bank account should be obtained only for the organization. Select a
bank which can understand the requirement of nonprofit organization.
This account should not be merged with your private accounts. All the
donations should be submitted in this account and the expenditures
should be listed.
HIRE AN ACCOUNTANT
Since the organization is accountable for its expenses to various donors
and sometimes to the government bodies even, it is better to have an
accountant who is familiar with managing nonprofit accounts. This helps
in maintaining a proper check and balance system.
APPOINT A LAWYER
It is suggested to get a lawyer who can give advices in the legal
issues. Although you can do much of the work yourself like getting
incorporated and text exemption requests, but it is always preferred to
have a second opinion by a professional lawyer who understands the
complications of nonprofit organizations. The lawyer may also help you
in the submission of other reports and filings.
ACQUIRE FEDERAL EMPLOYER IDENTIFICATION NUMBER
Federal employer identification number- also known as federal ID number
is available from IRS. They help in identification when tax documents
are submitted.
LOCAL TAX EXEMPTION SUBMISSION
Apply for all tax exemptions (sales income, property taxes) in
accordance with your country law. Department of Revenue of your country
should be contacted for this purpose.
MAINTAINING A BUDGET
Proper budget should be maintained. It is a difficult task but while
doing so the aims of the organization should be kept in mind and only
relevant expenditures should be done. You should look out for potential
income sources.
FUND RAISING
It’s the most difficult task of all. The organization should plan
various events occasionally for fund raising. Marathons and other fund
raising plans should be designed. Help should be taken from proper
public dealing officers and marketing managers.
GET FISCAL SPONSORSHIP
In case you have insufficient budget seek help from another nonprofit
organization. This will be your fiscal sponsor. You can also have this
sponsorship if you have insufficient skills.
I hope you have gathered enough pointers to start and manage the
nonprofit organization very well. Proper management is the key to
success and if you can accomplish that then you are not far from the
top.
.
