Posts by Jess Birken
How to Start a Nonprofit: A Practical Guide for Nonprofit Founders
If you’re here, I’m guessing you have the vision and passion to make a difference. Maybe it’s the lack of after-school programs, gaps in mental health services, or disappearing green spaces in your community. You’re ready to move beyond volunteering and create something permanent: a nonprofit organization that can accept tax-deductible donations, apply for grants,…
Read More501(c)(3) vs 501(c)(4) vs 501(c)(6): Which IRS Tax Exempt Status Is Right for You?
When most nonprofit founders think about getting their IRS tax exemption, they think about 501(c)(3) public charity status. (c)(3) status is often used interchangeably with “nonprofit” – but wait! Not every nonprofit can or should be a (c)(3). This decision is one of the key legal steps in forming a nonprofit. See The Legal Steps…
Read MoreCommon Mistakes When Applying for Nonprofit Tax-Exempt Status with the IRS
One of the most common problems nonprofit founders face is a mistake in their IRS tax exemption application. Whether the IRS asks for more information, misclassifies you into the wrong status, or flat-out rejects your application, these mistakes cost you time, money, and momentum in your nonprofit startup journey. Read this article to learn from…
Read MoreWhat to Include in Your Nonprofit Articles of Incorporation
If you’re reading this article, you’re probably a nonprofit founder getting ready to incorporate a new nonprofit corporation. Congrats, that’s exciting! As a lawyer for nonprofits, I’m going to let you in on the information I wish all founders knew before they filed their articles. This step is part of the broader formation process outlined…
Read MoreThe Legal Steps to Forming a Nonprofit and Securing 501(c)(3) Status
So, you want to start a nonprofit. That’s great!! This is an exciting time, and I’m sure you’re motivated to get this thing off the ground. But it takes only a couple of Google searches to find out that starting a nonprofit involves more than passion for your mission. Starting a nonprofit means navigating a…
Read MoreIs There a Nonprofit Founder Veto Power? Understanding Roles and Votes
Quick answer There is no such thing as nonprofit founder veto power. The founder or board president has no special or extra power over the nonprofit. Board decisions are made collectively, with each director holding one vote, regardless of title or founder status. Key takeaways Nonprofit boards act as a group Founders have one vote,…
Read MoreThree Nonprofit Committees Every Organization Needs
Nonprofits – let’s stop the committee madness! Whether you’re a brand-new nonprofit setting up your governance or an existing org with a million committees (Executive, Finance, Personnel, Development, Fundraising, Marketing, etc.) – this article is for you. Committees function within the board’s governance framework. For context, see Nonprofit Boards, Bylaws, and Policies. I see it…
Read MoreWhat is a Conflict of Interest Policy and Why Does your Nonprofit Need One?
We hear the term “conflict of interest” thrown around ALL the time. But what does that actually mean for a nonprofit? And why do you need a conflict of interest policy? Quick Summary Conflicts of interest aren’t a “bad” thing, but it does matter how nonprofits manage them. A conflict of interest happens when someone’s…
Read MoreBuilding Strong Nonprofit Governance: Boards, Bylaws, and Policies
Starting a nonprofit takes passion and drive. But it’s not just drafting mission statements and building relationships. To build something that lasts, you’ll also need to focus on the less glamorous but equally critical paperwork. Something that often gets overlooked by founders? Your nonprofit governance. The board structure, nonprofit bylaws, and policies and procedures aren’t…
Read MoreHow Do Nonprofits Make Money?
There are some BIG myths about the nonprofit world that derail founders on their journey to starting a charity. Here’s a big one: “Once we get our 501c(3) status, we’ll get funding!” I’m sorry to burst your bubble, but it’s just not that simple. Getting your IRS public charity status is an important step, but…
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