Frequently Asked Questions About Starting a Nonprofit Organization

Nonprofits are business entities so they need an EIN, or Employer Identification Number. The EIN is easily obtained from the IRS.

Do you have to report changes to your mission statement or your nonprofit's name to the IRS? A nonprofit lawyer provides an answer.

There are more informal nonprofit organization than you might think. They are often called unincorporated nonprofit associations.

Are all nonprofits tax-exempt? No, they are not.

Avoid these common mistakes of nonprofit startups.

That depends on what kind of nonprofit your organization is.

A Faith-based organization (FBO) is not a legally defined term but it is often used to refer to religious organizations and other charitable organizations. affiliated or identified with one or more religious organizations.

Why does the IRS take so long to approve the application for a nonprofit?

Some national nonprofits simply link with already existing local nonprofits, while others have licensing agreements.

I want to set up a nonprofit organization. Can a nonprofit pay its staff?

Are the services that I offer through my nonprofit required to be free?

In order to receive a tax-exemption dating from the time of your incorporation, you need to file IRS Form 1023 within 27 months of your incorporation.

An organization that is exempt from federal income tax, as described in Internal Revenue Code 501(c)(3), is required to report changes to its bylaws.

Bylaws are the rules that govern the internal management of an organization.

One of the first steps toward incorporating as a nonprofit organization is filing articles of incorporation with your state office.

Many nonprofits do not need to apply for 501(c)(3) status. Here are two questions to ask yourself before you go through the arduous process of applying....

Usually, nonprofit pay is far from excessive, but sometimes organizations do get into trouble because a staff member, usually the CEO or Executive Director, is being paid too much.

It's the last thing you want to do, but sometimes it's better to close your nonprofit. Here are the steps you should take.

Generally, it is not a good idea to have a paid staff member on the board and may even be limited by your state's nonprofit laws.

The corporation should be incorporated somewhere that is connected to its activities. Consider where the board members reside, where funds are raised, and where events are held.

Can the board members of a nonprofit be held personally liable for debts should the nonprofit fail?