can you give some advice?
how long did it take?
where did you estb it?
do you already have ur board set up?

what are the most challenging parts of starting one?

>how long did it take?

Still working on it. The big decision is whether or not it should be for profit or nonprofit. Economics (funding streams) has a lot to do with it. One of the major challenges for nonprofits is finding funding. After we incorporated, the funding situation was hot for a quick minute (year or so) and then it wasn't. You have to plan for that.

>where did you estb it?

MA even though the board members were from all over the country.

>what are the most challenging parts of starting one?

Engaging a board that is not local, sees each other a couple of times (or less) per year. I didn't submit the completed 501(c)3, yet, because I am trying to decide whether or not to be nonprofit.

Can you speak more about the funding aspect as well.

Thanks

"Exploring literacy, community building and youth development through the use of the arts and computer technology." - from http://dayprogram.net/

Actually, the organization's mission is larger, linking new media, art & communities.

Fundraising is a fact of life for nonprofits who seldom see income from their member-base, esp. grassroots. Recently, I've been at two really successful annual benefits for nonprofits in New York City and Boston. One was about literacy and the other serves food to the down and out through restaurant contributions. Here are a few ways nonprofits can generate $$$:

Annual benefits/events
Membership dues
Conferences
Individual giving
Auctions
Grants

Annual benefits are “watershed” events that provide the dollars critical to the org's mission. These events are usually much more than fundraising. It is a celebration the org's efforts to serve it's constituents. They give your supporters the opportunity to get together.

Membership dues are common but the trick is how much to charge members. Usually this is done on a sliding scale.

Conferences can sometimes generate dollars but it depends on whether or not you can get space and other resources in-kind.

Individual giving is becoming more common. Usually drives occur right before major holidays or tax time when people can get a tax write off for their contributions. Sometimes orgs ask for funds in connection with an event such as a walk-a-thon.

Auctions are good. Last month, I saw a nonprofit raise close to two thirds their annual budget in one night. The silent auction was tied into the annual benefit.

I put grants last because although they can bring in more money at one time they are usually marked for a specifc program or project. Seldom can orgs use grants for general operating expenses...unless it's in connection with a specific program or project. Some nonprofits get into trouble when they put too much focus on getting grants and not diversifying their funding sources. They have loads of grants for projects and none for general operating. The other challenge is not chasing after money for a specific purpose that does not align with the org's purpose. Orgs should stay focused on their missions.

Finally, it's good to have a funding strategy or plan that is tied into development, marketing, outreach, etc. Orgs should build a donor base/database and timeline for moving forward with a plan.

The most frustrating and necessary part of the fundraising is to reach to people that can give more than $25. It's just the reality of the matter.

passion in your Heart...figure out a way to test your resolve regarding financing a project with little or nothing----------in case you find that not very many folk will seek to support/invest in, your cause. If you think you can weather that veracious 'solo flight' then-----you're good and ready!

Its non-profit, so, you make it whatever YOU WANT IT to be...as long as its clear concise and allows for those who esteem it, to easily see how resources are being utilized.

good luck with it

Ive been thinking of posting on this topic for awhile,
but I just never did.

The hardest part is the whole legal aspect of it (setting it up and the 501 (c) (3) status).
If you don't have the money, you need to find attorneys that do pro-bono work

In regards to the board, which is part of the setting up process, You need to find people that share the same ideas with you, and are willing to put some work in it. Also the board memeber names bring credentials to your organization, which is extremely important in the fundraisisng part.

That's what I've heard from people who've done this.
Once you have it up, then it's just work

and why would i need a lawyer?
i have a book on how to start a nfp here in cali, but its dense reading and i havent gotten that far yet

The 501 under IRS code gives your non-profit sort of the non-profit status taxes wise. If you raise money for your office group and for the cause you want to serve, or for the services you provide, 501 (c) (3) gives you the tax exempt status.
I will get an attorney just beacause it's too much work to set it up, and it ain't easy to get the tax exempt status.
Also, it's not a bad idea to get an attorney , again pro bono, if you are small, because sometimes you might need advices in certain situations you might run into. At least, this is what I will do.

see im wondering if i should get non for profit status or just be a profit company. the main reason i wanted to do nfp was for the grants.

my biggest dilema is, i want to be able to have a salary, but still be able to run my non for profit. like, can founders still pay themselves a salary to survive?

I guess is something a lot of us want.
Iwant to make a decent living and might as well do it from something that I really care.Founders of non profit are also executive directors who receive a salary from the fundraising efforts that they do
I don't think I have all of the answers, also I have to study a little more about the exact status of non profit.
Plus the non profit organizations range from small community groups to home care agencies and insurance companies

But props to you on your desire to do this

i want to model myself after two already established nfp
www.stelmovillage.org (i had a show here last year)
and www.redclayarts.org

... for economic elites. that's why every millionaire and millionaire+ has at least one

«SiG»
“Stand out firmly for Justice as witness before God, even against yourselves, against your kin and against your parents, against people who are rich or poor. Do not follow your inclinations or desires lest you deviate from Justice."
-Qur’an 4:135

I don't doubt that at all
That's the case with an insurance company in my state that brings millions in profit. It became a monopoly basically.

But also it's possible for small groups to do some work. Advocacy groups which are citizen and community oriented are also benefiting from the non profit status.
An idea or desire to help others it's not enough to make an impact. Fundraising to put a plan in practice is fundamental

... to read thru their docs. probably the hardest thing is figuring out the technical jargon you should use for your article of incorporation.

i suggest you look @ the AoI's of other non-profits doing similar work and use it as a skeleton... they generally share generic content to a degree


«SiG»
“Stand out firmly for Justice as witness before God, even against yourselves, against your kin and against your parents, against people who are rich or poor. Do not follow your inclinations or desires lest you deviate from Justice."
-Qur’an 4:135

>If you don't have the money, you need to find attorneys that
>do pro-bono work

Yep. Thanks to Harvard Law School I got a good deal of legal advice pro-bono and they helped us with the 501(c)3, articles of incorporation, and creating a site agreement.

Yep, it is. Sometimes it requires a little bit of researching to find someone to help. And a lot of times it takes just asking and being persistent.