IDEA

First, you need to have an idea! I will be using TEO as an example for this step-by-step process. 

My idea was to build a platform that could work alongside CBOs (college-based organizations) to focus on student-oriented guides for any path they wish to pursue in the future. From here, I searched for a partner to work with because you cannot start a nonprofit with only one person. You need what is called a board (more than one person), as outlined by the IRS.

Additionally, having a partner or team can help alleviate the workload and hold you accountable, as your team will be tackling this project together.

IRS FORMS

The first thing you will need to file is an EIN (Employer Identification Number). This is a really easy form that takes around 5 to 10 minutes and can be filed online. This form serves as a code for you to be recognized as an organization and to proceed to other forms when filing for a nonprofit.

Link: https://www.irs.gov/businesses/small-businesses-self-employed/get-an-employer-identification-number 

Link: https://www.irs.gov/pub/irs-pdf/fss4.pdf  (SS-4 Form—This is like the EIN, but an in-person form application.)

Some difficult questions or terms will appear on these forms, so I will just include some further explanations:

Responsible Party: 

This is just who founded the organization, so the CEO, essentially. 

Legal Structure: 

These are the corporations that your organization will fall under:

• Sole Proprietor

• Corporation (This is if you are filed with the state)

• Partnership

• Other non-profit (This is most likely as a non-incorporated association, easy to form, based upon minimal contracts, and very CEO/board-oriented control)

Reason for applying:

This should be a simple statement explaining that you need an EIN to start your non-profit and create a bank account for your organization.

Principal Activity:

Why are you building this non-profit? In one or two sentences, talk about how you will help the community and a brief why. Make sure that your answer isn't about yourself

Number of Employees/Do you expect to pay wages?

The first answer should be 0 because you don't plan on a payout. A non-profit is comprised of volunteers; thus you should have 0 employees and no wages paid. 

Accounting Year

December is the general month all organizations use to mark the end of a financial year.

After filing your form, if it is approved, you will get a letter certifying your EIN in around 2 weeks or more. Make sure to save this original copy!

IMPLEMENTATIONS (High School + College)

BANK ACCOUNT

BUDGETING

TIPS

MORE COMING SOON!