Articles of Incorporation Are Simple, Right?

To become a 501(c)(3), an organization must incorporate in the state where its principle office is. This means submitting Articles of Incorporation to the state and paying a fee. Each state provides a form that proscribes what must be included in the Articles – the name of the organization, address,...Read More »

What Is The Difference Between Incorporation and 501(c)(3) Status

It is easy to become confused by the difference between being an incorporated nonprofit organization and a tax-exempt nonprofit. Incorporation happens at the state level. When a group decides to form a nonprofit, one of the first steps is to incorporate as a nonprofit corporation in the state where the nonprofit’s...Read More »

What Is a 501(c)(6)?

Several people have recently asked me if I help with setting up a 501(c)(6). The answer is yes. The IRS recognizes 32 different 501 categories. 501(c)(6)s are organizations that focus on economic development, such as Chambers of Commerce and business leagues. 501(c)(7)s are social and recreation clubs. 501(c)(3)s are defined...Read More »

What Does It Cost To Start A Nonprofit?

There are three main costs when starting a nonprofit. One, the IRS charges an application fee of $400 for an on line application. Most new organizations qualify for this type of application.  Two, Incorporation fees vary from $25 to $200 depending on what state you in. And three, hiring a...Read More »

What's In A Name?

I am sometimes asked if a nonprofit can prevent other organizations from using their name. States do not allow corporations to have the same name, so once you have incorporated in your state, no one else can use that name in your state. The IRS, however, allows 501(c)(3) nonprofits to...Read More »

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