“So you want to start a nonprofit?” This is a question I’ve been asking a few times a month as I meet with people interested in creating change through a mission-driven organization. I leave these meetings feeling rejuvenated, excited and inspired by the innovative ideas that are coming forward in our corner of the world.
There is a perception that becoming a nonprofit is “hard.” I challenge the startups I work with to throw that idea out the door. With the release of the 1023 EZ, small nonprofits are able to file for 501c3 status with a three-page form. According to the IRS, almost 70% of applicants qualify for the EZ version of the form. For many organizations, gone are the days of five-year financial projections, descriptions of programs and services, and other questions that the long form asks. Want to see what I mean? Check out the 1023 EZ form.
For those organizations that aren’t eligible for the 1023 EZ, the long form asks more in-depth questions, but these are things you need to be able to answer as you charge forward with a solid plan for your large organization.
How do you know if you qualify for the 1023 EZ? Scroll through to page 13 of this instruction booklet that will help you determine which form is for you!
Do you have a big idea for a nonprofit in the Upper Peninsula of Michigan? Let’s chat! Email email@example.com to set up a free consultation.