If you are following along at home and read last week's post, you’ve thought about your business structure. If you’re leaning toward organizing as a nonprofit entity, there’s an option you’ll want to consider -- fiscal sponsorship.
|Photo courtesy of www.sxc.hu|
According to the National Network of Fiscal Sponsors, “fiscal sponsorship means a nonprofit organization (the fiscal sponsor) agrees to provide administrative services and oversight to, and assume legal and financial responsibility for, the activities of groups or individuals engaged in work that furthers the fiscal sponsor’s mission.” In other words, you can leave the humdrum administrative and legal tasks up to the sponsor and get right to focusing on establishing your creative reuse center. And raising money. As the sponsor’s project, you will have the benefit of their tax exempt status. This means, right off the bat, you can offer tax exempt receipts for donations you receive from fans, friends, family, foundations and other folks.