Laying out the steps for starting a charity from scratch
June 7, 2007 | Read Time: 3 minutes
Q: I am interested in starting a Christian nonprofit organization that assists the parents of children with disabilities, as well as focusing on foster and newly adopted children. I have a graduate degree in school psychology but have no experience in running an organization. What steps do I need to take to get my organization up and running?
A: Before anything else, make sure that other organizations aren’t already providing the service you intend to provide and, more important, that a demand exists for the service, says Kate Atwood, founder of Kate’s Club, a nonprofit organization in Atlanta that provides programs for children who have lost a parent or sibling.
Genevieve Piturro, founder of Pajama Program, a charity in New York that provides pajamas and books to children in foster homes, orphanages, and homeless shelters, also suggests spending time with those you want to help. Volunteer experiences before she started her charity several years ago helped her learn more about children’s needs — and, she says, helped her focus her mission: “I felt that people would want to help and support my work if I could clearly and briefly tell them what my purpose was.”
Charles Bender, founding executive director of Place of Hope, a foster-care facility in Palm Beach Gardens, Fla., recommends setting up meetings with any founders of child-welfare charities in your area who may be able to offer you some start-up advice as well.
If you decide to forge ahead with your plans, start by registering your organization with your state’s Bureau of Charitable Organizations (which is usually housed in the Department of State office) and with the Internal Revenue Service. Find your state’s charity office at the National Association of State Charity Officials Web site and visit the IRS online for its registration procedures. The paperwork can be daunting and expensive, so if possible, find a lawyer who is willing to provide his or her services free, suggests Mr. Bender.
Next, develop a formal mission statement, as well as a list of goals, objectives, and core values, says Mr. Bender, and begin drafting bylaws. Create a system for documenting the services you provide, so that at the end of the year you can report how many families you have served, he adds. Hiring a director of program services, he says, might be a good idea: “They can help you formulate your policies and procedures and handle the components of working directly with the families as you continue to manage the organization.”
If you can, hire a business manager to handle your group’s finances, as well as a director of development to ensure that all donations are adequately documented, adds Mr. Bender. “A key to recruiting and retaining your donors is to ensure that they are thanked in a timely fashion and that they truly see and hear what a difference they are making in individuals’ lives,” he says.
To assist with both fund raising and strategy, gather no more than four or five friends and colleagues who share your passion and form a founding board of directors, says Ms. Atwood.
For additional resources on starting a charity from scratch, see this Chronicle article