There are many benefits to being recognized by the IRS as a 501c3 nonprofit organization. One of the biggest benefits would be tax exemption from the IRS. Being exempt from paying taxes means that your organization will not have to pay federal taxes, and in many locations sales taxes and property taxes are also exempt.  Being tax exempt can save you a great deal of money over time, allowing you to focus more of your funding efforts towards actual programs and services.

501c3 recognition also has the ability to make your organization more credible in the eyes of the public and other entities within your community. After being approved by the IRS as a 501c3 organization you will have the ability to clearly state your 501c3 nonprofit status on all materials you distribute and any announcements made about your organization. This notifies any interested parties that you are a legitimate organization and have proven to the IRS that the work you are doing is serving the public.

Another major benefit to becoming a 501c3 nonprofit organization is having the ability to give tax deductions to individuals who make a donation to your organization. As a 501c3 organization all donations made, whether monetary or in-kind, can be claimed on that individual’s personal income taxes. This is very appealing for potential donors, specifically those who are interested in making large donations or contributions to your organization. Having 501c3 nonprofit status also makes it much easier to solicit donations. Many individuals and companies will not make contributions to organizations that are not recognized as 501c3 nonprofit organizations since they are unable to receive any benefit from their donations.  

Having 501c3 nonprofit status will also allow your organization to be eligible for many grants. These grants can be from both private foundations as well as the government. Most grant funding organizations require applicants to be recognized as a 501c3 before considering their grant proposal. Upon approval by the IRS your organization will be issued a letter showing confirmation of your approval. This letter will be required by most grant funding organizations when applying for a grant.

Other benefits include discounted postage rates as well as special mailing privileges for nonprofit organizations. The United States Postal Service provides opportunities for bulk mailing to nonprofit organizations, which is another method nonprofit organizations can save money. Finally, a 501c3 tax exempt organization could receive free or discounted rates from media outlets, e-mail services and newswires for announcements and press releases related to your organization. This can provide your organization with the opportunity to increase awareness of the activities you are holding as well as the work you are doing in the community. 

Receiving 501c3 nonprofit status from the IRS is typically a big turning point for many nonprofit organizations. But it did not come without much hard work, anxious waiting and possibly assistance from a professional nonprofit consultant.  While the benefits of becoming a 501c3 nonprofit are big, so is the amount of paperwork and package preparation.  Therefore, if your organization is seeking 501c3 status from the IRS it is encouraged to seek assistance to make sure the application is completed correctly and speedily.

Join us for a FREE Nonprofit Webinar on July 29, 2010 from 3:00 pm – 4:00 pm & learn how to Build the Lifeline of your Organization!

The success of any fundraising program depends on the ability of the volunteers or paid staff members to successfully solicit participation from past, current, and new supporters. This will be achieved by developing strong relationships with the people you encounter and being able to identify special skills, traits and interests that can benefit your organization.

We invite you to spend a valuable hour with CharityNet USA and learn how develop your fundraising team and build the lifeline of your organization!

Topics of Interest:
   • Finding Volunteers
   • Setting Guidelines
   • Identifying & Selecting Leaders
   • Showing Appreciation

Learn how to develop and manage your fundraising team, putting your nonprofit on the fast track to desired expectations at our FREE nonprofit webinar July 29, 2010 from 3:00 pm – 4:00 pm (EST)!

One of the best ways for nonprofit organizations to acquire the capital funding necessary t o operate their programs is to solicit for nonprofit grants. Nonprofit grants usually are given to organizations from the local, state or federal government agencies or private organizations. Many nonprofit organizations are great at fundraising and soliciting for donations but for whatever reason they have not ventured into sourcing funding from nonprofit grants. When soliciting for a nonprofit grant from either a government agency or private organization, you will need to create a grant proposal. The grant proposal will introduce your organization to the positional funding source, give them a clear understanding of your organization’s purpose and give a decryption of your organization’s planned programs and specific objectives. It will also provide a clear description of your organization’s purposed budget, your specific qualifications, and a conclusion wrapping up all of the information. Below you will see an outline of a grant proposal.

 Cover Letter (one page)

Provide a clear, concise overview of the organization, purpose and reason for and amount of the funding request. 

Cover Sheet (1/2 page)

Also called an executive summary, this case statement and proposal summary is the most important component of your proposal. Summarize all of the key information and convince the grantmaker to consider your proposal for funding.

Narrative (10-15 Pages)

• Needs Assessment (Problem Statement) (3-4 Pages)

Objectively address specific situation, opportunity, problem, issue, need, and the community your proposal addresses.

• Program Goals and Objectives (1 – 2 pages)

Describe the outcome of the grant in measurable terms; in a succinct description of the proposed project outcome and accomplishments, including your overall goal.

• Methodology (4 + Pages)

Describe the process to be used to achieve the outcome and accomplishments.

• Evaluation (1 – 2 Pages)

Determine the plan for meeting performance and producing the program/project and justify how you will measure the effectiveness of your activities

Budget

Clearly delineate costs to be met by the funder and all other funding sources; outline both administrative and program costs.

For specific projects, include separate budgets for the general operating and the special project. Show income and expenses in columnar form (according to general accounting/bookkeeping principles).

Qualifications (1-2 pages)

Describe applicant, qualifications for funding and establish credibility. 

Conclusion (1/2 page)

Present a brief, concise summary of your proposal that states your case, problem, solution and sources/uses of project/program funds.

Hopefully this article will allow your organization to add a new funding source to the fundraising, donations, and soliciting that you are currently undertaking. Be sure that your grant proposal clearly introduces your organization to the positional funding source, gives them a clear understanding of your organization’s purpose, and provides a description of your organization’s planned programs and specific objectives. It should also provide a clear description of your organization’s proposed budget, your specific qualifications, and a conclusion wraps up all of the information. Your nonprofit organization should take advantage of all fundraising sources including nonprofit grants.

A Free Nonprofit Webinar about Getting your Non Profit Started by Utilizing Social Media Effectively!

From social networking and blogging to bookmarking and video streaming, there are dozens of ways to implement social media into your marketing mix, but that means nothing if they are not implemented effectively.  In order for your efforts to provide you with a significant return, you must figure out what methods work best for you and know how to execute them!

We invite you to spend a valuable hour with CharityNet USA and learn how to get started utilizing social media to grow your nonprofit by building content online that will get people talking!

Topics of Interest:
   •The New Realm of Social Media
   •5 Social Media Methods
   •How to get People Talking
   •Integrating your Social Media Campaigns

Don’t get left in the dust! Get social and start reaching millions through this new medium by attending our FREE nonprofit webinar July 15, 2010 from 3:00 P.M. – 4:00 P.M. (EST)!

A free webinar about getting your nonprofit’s financials in order!

Bookkeeping is one task that many nonprofits neglect or make half-hearted efforts at doing.  Both options are a mistake.

In the accounting process, you are classifying, reporting and analyzing financial data –none of that can happen without accurate, organized data.  Bookkeeping is the first basic step to this process!

We invite you to spend some invaluable time with CharityNet USA and learn a number of ways to make sure that your nonprofit gets its financial house in order!

Topics of Interest:
   •Things Needed to get Started
   •Bookkeeping & Accounting Process
   •Financial Reporting Tools
   •Solutions and Tips on Record Keeping

Learn the importance of basic financial management, bookkeeping and accounting and how to master it so your organization can reap the benefits by attending our FREE nonprofit webinar on June 24, 2010 from 3:00 pm – 4:00 pm (EST)!

What is twitter and how can it benefit my nonprofit organization? In short, Twitter is a great nonprofit marketing tool.  It is a social networking and micro-blogging service that enables its users to send and read messages known as tweets. Tweets are text-based posts of up to 140 characters displayed on the author’s profile page and delivered to the author’s subscribers, who are known as followers. Senders can restrict delivery to those in their circle of friends or, by default, allow open access. Since late 2009, users can follow lists of authors instead of following individual authors. All users can send and receive tweets via the Twitter website, external applications (notably including those developed for smartphones), or Short Message Service (SMS), although the availability of SMS services varies by country. While the service itself costs nothing to use, accessing it through SMS may incur phone service provider fees. The website currently has more than 100 million users worldwide.

Since its creation in 2006 by Jack Dorsey, Twitter has gained notability and popularity worldwide. It is sometimes described as “SMS of the Internet.” The use of Twitter’s application programming interface for sending and receiving text messages by other applications often eclipses direct use of Twitter.

Twitter statistics:

• Twitter now has 105,779,710 registered users
• New users are signing up at the rate of 300,000 per day
• 180 million unique visitors come to the site every month.
• 75% of Twitter traffic comes from outside Twitter.com (i.e. via third party applications)
• Twitter gets a total of 3 billion requests a day via its API
• Twitter users are, in total, tweeting an average of 55 million tweets a day
• Twitter’s search engine receives around 600 million search queries per day
• Of Twitter’s active users, 37 percent use their phone to tweet
• Over half of all tweets (60 percent) come from third party applications
• Twitter itself has grown: in the past year alone, it has grown from 25 to 175 employees

Nonprofit Uses for Twitter:                         

• Social -while at a conference to find better sessions or parties
• Using twitter as a virtual water cooler
• Industry gossip
• Nonprofit marketing
• Pointers to resources, blog posts
• Drive traffic web page/blog or comments
• Ask a question, get an answer
• Get referrals
• Ad hoc collaborations
• Sending reports in an emergency
• Getting news
• Product recommendations while in a store
• Even help create screen captures for presentations!
• Solicitation tool for a fundraising campaign

Hopefully this article will have shown you that Twitter is an increasingly growing social media networking website that nonprofits should be utilizing.  Twitter allows for nonprofit marketing, allowing organizations to get their message across and increase awareness. If your nonprofit doesn’t already have a Twitter page you should defiantly consider creating one. If your nonprofit organization does create a Twitter page, make you remain active on your organizations page to ensure that followers are getting the most updated information possible.

An information session about how to raise $10,000 in 10 weeks for your non profit organization!

While the passion you have for your mission may make you feel that funds should flow easily into your organization in support of your cause. The truth, is that raising money is difficult! And for new organizations that are not well known throughout the community, it is even harder. It sounds like a cliché, but fundraising at all levels is about building relationships, and like any relationship it will require hardwork and commitment. 

Unfortunately, too many startup organizations don’t know where to begin when it comes to event planning, volunteer recruitment and; most importantly, identifying the best ways to allocate funds to build organizational capacity.  

We invite you to spend some valuable time with CharityNet USA and find out how we can help you develop an achievable plan for success by raising $10,000 in 10 weeks through the 10×10 Program!

The 10 x 10 Program will:

• Provide a steady stream of income for your organization
• Give you the money to invest in key services to develop a strong organization
• Create a more visible presence of your organization, making fundraising more profitable in the future

Join us to learn more about the CharityNet USA 10×10 Program and how to set your organization on the right path to mission fulfillment and future success!  Attend our FREE webinar June 16, 2010 from 3 P.M. – 4 P.M. (EST).

Summer is almost here… Don’t you think that now is a great time to devote more energy, attention and detail to your nonprofit?

We do too, so we thought we would turn up the heat with our Sizzling Summer Savings!  CharityNet USA wants to help you get the most out of this summer.  We have developed a great offer for all of our special non profit clientelle, so please take advantage of these sizzling savings:

• Spend $299-$599: Get 10% off PLUS a Free Website or Web Service!
• Spend $600-$899: Get 15% off PLUS a Free Website Service!
• Spend $900 or More: Get 20% off PLUS a Free Website & Flyer!

Don’t Wait… For a Limited Time Only Save Hundreds on the Services you Need. Plus, get Free Value Added Solutions!

Have we convinced you yet?  If  you are ready to start your summer off right,  Contact us today and invest in your non profit’s future success!

Important Details:
*Free Website can be exchanged for a free web service of equal value
if you already have a website.
*Free Flyer inlcudes design only and is limited to a 1hr service.
*Hosting and Setup Fee Applies

Interested in learning why websites are so important to your non profit organization?  Join us June 8, 2010 from 3 P.M. – 4 P.M. (EST) for a FREE webinar: Must Have Features Every Website Should Have!  Learn how to have an effective, engaging and action-driven website for your non profit!

A Webinar about the 20 Best Practices!

Everyone wants the same thing for their non profit organization –success.  But in order for success to be within reach, you must first establish a strong Board of Directors!

Your Board of Directors provides numerous advantages to your organization.  When the right people are chosen, the non profit has an unlimited amount of resources available, including a wealth of knowledge and expertise!  

We invite you to spend some invaluable time with BizCentral USA and learn the 20 best practices for your non profit Board of Directors!

Topics of Interest:
   •General Overview of a Board of Directors
   •Caveats to Best Practices
   •Best Practices for your Board of Directors

Learn the best practices for a strong Board of Directors that your organization deserves by attending our FREE webinar on June 10, 2010 from 3:00 – 4:00 P.M. (EST)!

When the IRS examines a 501(c)(3) application, one of the major issues they are looking for is any potential conflict that exists. This conflict of interest could exist between the nonprofit organization and its board members, directors, trustees, or key employees. In my experience working with clients who are applying for their 501(c)(3) status, I have seen many situations arise in which a conflict of interest presents itself and may jeopardize the approval of the application. Even if this issue does pass the initial review completed by the IRS, if the conflict of interest is not addressed and dealt with appropriately, it could jeopardize future compliance with the IRS as well as damage the organization’s reputation; which, in turn, will damage funding.

Conflicts of interest in nonprofit organizations must be addressed very seriously whether they seem small or large. How an organization manages conflicts of interest that arise will determine whether an organization is frequently involved in legal problems and public scandals or actually accomplishing the organization’s mission. Conflicts of interest can arise whenever an individual, who has authority or decision-making power in a nonprofit organization, will privately benefit from a transaction, agreement, or activity of the organization.

One simple example of a conflict of interest is a board member with voting rights who will also be employed by the organization for other duties. The board of directors are responsible for reviewing and approving a nonprofit organization’s budget which would include the salaries and compensation of employees and independent contractors. If one of your board members will receive compensation then an obvious conflict arises if this board member has the authority to set his or her compensation. There are multiple ways to deal with this issue, some more extreme than others. For example, one solution would be to remove the board member from the board of directors altogether. However, such as drastic step does not need to be taken. A typical solution to such an issue would be to have this board member abstain from voting on his or her’s individual compensation. This in turn allows the board member to remain on the board and receive compensation for their duties as an employee, while avoiding a dangerous conflict. Although this issue may seem obvious, many board members do not see some of the more discrete conflicts of interests that arise throughout the lifecycle of their organization.

A useful way to discover if a conflict of interest exists during a decision-making process is to check and see if a decision will benefit any of your director. Of course, this will require all of your directors to be upfront and honest about any aspect of the decision that may benefit them.

Another asset to your organization is your conflict of interest policy. When you organization applies for its 501(c)(3) tax exempt status, the IRS requests that you adopt a conflict of interest policy and submit it with your application. However, you should always remember that this policy serves as a guideline and cannot replace careful consideration and an ethical approach to any decision made by a board. Each member of your Board should be required to acknowledge acceptance of the conflict of interest policy on an annual basis, and the policy should be reviewed at the initiation of all Board meetings. This will serve as a key reminder to every decision maker about their responsibility to disclose and avoid any conflicts of interest.

Nonprofit board members and executives must not only be able to recognize potential conflicts of interest, but they must determine when these conflicts present areas of concern and what to do about them. This can be a great responsibility and should be taken seriously – your organization’s tax exempt status and your future funding depend on it.