Starting a Successful Nonprofit from the Ground Up: Where to Begin

Vasant Ramachandran - 8%2F21%2F18 - Starting a Successful Nonprofit from the Ground Up_ Where to BeginStarting a nonprofit organization is an inspiring way to help those in need and give back to your local community. To begin you must understand each important step that comes along with being a successful nonprofit. Growing and maintaining your nonprofit takes determination and patience because this process can sometimes take years of effort.


The steps below is information intended to provide a general overview about the process in forming a nonprofit organization. These steps may vary within each state, please consult with a legal or tax professional for detailed assistance.


Conducting a needs analysis is step one in this process. It is necessary to find out if organization such as, nonprofit, for-profit, or government are already doing the same or alike work in your local community. This is because, you are less likely to gain support for your organization if the service already exists. Then, find demographic or population data that expresses a need for your service. Here you can find out how to find demographic information about your community.


Figure out if a nonprofit is the right fit for you. As stated in section 501(c)(3) of the Internal Revenue Code, public charities must be organized and operated only to exempt purposes. If the reason why you want to start a nonprofit is to pay yourself a salary then a nonprofit is not for you. In reality, most nonprofits are not even eligible to gain grants.


Understanding alternatives to forming a new nonprofit because it may be a very complicated process and a difficult way to serve your passion for helping your community. The biggest challenge with developing a new nonprofit is developing a constant reliable income flow.


Drafting a mission statement is one of the crucial first steps. Developing a mission statement directly communicates what the purpose of the organization serves and how it will serve that group. Every action taken by your nonprofit should work to serve and support your mission statement.

Write a detailed business plan just as you would with a for-profit business. A business plan for a nonprofit describes how it intends to achieve its mission more specifically than the mission statement.