I printed the PDF file from the IRS web site, it’s 29 pages long, which includes instructions and sections for organizational options that not every non-profit will need. The basic application is 12 pages.
Part I, numbers 1-9 deal with the identification of the non-profit organization.
“An organization’s organizing document (1) must limit its purposes to those set forth in section 501(c)(3), (2) must not expressly empower it to engage, other than as an insubstantial part of its activities, in activities that are not in furtherance of such purposes, and (3) must permanently dedicate its assets to such purposes.”
http://www.irs.gov/charities/article/0,,id=139483,00.html
So right away I am asking questions: What is an organizing document? I found a sample Organizing Document here:
http://www.bayareamashers.org/content/maindocs/bamdocs.htm
Next, on Part II, number 1-5, The form asks for the organizational structure. PlanetCornucopia.com will be either a trust or an unincorporated association, and I will need to “adopt bylaws” for this section.
An unincorporated nonprofit association is defined as: an unincorporated organization consisting of three or more members joined by mutual consent for a common nonprofit purpose. Unincorporated NonProfit Association sounds most sensible for PlanetCornucopia.com.
I will need to develop a Conflict of Interest Policy. Here is a good sample:
http://www.nmarts.org/pdf/conflict%20of%20interest%20samples.pdf
Part IV is a narrative description of our activities, which I will be able to find in all the work for the e-commerce class last term. I need to find out from my professor how long they want it to be.
That brings me to Part V where I outline compensation and other financial arrangements.
I have decided that there will be no compensation for anyone right yet. After we are up and running and when and if any of us needs to put in more time than we can volunteer without hurting our own regular time spent making an income, then I can file an amendment and set salaries.
Part V section 2a asks about family and business relationships with officers, directors or trustees. I’m not sure if that means Joleen’s and my familial relationship. Another question for the professor.
I can see that the 501 C 3 is going to be a reality for PlanetCornucopia.com.
I will apply for a grant for the $300.00 filing fee. Here is the place to sign up for one:
http://www07.grants.gov/applicants/get_registered.jsp
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