- 1). Formulate a mission statement. Unlike profit-driven businesses, the driving force behind a nonprofit is its mission. To define the mission of the organization, write a one- to two-sentence statement explaining the Washington roots of the organization, what it does, for whom it does it and where it is looking to go. This statement of mission will focus the company for years and will appear on company literature and promotional material, so take your time in crafting it.
- 2). File articles of incorporation with the Washington Secretary of State. While a nonprofit is not required to incorporate, it does help protect employees and board members and from organizational legal liability. There are other legal formations such as Charitable Solicitations Programs and Charitable Trust Programs that are applicable if your organization will either solicit donations or oversee a charitable trust (respectively). The legal requirements of all forms are complicated, so consult an attorney and accountant to help your determine which is the right fit for the organization.
- 3). Apply for a Federal Employer Identification Number (FEIN). Nonprofit or not, all businesses run within the United States are required to register with the Internal Revenue Service for tax reasons. To obtain an FEIN, visit: irs.gov.
- 4). Obtain any locally required licenses and permits. Like profit-driven businesses, nonprofits are often required to obtain local licenses and permits. License and permit requirements in Washington state vary from area to area and business to business. To inquire as to the obligations of your nonprofit, contact your local county commission and city clerk offices.
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