The document provides guidance on establishing a 501(c)(3) non-profit organization from an artist's perspective. It discusses why to start a non-profit, the initial questions to consider, and the multi-step process including incorporating, forming boards, opening a bank account, and filing necessary paperwork like forms 1023 and 990 with the IRS. Key parts of the process include determining the mission, developing bylaws and articles of incorporation, and working with legal and tax professionals.

1. To Be or Not to Be a 501(c)(3): Creating non-profit-step-by-step from an artist's perspective Paola Prestini

2. To Be or Not to Be a 501(c)(3): Creating non-profit-step-by-step from an artist's perspective: Thursday 9/27/07, 10:00am Self-Management and Touring Nationally and Internationally: Monday 10/8/07, 10:00am Creating Promotional Materials & Creating a Non-Conventional Career: the Art of Freelancing: Thursday 10/25/07, 10:00am Made possible by a grant grant from The New York State Music Fund ("The Fund")

3. Conference Logistics You can mute your phone with *6 You can unmute your phone with *7 If you have a question, type it into the chat Questions will be answered throughout the Webinar at various points

4. Presents

5. Bootstraps 1. To Be or Not to Be a 501(c)(3)Creating a non-profit-step-by-step from an artist ’s perspective This webinar will layout the process of becoming incorporated along with invaluable information and forms, as well as help with the writing of mission statements, donor letters, and more.

6. To Be or Not to Be a 501(c)(3) by Paola Prestini Creating a non-profit-step-by-step You have a great idea, a great group of people with diverse talents, the drive, and the energy. Maybe it's time to start a 501(c)(3)! To start, you'll need to carefully consider several questions: Why do I want to start a non-profit? Is my mission clear? Do I want to form my own non-profit, or should I join forces with an existing group? Is my idea original? What is it’s lifespan?

7. Why Start a 501(c)(3) ? Getting your 501(c)(3) status is a long and arduous process, but it is ultimately very rewarding. This community links you with other artists and individuals and you can apply for grants once you are approved by the IRS, but starting a non-profit also means you are doing something that nurtures your community. It means you are working towards a larger good and have a mission in mind that is clear and does not have a visible time limit. The beginning is nebulous, but the more questions you ask, and the more determined and adventurous you are, the more this path can lead to amazing and fulfilling results.

8. The Beginning who I am…

9. Then…1999

10. Now…2007

11. As your group gets started, you can choose to work under the umbrella of another non-profit organization and apply for grants if they agree to be your fiscal sponsor. Pros: This is a good idea if your group does not have the funds or the skills to start this venture alone or if your see your idea as a short-term plan. Umbrella organizations sometimes take a small percentage of the grants you get, yet they offer you a roadmap which can be very useful. If you choose to go through another non-profit, make sure you get solid legal advice for this and, as always, keep good records. Cons: You do not want to find yourself in a situation where your money is poorly tracked and ends up misplaced. To help prevent this, it is imperative that you have a solid contract in place before any transactions occur. The Beginning…

12. How to… Filing with an umbrella organization: 1. NYFA has a great umbrella program for emerging organizations. NYFA will require projected budgets, plans and fundraising sources (http://www.nyfa.org) 2. Filing on your own: Forms needed: (File application with IRS Exempt Organizations Division. To order forms, call (800) 829-3676) Federal ID Number: (www.irs.gov/pub/irs-pdf/fss4.pdf) IRS Form 1023 (recognition of exemption) A good website: (http://form1023help.com) 2 IRS Forms 872-C (if requesting advance ruling--what does this mean?) IRS Form 8718 and check payable to IRS in appropriate filing fee amount Conformed copy of Certificate of Incorporation and By-laws--what are bylaws? IRS Form 2848 if attorney-in-fact is representing organization

13. Forms

17. Early on you should open a small business bank account. This is essential as a way of keeping your fiscal house in order and your financial goals in mind. Even if your organization is very small, it is essential to separate your own personal finances from your organization's. You should build an advisory board. The members can be your personal and professional associates—perhaps one or two of your mentors and teachers can be persuaded to join. The advisory board will help establish your credentials and give the project credibility. The advisory board is not necessarily made up of potential donors. That would be nice--but this board is different from your actual fiscal board. These are people who believe in your project and will meet with you to spark ideas. They should be able to help connect you with potential donors, presenting organizations, curators, foundations, and other grant-making organizations. You'll also have to form a governing board—a group of people ready to assume fiscal and legal responsibility for the organization. We were advised to keep the initial fiscal board small and within our artistic group (in our case, that meant the three composers who founded the organization).

18. In the years that you are trying to define your mission, you should take on the governing role by not only leading the fiscal board but also by doing the nitty-gritty tasks. All the details and departments in a non-profit need to be overviewed by a good director and learning these things yourself is a smart way to understand non-profit finance as well as law and administration. On the next page, you will see how our organization divides up the work… Tasks

19. Tasks Holter (actor) - Mission Statement--look at web and reword to make everything more direct and concise ･ Script maintenance Milica (composer) - MySpace--blog maintenance. Innovative M arketing ideas Erik (violin) - Research where other groups perform, and what grants they receive. Monthly email sendout on VIA's activities. Pablo (percussion)-Board d evelopment ･ Rehearsal space ･ Hospitality Rider ･ Recording scheduling Duncan (sound designer) - Set up server to be able to access scores and media online ･ A/V Tech rider Matthew (administrative assistant)-Grant writing ･ Databases or organizing contacts. Scheduling

20. Tasks Paola (director)- PR/Booking/Management ･ Accounting ･ Board development ･ Press releases/Web maintenance Work sample m aintenance ･ Rehearsal space Richard (clarinetist) - Grant writing ･ Rewrite Education materials. Roger (poet)-blogging for website monthly Carmen (filmmaker)- Yearly 4 minute video promo Erika Harrsch (visual artist)-marketing design for cards

21. Articles of Incorporation You will need to create bylaws and articles of incorporation. Your bylaws include responsibilities, board information, how your business is structured, and other details. Your articles of incorporation include: who you are your location your mission You will need to incorporate with your state before you file for your tax-exempt status. Each state is different, but this is a quick and inexpensive process. Your certificate is filed with the Department of State pursuant to Section 402 of the Not-for-Profit Corporation Law. It can cost from $50-$100 and should take about two weeks but can take up to a month. The Free Management Library, an online library of articles and other resources for non-profits, offers a good guideline for writing your articles of incorporation. http://www.managementhelp.org/

22. You will need legal advice. It's important to get to know and trust a lawyer, and it is always best to find someone who specializes in the non-profit sector. If you hire a lawyer to help with incorporating your organization and getting your non-profit status, it can be a lengthy process—perhaps as long as a year—and can cost anywhere from $500-$2000. In the beginning, you will likely meet with your lawyer several times face-to-face, and then multiple times by email. You will be asked to provide your bylaws and letters of incorporation. The process entails paper work and lots of research. We downloaded the actual application online so we could understand each detail of what was being done. If you choose to complete the application yourself, consult with a lawyer before submitting anything to the Internal Revenue Service. On your application you will have to indicate your fiscal year. It is sometimes better to go by the calendar year rather than your season so that your tax year matches your donors' tax schedule. This generally makes book keeping less of a headache. When you incorporate, you go through an advance ruling period of approximately 60 months before you are reviewed by the IRS. This does not mean you are not a fully functioning non-profit. It just means you need to demonstrate you are fulfilling your mission, keeping good paper work, and are in good financial shape. Before the end of the 60 months (5 years), you will need to fill out and submit form 8734 to the IRS. http://www.vlany.org/

24. By this point, you should also have developed a good relationship with a tax accountant who can help you cover all your financial bases. Be aware that when your organization receives more than $25,000, you will have to file a 990EZ form with the IRS. If your organization makes above $100,000, you will need to file a 990. These forms are updated every year, so make sure to download the correct forms. This verifies you are non-profit for the reason stated in your mission and that you are abiding by the rules and regulations for which you applied for status. Any of your employees paid more than $600 per year needs to be given a W-2. The filing deadline for Form 990, or 990-EZ is "the 15th day of the 5th month after [an] organization's accounting period ends." You can get an automatic three-month extension by submitting Form 8868 to the IRS. The organization often can get another three-month extension by submitting a second Form 8868.

27. Once you begin receiving donations and grants, keep all your files in order. Always, always write a thank you letter to your donor when you receive a donation, mentioning the specific amount and giving them your tax exemption number. Without the help of a lawyer, it is possible to do all the above. We actually learned a lot about finance and administration from grant-makers and friends who run their own non-profits. As soon as you receive your non-profit status, you can begin applying for grants. That's when you'll need your press kit, work samples, and, above all, optimism. Keep trying and stay positive. You'll be turned away and rejected many times, but that's okay. Grantmakers need to learn about you. Develop relationships with your peers and with the folks who run these organizations. They'll track your progress, and you need to track their guidelines and changes in their programs. Burn out is all too common among those leading small organizations. If your creative team also doubles as your administrative team, make sure to be specific about roles, responsibilities, and tasks. Clarify what each position means and write it down. Who is the artistic director? Who will be in charge of marketing, public relations, grant-writing, and publicity materials? Wherever possible, make sure you delegate.

28. Finally, keep re-evaluating your goals as your group grows and develops. Open and honest communication within the group is important as your organization matures. Changes are inevitable. Perhaps you'll need to organize a larger board, drawing in new people who weren't there from the beginning. Financial needs will change and you should be thinking two or three or more years ahead about where you want to be financially. And don't be afraid if your group has changed in ways you couldn't imagine. The success of a group depends on its ability to adapt, to renew itself, to find new energy and strength. Embrace the inevitability of change. Be open to new ideas and roads. Still ready to start your own 501(c)(3)? Start with your mission and get it on paper. You'll rewrite your mission statement a thousand times but keep every single version. It's important to track your dreams and your goals and to see how they evolve.

29. VisionIntoArt’s Evolution process Check out: http://www.visionintoart.org/index_piano.html http://www.visionintoart.com/home.html Notice how the two sites are different

30. How to Write a Mission Statement A mission statement should state your activities and your values; it should be short and clear, no more than a few sentences. Make sure to demonstrate the uniqueness of your work. Here are examples of how VisionIntoArt’s mission statement evolved since 1999. Tell me your thoughts on each mission statement. VisionIntoArt began as an idea, or a dream in a cafe in Paris. We began talking about how to successfully make the connection from art to public, and how to take contemporary art beyond the elitist art world. Our answer came in the form of VisionIntoArt, a group that strives to bring contemporary art to a wider public through programming, and interartistic creations.

31. How to Write a Mission Statement VisionIntoArt began as an idea, or a dream in a cafe in Paris. We began talking about how to successfully make the connection from art to public, and how to take contemporary art beyond the elitist art world. Our answer came in the form of VisionIntoArt, a group that strives to bring contemporary art to a wider public through programming, and interartistic creations. **This mission statement is too long and personal. It is also not specific in the actual activities of the organization. Note: your mission statement should change! It takes time for goals to define and evolve.

32. How to Write a Mission Statement VisionIntoArt is an exploration of new art through collaborative inter-artistic performance.

33. How to Write a Mission Statement VisionIntoArt is an exploration of new art through collaborative inter-artistic performance. ** This is concise, but misses depth.

34. How to Write a Mission Statement VisionIntoArt presents interdisciplinary, thematically unified performances driven by newly commissioned music, dance, film, and spoken word.

35. How to Write a Mission Statement VisionIntoArt presents interdisciplinary, thematically unified performances driven by newly commissioned music, dance, film, and spoken word. ** This is more specific but does not highlight any values of the organization.

36. How to Write a Mission Statement Collaborating across forms and cultures, VisionIntoArt creates original works drawing on stories of the day. VIA challenges people to see and hear art differently. VIA is a diverse, multi-disciplinary collective with a political bent that inhabits sound and shares process and creativity.

37. How to Write a Mission Statement Collaborating across forms and cultures, VisionIntoArt creates original works drawing on stories of the day. VIA challenges people to see and hear art differently. VIA is a diverse, multi-disciplinary collective with a political bent that inhabits sound and shares process and creativity. This was last year’s mission statement…almost there, but we are trying to find a more specific word for multi-media, as it is often overused. So…now for our current statement…

38. How to Write a Mission Statement Collaborating across forms and cultures, VisionIntoArt creates transmedia works drawn from today. Transcending genre--from New Music to Geopolitics--VIA challenges audiences to see and hear art differently. A diverse, multi-disciplinary collective, inhabiting sound and sharing process, VisionIntoArt embraces the role of the artist as public intellectual and political touchstone.

39. Brochure presentation with Mission Statement Collaborating across forms and cultures, VisionIntoArt creates transmedia works drawn from today. Transcending genre--from New Music to Geopolitics--VIA challenges audiences to see and hear art differently. A diverse, multi-disciplinary collective, inhabiting sound and sharing process, VisionIntoArt embraces the role of the artist as public intellectual and political touchstone. “ art that breaks barriers, crosses boundaries…” Milanodabere.it

40. Brochure presentation with Mission Statement VISIONINTOART MISSION: "…a theater of spectacle and sensation...as surprising a moment as any I've ever seen." Steve Smith, TimeOut NY VisionIntoArt (VIA) presents interdisciplinary, thematic performances driven by newly commissioned music, theater, movement, film, and spoken word. VIA performances have been described as "Mesmerizing…an ambitious leap into the realm of genre synthesis…" by DanceInsider.com, and “…ingeniously staged concert pieces that gracefully walk the line between opera and performance art" by TimeOut New York. VisionIntoArt was founded in 1999 at the Juilliard School with the aim of attracting a larger and more diverse audience to contemporary art. This collective of compelling emerging artists—a Nuyorican Prize winning poet, a Sundance nominated filmmaker, award-winning composers and writers, and critically acclaimed musicians and actor—works together to create innovative programs that brim with artistic and intellectual virtuosity. VIA performances lead audiences through an exploration of interdisciplinary languages; they inquire into the role of creative expression in a democratic society. VisionIntoArt believes that collaboration sustains artistic innovation. The group has performed in such venues as Lincoln Center, BAM Café, Symphony Space, the Whitney Museum, and maintains a busy touring schedule appearing at colleges and universities in the US, and international festivals such as Apertif in Concerto at Teatro Manzoni and Etna Fest in Italy. VIA is grateful to the support of NYSCA, LMCC, AMC CAP Grants, ASCAP, the Kenan Institute, Nathan Cummings Foundation, National Video Resources, Council on Foundations and individual donors.

43. Donor Thank You Letter A donor letter should include your TAX ID, date, and any details regarding the positive outcome of the donation. They should be sent in a timely fashion and should always be signed by hand.

44. Logos A good logo should capture your eye and should give an idea of your organization in a snap shot. It should copy well and should be timeless. Current logo 

45. The blog assignment Try writing a mission statement incorporating some of the pointers discussed. Please share your mission statement in a comment to the blogpost.