The ABC's of Financing provides consulting services to help non-profit and for-profit businesses with fundraising campaigns. Their services include writing documents to support fundraisers such as letters, proposals, and solicitation letters. They also provide education and consultation to help organizations transform into viable non-profits that can generate sustainable revenue over time. Their goal is to help customers fulfill their missions and achieve financial success through establishing community support and effective fundraising.

1. This is a very useful facts and question sheet.Our clients find this information
invaluable and we hope that you will too…
.
The ABC’s of Financing will facilitate and promote fundraising
campaigns for both non-profit and for profit businesses.The ABC’s of
financing will consult,advertise,market,and train your organization;this
includes article of letters such as script writing,sponsor & vendor proposals,
and solicitation donation letters,insuring fundraisers are both viable and
profitable.We educate and consult you thru the transformation into a
nonprofit market.We seek to perpetually, build the solid revenue
needed for future endeavors.
The ABC’S of Financing

2. What is a registered agent for service of process?Where may a
registered office be located? Can the secretary of state be designated
as the registered agent of a corporation, limited liability company or
limited partnership?
A registered agent is a natural person or an entity which is authorized to transact
business in the subject state that is responsible for receiving service of process or
official notices addressed to the entity.A registered agent generally has a
contractual obligation to forward any such process or notice to the entity.
Essentially the agent for service of process is someone (i.e., you, a board member,
an entity you hire) who lives in the state the organization is located in and has
agreed to receive mail on behalf of the organization.The secretary of state may not
be appointed to be the registered agent of a corporation, limited liability company,
or limited partnership.
The registered office must be a physical address where the registered agent may be
located during business hours. It cannot be a post office box or a lock box that is
part of a commercial mail/message service unless that commercial enterprise is
designated to be the registered agent.

3. Can a nonprofit corporation pay a salary to its officers, directors
and/or employees?
Yes.Any corporation may pay reasonable compensation for services rendered to
the corporation. Salaries are set by the Board of Directors and must reflect the
experience, services and fair market values.The IRS does scrutinize compensation
levels, so we suggest you seek professional advice.
Are the books and records of a nonprofit corporation available for
inspection?
State laws require that nonprofit corporations maintain complete books and
records of accounts, minutes of the proceedings of its members, boards of
directors, and committees having the authority of the board of directors.These
books and records should be available for examination and copying by members of
the corporation.
In addition any IRS form 990 filed with the IRS must be made available to the
general public.

4. Where does the corporation obtain its corporate seal, stock
certificates and books for its minutes and other records?
Most states no longer require that a corporation have a corporate seal.(California
is not one) Seals, stock certificates and corporate minute books generally may be
purchased from legal materials suppliers, corporate service companies, or from an
attorney.
How do we get a tax ID number or EIN?
Use IRS Form SS-4 to obtain an EIN (Employer Identification Number), an identifying
number for all Federal tax purposes, whether you plan to have employees or not. It
is essentially like a social security number for your nonprofit.You can apply for an
EIN online at irs.gov or mail the form in with your application for tax exemption.
NOTE: This number does not indicate whether or not your organization is exempt from tax. It is for
identification purposes only.You must obtain an IRS tax exempt status determination letter through filing a
1023 or 1024 application with the IRS and if required an application with your state.
The ABC’S of Financing

5. What form do we file to get our tax exempt status?
Organizations seeking 501(c)(3) status (generally, charitable, educational, scientific
and religious organizations) file IRS Form 1023. Other groups, such as social
welfare organizations, labor unions, professional associations, or social clubs use
form 1024.
How much will it cost to get our tax exempt status?
The IRS has charged a non-refundable processing fee for exemption applications
since 1987.There is currently a two tier fee schedule. Organizations whose gross
receipts have averaged, or will average, not more than $10,000 per year pay $400.
Larger organizations pay $850.A new IRS Revenue Procedure announcing the fees
comes out each January; if you are submitting your application late in the year,
there may be some benefit to getting it in before January 1st.
[Other costs you might incur when setting up a new non-profit organization include
incorporation,charitable solicitation and other registration fees to state and local
authorities,and fees to have your articles of incorporation,bylaws and exemption
application professionally prepared.]

6. What are the chances of having our exemption application approved?
Recent statistics show the IRS approving tax exempt status for a little more than
70% of the applications they receive, and denying tax exempt status for less than
1% of the applications they receive.The other 29% or so are mostly organizations
who become discouraged by the numerous questions the IRS asks, and give up
before they actually get a ruling.
Does a small organization really need to apply?
Tax law does not require a 501(c)(3) application when an organization normally
has gross receipts less than $7,500 per year.A small organization may want to apply
anyway to save donors possible inconvenience in an audit, to be able to apply for
grants, or to obtain a bulk mailing permit.An organization which no longer
qualifies for this low gross receipts exception must submit its application to the
IRS within 90 days of the end of the year in which average gross receipts exceed
$7,500.

7. Can we pay salaries to our board members? Can we rent a building
owned by a board member, or purchase equipment from a board
member?
Tax law always permits the payment of reasonable compensation for goods or
services actually rendered. If the IRS finds that amounts received by insiders are
unreasonably high, however, they can fine both the insider who received the
payment, and the board members who approved the payment. In extreme cases,
they can take away the organization’s tax exempt status.
It is a good idea, therefore, to fully document the board’s decision-making process
when any kind of payment will be made to an insider. Place copies of all relevant
information (salary surveys, job description, resumes, salary history, real estate
appraisals, rent "comparables") in the minutes, and never let a board member vote
on his or her own compensation, or on the compensation of anyone related to him
or her.

9. The customers of The ABC’s of Financing are individuals; that currently hold non-
profit status, or are for profits markets, and any private customer who would like
to generate revenue. Our customers are those who would like to booster sales from
community referrals and/or marketing as well as sponsorship programs and
vendor opportunities.
The ABC’s of Financing customers’ are those who wish to be educated and
consulted you thru the transformation into the nonprofit market. Our customers
are also those seeking a profound clear resolution to financial achievements, or
would like to establish community support by way of fundraising and/or
networking.
Our services include incorporation,bylaws,corporate minutes,applications for tax exempt
status with the IRS and your state,supporting documents,and guidelines on maintaining
your status and organization for the long term

10. We can quickly provide a firm quote
over the phone or sit down with you
for a one on one consultation…..
The ABC’S of Financing
We here at are familiar with the special issues and significant
challenges facing nonprofit organizations, and are committed
to helping our clients fulfill their organizations' missions..
Representatives from your organization will work with our staff to…
Write a Statement of Purpose
Prepare a Description of your Program Activities
Create a Strategic Fundraising Plan
Determine Structural Issues for the Board of Directors
Create a 3-year Budget
Provide Guidance on the Operational Responsibilities of a NP Corporation