Start-Up Kit

Below is a list of issues/steps that social sector organizations should consider before launching their new venture. This list is not a substitute for professional legal counsel and is by no means exhaustive. While it is possible to complete many of the steps independently, we advise you to consult a lawyer throughout the process to ensure a solid foundation for your organization. Click on each link for more information. The entire start-up kit is available for download here: Start-up Kit PDF.

1. Determine the organizational structure that best enables you to accomplish your social mission
2. If you decide to incorporate, determine where to incorporate (applicable only if you decide to incorporate, see step #1 above)
3. Determine a business name and check for availability
4. Select individuals to serve on the board of directors (applicable only if you decide to incorporate, see step #1 above)
5. Draft and file articles or certificate of incorporation and any other state-specific documents with the Secretary of State or other appropriate state agency (applicable only if you decide to incorporate, see step #1 above)
6. Establish bylaws, operating agreements and board policies (applicable only if you decide to incorporate, see step #1 above)
7. Obtain an employer identification number (EIN)
8. Open a bank account and establish check signing procedures
9. File for federal tax exemption (if applicable)
10. Recruit staff and prepare employment agreements, a personnel manual, and a system to comply with maintaining records
11. Establish a payroll system and procure necessary insurance coverage
12. Register with the states where you plan to engage in charitable fundraising
13. Develop good governance and accountability measures
14. Consider protecting your intellectual property
15. Familiarize yourself with lobbying opportunities and restrictions

NOTE: Once your social sector organization is operational you should be aware of ongoing filing and other requirements, for example:

• All necessary federal and state payroll and tax forms applicable to your organization.
• If you are a tax-exempt organization, Form 990 and any state required annual financial reports. Any required financial reports for your state will be featured in the Fundraising section.
  
• Check to make sure all employee files listed in “General Issues” of the state specific Employment section are maintained and up to date.
  
• As your organization matures, reexamine your bylaws / operating agreement to make sure that they are still appropriate for your organization and the work you are doing.