HOW WE WORK
NOTE! STATE AND FEDERAL FILING FEES NOT INCLUDED AND ARE PAID DIRECTLY TO STATE AND FEDERAL AGENCIES
Upon initiating payment, the funds will be securely held in escrow, ensuring a transparent and protected transaction process. The following steps outline the progression of our services:
Milestone Payment Structure:
Only with your approval will payment be released to us in installments of one-third at designated milestones.
Milestone Steps:
Step 1: Gathering Organization Details
You will provide us with comprehensive information about your organization, including its name, address, activities description, and board of directors’ details. Additionally, a brief mission and vision statement will be required. A minimum of three board directors is necessary, including a president, secretary, and treasurer.
Step 2: Verification and Documentation Preparation
Upon receiving the information provided, we will conduct a thorough verification process. Subsequently, we will prepare essential documents such as articles of incorporation, minutes, bylaws, bank resolutions, and conflict of interest policies. These documents will be sent to you within 5 to 7 business days for your review and approval.
Step 3: State Filing Process
Once the documents are reviewed and approved, we will proceed with electronic filing with your state authorities, if feasible. If your state permits online filing, we will handle the process and file on your behalf. State Incorporating fees (paid separately to the state) are from $50.00 to $150.00 depending on your state and if you want it expedited. Once filed we will request the release of the first one-third payment. However, if your state does not permit online filing, we will forward you the necessary documents for your signature. You will then review, print, sign, date, and mail them out along with the applicable filing fees. We will provide detailed instructions to guide you through this process. State Processing time is 5 to 10 business days.
Step 4: IRS Application and State Tax Exemption
Upon confirmation of the state filing, we will apply for an Employer Identification Number (EIN) directly from the IRS and commence the application process for 501(c)(3) tax-exempt status. Additionally, we will manage state tax exemption and charitable solicitation registration, if applicable. We will send it to you within 5 to 7 business days.
Step 5: IRS Application Submission and Follow-up
Once the finalized 501(c)(3) application is prepared, we will meticulously review it to ensure accuracy and completeness. Upon your confirmation of the application’s accuracy, you will proceed to sign electronically, pay and submit it to the Internal Revenue Service (IRS) for review. For 501(c)(3) 1023 EZ The requisite IRS filing fee of $275.00 will need to be paid at that time.
For 501(c)(3) Long Form
The requisite IRS filing fee of $600.00 will need to be paid at that time.
Following the submission, The IRS will promptly furnish you with proof of filing, including an IRS tracking number for your records. Once you receive this, we will kindly request the release of the second-third payment as per our agreed-upon milestone structure.
Throughout the entirety of this process, we remain committed to providing you with regular updates on the status of your application. Should any inquiries or requests for clarification arise from either the IRS or state authorities, rest assured, our dedicated team is fully equipped to handle them on your behalf. Our established Power of Attorney (POA) with the IRS grants us the authority to swiftly respond to any such queries, ensuring a seamless and efficient process from start to finish. It’s important to note that the POA arrangement will naturally conclude upon the successful receipt of your official 501(c)(3) determination from the IRS.
Typically, organizations applying via the 1023 EZ route can expect a turnaround time of within 30 days. If an application requires further review, the IRS contacts the applicant and aims to issue a determination within 120 days. For the 501(c)(3) Long form approval time is from 3 to 4 months
Step 6: Receipt of Determination Letter
Following the thorough review process by the Internal Revenue Service (IRS), you can anticipate the issuance of a determination letter confirming your organization’s 501(c)(3) tax-exempt status. This crucial document serves as official recognition of your organization’s eligibility for tax-exempt status under the Internal Revenue Code.
The determination letter will be dispatched to the registered address of your organization.
Upon receipt of the determination letter, signifying the successful attainment of your 501(c)(3) status, we will reach out to you to facilitate the final installment payment. As per our agreed-upon milestone structure, the release of the last one-third payment will be requested at this juncture, marking the culmination of our comprehensive service provision.
Maintaining Compliance:
We emphasize the importance of maintaining your 501(c)(3) status by fulfilling annual filing requirements. We will initiate complimentary your first filing of your 990 N form, due annually by May 15th for organizations with a gross revenue of $50,000 or less. For organizations exceeding this threshold, please contact us for comprehensive IRS 501(c)(3) annual compliance assistance. Failure to file three consecutive 990 series forms may result in the loss of your tax-exempt status.
Ongoing Support:
Securing your 501(c)(3) status is just the beginning of our commitment to your organization’s success. Even after obtaining this coveted status, we understand that navigating the regulatory landscape can still pose challenges. That’s why we offer ongoing support to ensure your continued compliance and peace of mind.
Should you receive any correspondence from state or IRS authorities following the attainment of your 501(c)(3) status, rest assured that our dedicated team is here to assist you every step of the way. Whether it’s a notice, inquiry, or request for additional information, simply forward any relevant documents to us for thorough review and resolution. Our expertise in nonprofit compliance and tax matters allows us to swiftly address any concerns, ensuring that your organization remains in good standing.
Furthermore, we encourage open communication and collaboration. Feel free to reach out to us at any time with your concerns, comments, or questions. Whether you require clarification on a regulatory issue, assistance with annual reporting requirements, or guidance on strategic planning, we’re here to support you in achieving your mission and goals.
Our commitment to your organization’s success extends beyond the initial application process. We are dedicated to building a lasting partnership and providing the personal support you need to thrive in the nonprofit sector.
With our ongoing support and expertise at your disposal, you can focus on making a meaningful impact in your community, confident in the knowledge that you have a trusted partner by your side.
Together, we can navigate the complexities of nonprofit governance and compliance, ensuring the continued success and sustainability of your organization’s mission.
Warm regards,
The Non-Profit Hub & 501(c)(3) Express
