Eunice Kennedy Shriver
After witnessing the mistreatment and the exclusion of people with intellectual disabilities, Eunice Kennedy Shriver 
envisioned a world where people with intellectual disabilities were given the same opportunities as everyone else. In her world, sports and physical activity would serve as a common ground where all people could be united. In 1962, Eunice organized a summer day camp for people with intellectual disabilities. Camp Shriver served as the foundation for the Special Olympic Games, first held in 1968.
Malala Yousafzai
When she was 11 years old, Malala Yousafzai began writing a blog about her life during the Taliban occupation 
of Swat under the pseudonym Gul Makai. Her blogging along with a New York Times documentary about her life lead her to rise in prominence. Her fame, however, was not positively received by all as it caused her to be targeted by the Taliban. On a bus ride home from school, Malala was shot by a Taliban gunman in retaliation for her activism. Malala survived this attack and became an activist for the right to education. She founded the non-profit organization, the Malala Fund. Through her organization, Malala fought for a world where every girl could learn and lead.
Reshma Saujani
As a part of her run for the United States Congress in 2010, Reshma Saujani visited local schools. and saw the 
need to close the gender gap in technology. In 2012, Reshma founded Girls Who Code, a non-profit organization which aims to deepen the computer science skills of high school girls, to clear pathways for them into the computing workforce, and to “build a supportive sisterhood of peers and role models who help [them] persist and succeed.” In just a short period of time, Reshma made great strides in achieving gender parity in computer science.
Together
What do these three ladies have in common? They were passionate about a cause. They were resilient, battling the forces against them, and they were confident they would succeed. Under their leadership, deeply ingrained societal norms were tackled and incredible, life changing organizations were launched. Above all, their drive pushed their missions forward and created a widespread impact on countless people.
Building Your Own Non-Profit Organization
In this blog post, I will cover the basics on how to build your own non-profit organization like Eunice, Malala, and Reshma.
What Is a Non-Profit Organization?
A non-profit organization is an organization formed to provide a public benefit or to further a particular social cause. A non-profit organization is a tax-exempt group under the Internal Revenue Code Section 501(c)(3) and is classified in one of three ways, a public charity, a private foundation, or a private operating foundation.
How Do You Start a Non-Profit Organization?
Step 1: Do Your Research
First, decide if starting a non-profit is the right decision. To determine this, ask, “Is there a demonstrated need for my organization’s service in the community I intend to serve?” An answer can be established from a thorough investigation of the “demand” and the current or potential “supply.”
Step 2: Develop a Plan
Next, build a strong infrastructure to support your organization. To do so, develop a detailed business plan. Your business plan should include an executive summary, a description of your company, a description of your products and services, a market analysis, a sales and marketing strategy, an outline of your company’s organizational structure, and a financial plan.
After your business plan is complete, create a timeline that is practical and calculate startup costs.
Step 3: Incorporate and Establish Governance
This is the paperwork step. To incorporate your organization, you must (1) establish the name of your organization, (2) recruit an incorporator and directors, (3) appoint a registered agent, (4) prepare and file your non-profit’s Articles of Incorporation, which will officially mark the creation of your organization, (5) publish your Articles of Incorporation in two newspapers of general circulation, (6) obtain an Employer Identification Number, and (7) establish initial governing documents and policies.
Step 4: File for 501(c)(3) Tax-Exemption Status
What Is Tax Exemption?
Tax exemption is the right of a charitable organization to exclude money from their annual taxable income. The excluded amount may be equal to the total amount due or to only a portion of the amount due. Tax exemption may also come in the form of a reduced rate.
Obtaining 501(c)(3) Tax Exemption Status
Tax exemption status is granted by the Internal Revenue Service. To receive 501(c)(3) status, a qualifying entity must apply to the IRS using Form 1023 or Form 1023-EZ, an Application for Recognition of Tax Exemption.
Provided by the U.S. Small Business Administration, the following is a list of items you will need to provide when filing for 501(c)(3) status:
- Certified copy of certificate of formation from your state
- Copy of bylaws
- Details pro forma financial statements, including revenue and expense statement for current and three preceding fiscal years
- Proposed budgets for the next two fiscal years; including a list of anticipated financial support
- Narrative description of past, present and future planned activities with an emphasis on broad public benefit of organization’s activities
- Names and addresses of director and officers
- Annual accounting period (what is your fiscal year)
- Statement as to whether the organization is claiming status as a private foundation or public charity
- Employer Identification Number
- Fee of $400 or $840
Once the IRS reviews your application, a Determination Letter officially recognizing or denying your exemption status will be returned to you.
Step 5: Register for Charitable Solicitation and Fundraising (If Applicable)
Step 6: Maintain Compliance
Unfortunately, the road does not end once tax exemption status is granted. The entity that receives 501(c)(3) status must then on an annual basis file a report with the state government, file a Form 990 with the IRS, and re-register any required items.
Now that you know the basics of how to build a non-profit organization, you are ready to turn your passion into a profit and starting building your own!
Sources Cited
www.specialolympics.org
www.malala.org
www.girlswhocode.com
www.sba.gov/blogs/how-start-non-profit?leavingSBA=http://nonprofit.about.com/
www.thebalancesmb.com/non-profit-4161501
www.councilofnonprofits.org/what-is-a-nonprofit
www.501c3.org/what-is-a-501c3/
www.nfib.com/content/resources/start-a-business/7-essential-sections-of-a-business-plan-49946/
www.harborcompliance.com/information/how-to-start-a-non-profit-organization-in-pennsylvania
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Hi Ashley:
Your article is very inspiring, and certainly provides valuable information for anyone interested in starting a non-profit. I appreciate the step-by-step manner in which you’ve laid the actions out.
Additionally, I found the newspaper publication requirement to be a bit odd. Is this requirement state-specific, or does every state require a non-profit incorporating within their state to publish their status in the newspaper? It seems like quite an outdated requirement, and I would be interested to find out the reasoning behind it.
I really enjoyed reading this post. Not only did it clearly present the process of creating a non-profit, but it also captured my attention right away with three influential women. Starting out with a little inspiration never hurts! It did not seem as if there were many state-level regulations to abide by, which seems unusual. Does business law apply to non-profits, as they are a type of corporation? It is something I would be interested in learning more about, especially given the excellent foundation information your post has provided.
Ashley,
I enjoyed how smoothly you transitioned from examples of empowered women to the formation of non-profits. It was a well-organized and thought provoking read. My only questions is if this guide is specific to Pennsylvania or do the requirements vary from state to state? If I ever consider starting my own non-profit I will refer back to this page.