Continuing on with our blog topic of Starting a Non-profit the VISIONARY STAGE...

A little over a year or so ago, Tom and I were chatting about "handyman" business and fundraising for shelters.  Having done work for clients in exchange for their donating to needy rescues/shelters, we tossed around the idea of having a fundraising event where volunteers could do "handyman work" and money earned would go to the shelter/rescue.  This seemed like a good way to generate significant cash in a short period of time.  Unfortunately, after much discussion, we realized that the "talent pool" in our little volunteer group would limit that effort's success.

The subject, however, has remained in my subconscious popping up at odd moments.  As a child, I was taught that you can do anything you want to do if you are willing to put the time and effort into it.  Using this train of logic inspired us to start the Sew Many Paws business.  While SMP is a "for profit" business, we do still find ourselves operating as a non-profit business (I guess one could equate it more closely with a foundation than a public charity).   The "WHY" we do it - well I can you could say we have "passion" for the work.  Later on as we discuss the topic, we'll make up a fictitious charity using our initial idea - let's call it Paws-i-tive Hands - to give clarity to the discussion.

So back to our blog topic of starting a non-profit charity.  Another beginning step will be to decide WHY.  The WHY might actually be that you want to honor or memorialize someone.  The WHY might also give you focus for your end result goal/mission.  WHY - gives you purpose to continue when times get rough and they most always do at some point.

Thru this blog we are inviting you to be a part of our fictitious - Paws-i-tive Hands planning, research & strategy.  Follow with us as  we identify if there is a true need/goal that is not being met by other organizations in our area or nationally. 

Identified Need - Creating a revenue source for underfunded shelters and rescues - many of whom do not have sufficient volunteer or paid staff to help them organize fundraising events.

We believe by fulfulling this need it will pass the initial test for a non-profit charity in that it is in "the public interest and common good".  OK so far so good.

We define a mission statement for Paws-i-tive Hands. 

Mission Statement - Paws-i-tive Hands is a group of volunteers joining together to use their gifts in the handyman and seamstress industry to paws-i-tively affect fundraising efforts of underfunded rescues and shelters.  Our volunteers perform the work of carpenters, plumbers, electricians, painters, embroiderers, seamstress and other skills for businesses and private citizens.  In exchange for the work, payment for services rendered is made in the form of a donation to a specified rescue/shelter.

So now that we have a mission statement for our fictitious charity, we believe our organization will be "in the public interest and for the common good".  We're ready to recruit board members and get started right? -  Well maybe not so fast.

There is a difference between a public charity, a foundation or a "for profit" business operating as a non-profit.  The difference between a public charity and a foundation centers around funding for the organization.  Non-profits public charities and foundations are similar to "for profit" businesses in that there are certain legal requirements which must be addressed before submitting non-profit paperwork to the IRS. 

Now for our fictitious organization Paws-i-tive Hands would we want start a public charity? Foundation?  Continue as a for profit business but begin operating as a non-profit?  Would starting a "handyperson club" rather than starting a non-profit public be a better idea?  Maintaining an informal organization may be a viable option.  Another alternative might be to find a fiscal sponsor for your organization and test the program before launching.  Risk vs reward might put a club member volunteer liable.  Fiscal sponsorship would undoubtedly be a complex process.   Obviously consulting legal council at this point would be a very wise decision.

Could you start an organization without legal council - probably - especially if you are willing to do the upfront research with the various government offices.  Keeping in mind if your organization is certified as a 501c3 non-profit by the IRS, there will be certain filing requirements.  If your organization is not 501c3 certified, donations may not be tax-deductible.

Our tip - In all areas of planning, look not only at your immediate needs but also look toward the future and try to anticipate life 5 or 10 years down the road.  It's like planning how you will get out of a parking place before you park.  - Don't block yourself in.  Have a plan for a timely exit. 

By looking out for your future volunteers and donors at the very beginning, you will save yourself the time, money and effort of having to re-do things twice.  The goal of a good organization would be that it be set up in such a manner that the effort can continue long after you (the organization founder) has gone on to puppy heaven.

Next week - recruiting board members and volunteers

Starting your own non-profit is similar to starting a profit making business - something that requires a lot of initial background research.  Your passion for the cause may not get you through the burdensome tasks of paperwork involved in starting your own non-profit.  Getting your non-profit on the map and operational will take a lot of work.  Are you ready for that level of committment?  If your answer is yes - or at least yes you think so, then this blog series is for you.

Initially before you submit the first application to be certified by the IRS as a non-profit entity, you'll want to sit down and do a careful analysis of your mission, the need and risk vs reward.  What are the pros and cons to starting your own non-profit.  Is there another non-profit already in existance that you could join and help grow rather than starting your own?  How will you deal with "worst case scenarios"?

MISSION / NEED? - For example: 
Let's say you were out driving one day and you came across a litter of baby raccoons whose mother had been killed along side the road.  You take the baby raccoons home and nurse them to good health and turn them over to a local petting zoo.  The experience is so moving that you decide to start your own non-profit to provide vet care for orphaned raccoons. 

Initially you fund the cause out of your own pocket because you feel it is a worthy cause but soon you discover that the passion you have for the cause is not shared by others.  You've spent countless dollars getting your non-profit set up, insurance for your group, lawyers fees to set up the group with the IRS - not to mention all of the marketing info you've purchased such as website, business cards etc. 

Your pleas for others to help fund the non-profit goes unanswered and before it even gets off the ground you are forced to decide between making this month's house payment and reimbursing your very best friend in the world (who is a foster volunteer for your non-profit).  The friend paid for vet care based on the non-profit's prior approval but now the non-profit is in the red because the last fundraiser was rained out.   What are you going to do?

Does this scenario sound far-fetched?  If so, then the question would be - have you ever volunteered for a non-profit and/or held a position of authority with that group?  If you had, you'll know that sometimes even with the best of causes, fundraising can be a key determining factor on whether the non-profit is a success or not.

So before you start your own non-profit, examine the non-profit's mission.  If the scope of the mission is very narrow, would it make more sense to broaden the mission to be more inclusive?  In the above example, maybe funding vet care for orphaned animals of all kinds (cats & dogs included) would meet with greater success. 

If narrowing the mission doesn't appeal to you, would your efforts be better spent in helping start up a local chapter of a national organization (such as a national wildlife foundation)?  The national organization may not be totally focused on your primary goal/mission (to provide vet care for orphan raccoons) but together with the national foundation's support your goal might be more easily attained.   

What will be your non-profit's mission?  By taking an objective look at the beginning of your planning phase will undoubtedly help your non-profit be successful.  Take for example pet rescues.  An all breed rescue might decide early on to only rescue purebreds but later decide that their mission would be better accomplished and appeal to more supporters if "mixes" were included in their mission.

Next week, we'll explore the risk vs reward of starting your own non-profit.  Future blogs will focus on such topics as:
Should your non-profit be set up as a public charity or a foundation?
What resources will it take to accomplish the non-profit's mission? 
How to get volunteers to attain the non-profit's mission? 
Ideas for fundraising? 
What about insurance, and day-to-day expenses of operating a non-profit?
Will there be paid employees?

Again we'd love to hear from you if you have any tips for others who might be considering starting up a non-profit organization.  If you've been there - done that - and survived, what words of wisdom can you give?

Many have been in the same boat as we have.  We see a need and wonder:  "What can I do?" 

Maybe the need identified is:
1) a Spay Neuter Program, 
2) an Adopt a Black Dog Program,
3) an educational program focusing on "How to be a reponsible pet owner"
4) a Rescue for pets whose owners have passed and as a result need a new forever home
5) Helping dogs identified as "unadoptable" attain the skills to become adoptable.

Then reality checks in and the solution to the need seems bigger than one person can handle.  One can spend their entire life savings and still just be a drop in the bucket to the solution.  Getting other like-minded souls to help in your cause, is a way to tackle the need.  But soon you realize that in order to make a real difference maybe the way to go is to create a non-profit charity to help address the need.

Over the next few weeks/months, we will explore how to start a non-profit charity and make it self-sustaining.  For those that have - been there - done that, we welcome your input.  Maybe the things you've learned "the hard way" will help others who are just starting out OR may help those who already have a charity and need help to get "to the next level" to make their mission successful.