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The Grassroots Guide to Fiscal Sponsorship

Before you start your 501c3 - learn how you can get good done without it, by accessing Fiscal Sponsorship.

 

Fiscal Sponsorship is the simple act of using another organization's 501c3 status instead of getting your own. 

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There are many, many ways fiscal sponsorship is provided, what services are included, what the fees are. ​

 

This Guide will breakdown fiscal sponsorship, what it is, where to get it, how much it costs, and how to negotiate a fiscal sponsorship agreement.

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This Guide also includes a list of Fiscal Sponsors, sample applications and contracts.

Read this book before you sign a Fiscal Sponsorship Agreement

I worked at one of the United States’ largest and oldest nonprofit providers of fiscal sponsorship services for over ten years. Over that time, I've spoken to over 1,000 nonprofit founders. Very few knew what Fiscal Sponsorship is, how it works, how the money is managed, and how power and authority are split between the provider of fiscal sponsorship and the founder looking for services.

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I wrote this guidebook to help you and others become informed consumers of fiscal sponsorship. I've worked with many founders who are so excited and driven to launch their vision that they fail to read the Fiscal Sponsorship Agreement thoroughly, leading to mismatched expectations, money issues, hurt feelings, and damage to the mission. 

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Fiscal Sponsorship is one of those strange secrets of the nonprofit Industry; even though it has existed in one form or another for at least 50+ years, there are no laws or regulations about how Fiscal Sponsorship works. While there is a framework and best practices, which I share below, every organization that provides Fiscal Sponsorship does it differently. 

Most nonprofit founders need access to lawyers to review the Fiscal Sponsorship agreement or deep knowledge of the nonprofit sector to understand the agreement and its implications, which puts them at a severe disadvantage when shopping for and signing a Fiscal Sponsorship Agreement. 

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Please use this book as a guide and reference on your Fiscal Sponsorship journey so that you will be better prepared to negotiate with your future Fiscal Sponsor.

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Author Tivoni Devor has over 20 years of nonprofit experience, with over 10 years in fiscal sponsorship.

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Tivoni's LinkedIn Profile

I wrote the book I wish people read before they talked to me about

Fiscal Sponsorship. 

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Sample Table of Contents

  • Part One: What is Fiscal Sponsorship  6

    • What is Fiscal Sponsorship       6

    • Professional vs. Casual Fiscal Sponsorship      6

    • Professional Fiscal Sponsorship            6

    • Casual Fiscal Sponsorship       7

    • Models of Professional Fiscal Sponsorship       7

    • Services Provided by Sponsors              9

    • The Cost of Fiscal Sponsorship              14

  • Part Two: Why Fiscal Sponsorship         15

    • Is Fiscal Sponsorship Right for Your Vision?      15

    • Who uses Fiscal Sponsorship and Why             16

    • Myths of Fiscal Sponsorship     18

    • Risks of Fiscal Sponsorship      19

  • Part Three: Entering into a Fiscal Sponsorship Arrangement    20

    • What to ask when shopping for a Fiscal Sponsor           20

    • Fiscal Sponsorship Contract Negotiation          21

    • What the Fiscal Sponsor is going to ask for       22

    • What Fiscal Sponsors will say NO to 99% of the time.  23

  • INDEX  24

    • List of Fiscal Sponsors 24

    • Sample Applications    33

    • Sample Agreements     62

    • Other Fiscal Sponsorship Websites and Resources      80

Fiscal Sponsorship Resources

The National Network of Fiscal Sponsors

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The Fiscal Sponsorship Directory

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The Fiscal Sponsor Hub

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Social Impact Commons

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