Fund raising for new startups
There is no dearth of funding agencies who are willing to fund projects on social issues. However there is an acute dearth of organizations that are eligible for these grants. So what constitutes eligibility of a non profit organization for these funds ?
The first eligibility is that your organization must be a legally formed body.
Though not required, you may additionally register with the secretary of state (for U.S.A) or the registrar of nonprofit organizations (in U.K). In order apply to obtain the legal status of a non profit orgnaization you need to comply to certain requirements. As a first step and to take it forward from here you would do good to comply to the below check list –
1) Identify like minded group of people, obtain their Identity and address proof.
2) Draft your Vision, mission and objectives statement.
3) Prepare the articles of association (samples can be downloaded from the net)
3) Involve an attorney to set up a non profit organization.
4) Apply to the registration authority for your area. (non compulsory but should be considered at a later stage)
5) Prepare detailed bye-laws for your organization. (Sample bye laws are available for download on the net)
6) Set up your accounting system – build journal book & ledger books, prepare vouching method etc.
7) Register with the charity commissioner of the state in which you wish to raise funds.
8) Apply for Income Tax exemptions with your local income tax authority
9) Formulate a detailed project report on how you plan to achieve the objectives set out in step 2 above
10) Forward your project report to funding agencies and invite them for visits.
You will have to convince the funding agency that your projects are really worth supporting and that you have what it takes to address the social issues at hand.