To incorporate or not incorporate?

 Reasons for:

1. Continuity
2. Legitimacy
3. Limit liability (protect personal assets)
4. Obtain tax exempt status (aid fund-raising)

 Reasons against:

1. Complexity (compliance with rules/regulations/laws)
2. Cost
3. Loss of control

 How to incorporate:

1. Determine your organization’s purpose/vision/mission/goals
2. Obtain non-profit organization guidelines from Sec. of State’s Office
3. Develop Articles of Incorporation and file with the Secretary of State

-describes nature of group

-lists officers of the group

4. Develop organizational Bylaws

-how you plan to operate the organization

Non-profit corporation

-can become tax exempt by IRS and received tax-deductible contributions

-assets cannot accrue to a private individual

-can obtain a bulk mailing permit

-participate in a simpler tax filing process

IRS Form 1023 (Application for Recognition of Exemption under 501(c)(3))

-requires detailed financial statements about present and proposed activities, purpose for formation, sources of funding, and governing structure.

-copies of organizing documents must also be provided

-requires great care in completing to avoid rejection

-forms available on-line

IRS Form 1024 (Application for Recognition under 501(c)(4))

-similar to Form 1023

-people join organizations for different reasons (activists vs. subscribers or consumers)

-provide information

-table, canvass

-obtain other mailing lists

-direct mail (return rate less than 1 percent) -tends to create passive, uninvolved membership that does not respond to calls for direct action

-does not need to be formal, legal entity

-need when stakes are really high and there is ultimate goal that everybody can subscribe to

-build with natural allies, but look for new allies too

Questions to ask:

-What power would other groups bring to the coalition?

-What problems would other groups bring?

-What does your group stand to gain or lose by working in a coalition?

-What issues will you need to avoid if you work in a coalition with others?

-Under what sort of structure will the coalition function?

-What groups are potential coalition members?

-How will the coalition function?

1. Identify organizations and individuals who want to be involved in a joint effort on the issue.
2. Familiarize activists with each other, the substance of the issue, and the goals of the campaign.
3. Develop specific approaches, strategies, and time lines that are action-oriented.
4. Share the work.
5. Take one issue at a time.
6. Spread the credit and praise for those who complete coalition tasks.

1. Purpose
2. Membership
3. Board of Directors
4. Officers