Our Fiscal Sponsorship Program

Do you have a charitable project but not a charitable status with the IRS?

Does your group of volunteers want to raise funds for a specific cause that are also tax deductible for your donors?

Do you think your initiative/idea might be worthy of grant funding but you don't know how to seek that support?

Fiscal Sponsorship might be right for you.

What is Fiscal Sponsorship?

Fiscal Sponsorship, at its core, is an agreement for a nonprofit organization to extend its tax-exempt status to select groups engaged in activities related to the organization’s mission. Most often, fiscal sponsorship is used by organizations, individuals, or collaborations who are doing charitable work but who need an alternative to becoming a 501(c)(3) exempt organization with the IRS. In a Fiscal Sponsorship arrangement, the sponsor is an already established non profit organization, in compliance with all legal and regulatory agencies. In addition to their 501(c)(3) status, the sponsor offers their infrastructure and administrative services to accept tax deductible donations and grants on behalf of the sponsored project/organization. The sponsor accepts responsibility for the use of those funds and ensures their application toward charitable purposes, along with any additional donor restrictions. To ensure this is not merely a pass-through of charitable dollars from the 501(c)(3) to the project, the IRS requires that the sponsor have “complete discretion and control” over the funds. Successful Fiscal Sponsorships require the sponsored project/organization's activities to align closely with the sponsor's mission and vision.

What is Community Crosswalk’s Fiscal Sponsorship Criteria?

· Project/Group must be based in Illinois

· Must agree to apply all funds raised toward nonprofit purposes with a clear charitable mission

· Statement of Intent must align with Community Crosswalk’s mission, vision, and values

· Willing to have an unincorporated association agreement/Memorandum of understanding and secure an EIN if requested

· Must have a plan to achieve financial viability and programmatic success

The following are not eligible for Community Crosswalk Fiscal Sponsorship:

· Designed primarily to benefit an individual or business (non-charitable)

· International activities involving financial transactions

· Raising funds through charitable gambling

· Medical services, personal care, or childcare as a core service

· Projects requiring exceptional governmental oversight and licensing

What are Community Crosswalk Fiscal Sponsorship Fees?

· Account set up fee: Upon acceptance, a project pays a $200 one-time fee to offset costs associated with accounting set up and legal review fees.

· Ongoing fees: The administrative fee is 4% of charitable funds received by the project (we do not accept any non-charitable funds). These fees cover management of accounts receivable (receiving and processing donations, including sending donor tax-receipts); regular fund balance report; grants management as requested; and support from experienced nonprofits professionals including certified grant writer(s), certified nonprofit accounting professional(s), and certified nonprofit program manager(s)

For more information on Fiscal Sponsorship or to request an application, please send an email to: info@communitycrosswalk.org.