The foremost requirement when forming a Non-Profit in Nebraska is to choose a valid name for your organization.
The only requirement when coming up with a Nebraska Non-Profit name is to ensure that it is unique and can be easily distinguished from any other business registered legally with the Nebraska Secretary of State.
To validate a business name, you can use the Nebraska business name search tool.
When starting a Nebraska Non-Profit, the need to elect an initial set of directors should also be fulfilled.
For compliance purposes, Nebraska Non-Profit directors should be elected by the business incorporator. A minimum of three is required to operate a Non-Profit.
When you form a Nebraska Non-Profit, you are also required to retain the services of a Nebraska Registered Agent for compliance of state requirements.
The following can fill the position: an individual from Nebraska or any business entity registered to conduct business in Nebraska. This Registered Agent in Nebraska is in-charge of accepting service of process and other legal notifications from the state and the IRS.
A physical street address in Nebraska should also be provided by the Registered Agent where all legal documents will be forwarded.
The Agent should also agree to accept these legal papers before the Registered Agent designation. For fast and efficient compliant purposes, Rocket Lawyer’s Registered Agent Services is reliable.
Unlike most states that provide blank incorporation forms, the state of Nebraska does not provide these; so you have to create your own Non-Profit Articles of Incorporation containing the requisite information as stipulated in the Nebraska Non-Profit Corporation Act. When you create the form, it should contain the following information:
In addition to this information, you must also include a few languages that satisfy requirements to qualify for the 501(c)(3) status of the IRS. These languages should be included in your Articles of Incorporation:
The first board meeting is the organizational meeting where the incorporators and the directors decide on the following important matters:
The minutes of the meeting should be prepared to be signed by the attendees.
A Corporate Records Binder is a useful folder where you can place all your Nebraska Non-Profit registration documents, business reports, licenses, permits, and registration paperwork, minutes of the meetings and more.
The Corporate Records Binder can be easily obtained through the local office supply store or you can order it directly and get it shipped to your corporate office via Amazon.
A Nebraska Non-Profit EIN is still required of you regardless if you’re a Non-Profit. As an EIN is a unique identification number for organizations, this number is used in every transaction you do with your Non-Profit, from filing registration requirements to opening a bank account.
You can obtain one now through the online application at the IRS website.
As a new business owner in Nebraska, you need to keep your business and personal finances separate by opening a separate bank account. This keeps everything simple and separate in the eyes of the law.
Another important thing to note is that opening a business account can help you keep finances on track. You should monitor the ins and outs, put the profits and assets where they belong.
There are many options available from Bank of America to Chase. For a quick outline of the best place to open a business bank account, see this quick review.
When you apply for Nebraska Non-Profit tax registration exemptions, you should also check the Nebraska Department of Revenue to verify that you are following the right steps.
Although you are applying for exemptions, there may still be a need for registering for Non-Profit taxes; so be sure to have all the correct information. To jumpstart the steps to your business’ federal and state tax exemptions, here are the required steps.
For exemptions on federal taxes from the IRS, Form 1023 should be filed. The Application for Recognition of Exemption Under Section 501(c)(3) of the Internal Revenue Code is a lengthy form and requires a certain amount of information about your Non-Profit and its shareholders.
Careful filling out of the application is advised to ensure that all entries are appropriately answered. As well, contained in the actual form are a few notes on changes to instructions and some reminders, so read this before anything else.
Smaller Non-Profits, those that have estimated yearly gross receipts smaller than $50,000 and with accumulated total assets amounting to less than $250,000, can file federal taxes using Form 1023-EZ, or the Streamlined Application for Recognition of Exemption Under Section 501(c)(3) of the Internal Revenue Code. As Form 1023-EZ is a more streamlined version of the original form, it is also much shorter and requires less amount of information.
As soon as a notification from the IRS has been received, granting your organization a 501(c)(3) tax exempt status, you are automatically exempted from Nebraska state income tax. For additional exemptions on state taxes, you should contact the Nebraska Department of Revenue.
In addition to the requirements above, there may also be additional state reports and registration requirements you need to file that depends on your Non-Profit’s size and nature of activities. These are especially required during fundraising activities so check with the Nebraska Attorney General’s Office for further details.
After officially registering your business in Nebraska and taking care of your tax obligations, you will need to figure out which licenses or permits you will need to operate legally.
This step depends on the location of your business and the industry, so do your research. To get started, either visit the SBA website to learn more or have professionals handle all research on your behalf with this reliable service.
Now that you have followed the steps above, you are an official Non-Profit organization in the state of Nebraska. Other than those 10 steps that are based on state guidelines, here are 2 additional steps based on best practices for starting a successful organization. Not required, but highly recommended.
When you start your Nebraska Non-Profit, you also want to successfully achieve the goals you have set. Writing a business plan will help you achieve these goals in the sense that the plan provides you with clear steps and methods to do all these and more.
It is your business plan also that serves as a constant reminder every time you begin veering off from your Non-Profit mission and goals. If you’re ready to write a business plan now, utilize the links below.
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Note that this is only an informational guide, and it should not be treated as a legal document. For questions on the legalities involved in starting a Non-Profit organization in Nebraska or Nebraska Non-Profit organizations in general, consult the expert advice of a business lawyer.