First, conduct a Business Entity Search to ensure there aren’t any naming conflicts. Then there are a number of other rules including:
For a complete list of the restrictions when it comes to naming your Louisiana Non-Profit, refer to Section 12:204.1 in the Louisiana Nonprofit Corporation Law. Also, if needed, you can file a Reservation for Business Name form and reserve the name for 60 days.
Filing Fee: $25
A Louisiana Registered Agent can be an individual resident/citizen of the state or a legally registered domestic/foreign business entity with a physical street address and regular M-F business hours. On behalf of your non-profit they receive and help process important documents like state, legal and tax notices. They’re essential and required by law.
That said, you can hire a 3rd party professional and expect to pay up to $160/year, or get a Registered Agent free of charge when you start a non-profit with IncFile or Incorporate.com. They handle this along with so much more depending on the startup package/service you choose.
By definition, all an incorporator does is sign and “execute” the formal Articles of Incorporation and submit them to the state, which requires a minimum of one. As for your temporary directors, you’ll need to select/recruit a minimum of one. Among other important duties it’s their job to oversee the non-profit corporation/organization during the formation process until your first board meeting in Step 7 where official directors will be voted on/in.
If this is all brand new, be sure to print out a copy of section RS 12:224 in the statutes which covers Board of Directors powers; number; qualifications; quorum; committees; terms and classes of directors; reliance upon records and information provided and everything else involved in this part of the process.
Bylaws are the rules/stipulations/regulations you write for how your non-profit will be governed and managed along with the many other formalities that come along with having a board of directors vs a non-profit that’s run expressly by members or volunteers. Common bylaws cover topics like:
If this is all new to you, use a savvy Corporate Bylaws Template which you can customize for your non-profit and get an idea of the paperwork-side of bylaws.
Once you and your team decide it’s time to form and fully incorporate in the eyes of the law/public record, file your non-profit Articles of Incorporation with the Sec. of State either through mail or online. Information you’ll need includes:
Filing Fee: $75
If you aren’t already familiar, a non-profit records book is where you keep physical copies of the most important paperwork – Articles of Organization, Bylaws, Meeting Minutes, 501.c.3 IRS Approval Letter, licenses & permits, current board members list, your annual and biannual reports, etc. Not mandatory, but very common and highly advised.
You can pick one up at pretty much any office supply store or online through Amazon of course, but we’re huge fans of savvy-sleek Corporate Kits which include gorgeous records books, binders, blank certificates and more which you can brand for as little as $99.
The first meeting is in many ways the most important because it lays the foundation. Before we list common issues covered below, here’s a list of Corporate Minutes Templates you can customize and use to get the ball rolling.
An EIN, or Employer Identification Number, is required by both state and federal governments for essentially the same reasons individuals are required to have a SSN. It’s a nine-digit number that’s used to track business/non-profit financial activity and makes it possible to open a business bank account (Step 10), hire paid-employees if needed, and so on.
Almost every transaction your non-profit engages in will require an EIN. That said, you can get one quickly, easily and free of charge by applying online through the IRS Website.
Now it’s time to ensure your non-profit is 100% compliant in terms of not only licenses/permits, but state and federal taxes. You should be able to apply for tax exempt status now that the corporation is established.
Two other great sites to bookmark so you can utilize all the many resources and networking potential are the New Orleans Small Business Administration office and Sec. of State’s Business Services. Besides, non-profits and the business community work together in endless ways.
First of all, your non-profit’s financials need to be separate from all other accounts or streams of financial data. Also, don’t just assume you should set it up where you or your directors already have personal bank accounts. Would that be convenient? Yes, but keep in mind there are plenty of options – local, state, and national banks as well as credit unions.
Try to look at the differences in fees, kickbacks, incentives and financial services on an annual basis when you do your comparisons. Just don’t be hasty. Do some homework. Here’s a quick breakdown article on Non-Profit Accounts to gain a better understanding.
If you’d like help forming a nonprofit, here are two great options:
Swyft Filings ($49 + state fees) is ideal if you’re on a budget but refuse to sacrifice quality. However if you’d like to have access to an attorney past nonprofit formation, Rocket Lawyer ($99 + state fees) is the best option.Visit Swyft Filings Or Visit Rocket Lawyer
Note that this article on how to start a non-profit organization in Louisiana isn’t a legal document or legal advice. It’s for informational purposes and the information above is subject to change. For specific legal questions regarding how to start a non-profit organization in Louisiana or business in general, please consult with a lawyer or other accredited professional.