If it were too simple to secure a proper name for your non-profit it wouldn’t be any fun! First, it must be unique and unlike any other business entity name registered with the state. To discover any naming conflicts, conduct a Business Entity Search until you know you have something unique that’s also aligned with your core mission statement (as stipulated in your Articles of Incorporation).
Now, two other things – bookmark Article 8 in state law on Non-Profit Corporations and pay special attention to the fact that if needed, you can file an Application for Reservation of Corp. Name form that’s good for 120 days.
Filing Fee: $25
Your New Mexico Registered Agent is there so that your non-profit always, and officially, receives important paperwork on time like state filings, legal notices, important tax forms, and so on. This is why they must be either a registered individual citizen or business entity in the state, have a physical street address, and be available during all regular business hours/days.
That said, you can hire an outside professional service and expect to pay up to $160/year, or get a certified agent free when you incorporate your non-profit with a service like IncFile or BizFilings. They handle this and more depending on your startup package.
What are incorporators? That’s easy, this is the individual (you can have more than one) who signs and then files your non-profit Articles of Incorporation with the state in step 5. They don’t have to be an officer or director. Speaking of directors, you’ll need to select at least 3 initial directors to oversee the non-profit during formation until new more official directors can be voted on/in during your initial meeting in Step 7.
Bookmark the New Mexico Guide for Board Members of Charitable Orgs page because it has more details. To be frank, working with an attorney or incorporation provider really comes in handy during this foundational step as well because there are definitely corporate formalities to learn for newcomers.
Incorporated non-profits need to have bylaws, or rules, that first and foremost determine how it’s governed. They also state the mission of the non-profit and steer it’s course. They’re essential! Common bylaws touch on 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 all the previous steps are covered, and you and your board/members are ready, incorporators should sign and file or “execute” Articles of Incorporation with the Sec. of State. Information you’ll need includes:
Filing Fee: $25 with $100-$150 Expedited Options
What we’re talking about here is a physical book, or some call it a binder, where you put copies of the most important documents that comprise your non-profit organization: formation/registration, core licenses & permits, corporate minutes, huge contracts, annual reports and taxation documents, etc.
To get one for your non-profit you can grab a quality records book at any nearby office supply store, order them online through Amazon, or get a professional Corporate Kit which let you brand the book/slip case, provide blank certificates, and more for as little as $99.
For your first meeting assemble incorporators/directors and get ready to establish the foundation of your non-profit. Be sure to record “minutes” of the meeting and all attendees and have it signed by directors for your records book. Topics you’ll cover will vary but should include:
If you found the bylaws template useful, check out a similar Corporate Minutes Template you can also customize and use to provide initial structure until you and your board get the hang of things should it be necessary.
An EIN, or Employer Identification Number, is a 9-digit number required by all business and non-profit entities under law in order to effectively track their financial activity. Think of it as a social security number for your non-profit, but it will also make it possible to legally hire paid employees if needed and open up a bank account in Step 10.
Almost every transaction your non-profit engages in will require an EIN. That said, you can get one quickly and free of charge by applying online through the IRS Website.
Now’s the point 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 resources we want to put on the table are the Albuquerque district office of the Small Business Administration and the New Mexico Small Biz-Dev Center because while not expressly focused on non-profits they have access and connections to plenty of services you’ll find useful.
As a non-profit you’re looking for financial utility and solutions that are geared for your needs – low fees, waved expenses, great online banking options, good interest rates (if your non-profit maintains higher account balances) and other valuable services.
Take some time to shop around at local, state and national banks/credit unions until you find the best option. Also, if you haven’t already, consider appointing a Chief Financial Officer (CFO) who’s knowledgeable and can help. If needed, check out this brief breakdown of Non-Profit Accounts to gain a better understanding and be sure to keep your non-profit account 100% separate from all others.
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 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 New Mexico 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 New York or business in general, please consult with a non-profit/corporate lawyer or other accredited professional.