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WORKSHEET: Funding Pipeline Spreadsheet and Instructions
The purpose of the funding pipeline worksheet is to help your organization conduct regular periodic assessments of funding and revenue streams, consider changes to anticipated and past funding patterns, and assess whether there is a risk that budgeted funding might not be realized in the near-term and intermediate-term future. Complete this worksheet in collaboration with your development office, senior management team, and staff to help with operational planning and stress test your organization’s anticipated funding sources.
VIDEO PODCAST: The Basics of Fiscal Sponsorship Agreements
Ben and Mike discuss fiscal core concepts to understand the fiscal sponsor relationship and fiscal sponsorship agreements, including the distinction between Model A, Model B, and Model C fiscal sponsorship, key provisions that are found in all types of fiscal sponsorship agreements, and other considerations to have in mind when drafting or negotiating a fiscal sponsorship agreement.
Q&A #172 – Can nonprofits use a virtual office as their registered agent address?
It is a universal requirement that the office address of an organization’s registered agent (sometimes called a “resident agent”) must be a physical street address and not a P.O. Box, but only a few states address whether a “virtual office” can be acceptable. However, using a virtual office is generally not advisable if the registered agent will not be present there during normal business hours.
VIDEO Q&A for Subscribers: February 2025
Ben and Mike answer questions from subscribers about how to navigate a financial environment in which grand funding is uncertain, whether people under 18 years old can serve on a nonprofit Board of Directors, whether membership dues are treated as donations or fees for services, and whether a last-minute item can be added to the Board meeting agenda.
![TEMPLATE: Model A Fiscal Sponsorship Agreement [SUBSCRIBERS-ONLY]](https://images.squarespace-cdn.com/content/v1/5e6ccadfb4659c1d51df14d5/4fa14f59-82ca-4661-a339-d889aabce3ec/noah-naf-qhfxY3X6JV0-unsplash.jpg)
TEMPLATE: Model A Fiscal Sponsorship Agreement [SUBSCRIBERS-ONLY]
This template fiscal sponsorship agreement is intended for relatively straightforward “Model A” fiscal sponsorship relationships, sometimes called “direct” or “comprehensive” fiscal sponsorship. This sample document covers key terms such as the fiscal sponsor’s variance powers, the project leader's role as an employee of the fiscal sponsor, how assets are transferred upon termination, and more.
Building a Contingency Plan for an Unexpected CEO Departure
Nonprofit organizations face many risks that can damage an organization’s hard-earned reputation, deplete financial assets, and generally cause operational mayhem. One often-ignored risk is the possibility of an unexpected departure of the “chief staff” position (CEO, Executive Director, etc.). Organizations that have risk mitigation procedures and contingency plans in place will fare better than organizations that are caught off guard.
VIDEO PODCAST: Using Dashboards to Improve Understanding of Financial Reports
Ben and Mike discuss the role and purpose of financial dashboards for a nonprofit organization, how dashboards improve engagement with financial reports, the standard elements that make up a dashboard, and how dashboards can be optimized to best serve your organization.
Operating Reserves as a Key Indicator of Financial Health
Just as the gauges on a car’s dashboard provide crucial information about its performance and physical condition, operating reserves serve as a vital indicator of a nonprofit organization’s financial health and as a measure of stability. Operating reserves give a clear view of an organization’s capacity to sustain its operations and weather financial uncertainties. By understanding and managing operating reserves, nonprofit leaders can navigate their organizations toward greater longevity and stability, ensuring they remain trusted and impactful stewards of their missions for years to come.
Q&A #171 – Can nonprofits rely on Form W-9 information when sending the Form 1099?
When issuing a Form 1099 (e.g., 1099-NEC), an organization is generally entitled to “reasonable reliance” on the information provided by a contractor or vendor in the Form W-9, provided the form was completely filled out, properly signed and dated, and not altered to remove required statements. However, an organization cannot rely on Form W-9 information the organization knows or has reason to know is incorrect. In that case, additional steps should be taken to verify the information.
VIDEO Q&A for Subscribers: January 2025
Ben and Mike answer questions from subscribers about how quickly a nonprofit Board of Directors must act to fill a vacant Board seat, how an organization can show a third party that it’s 501(c)(3) status is current and in good standing, the pros and cons of growing an organization through local chapters and affiliate structures, and the benefits of issuing an annual report for the general public to showcase an organization’s growth and successes.
![TEMPLATE: Model C Fiscal Sponsorship Agreement [SUBSCRIBERS-ONLY]](https://images.squarespace-cdn.com/content/v1/5e6ccadfb4659c1d51df14d5/0ae236df-0659-4b4a-9eb1-8660e6167467/aldo-terrazas-OaHkLW3GOz4-unsplash.jpg)
TEMPLATE: Model C Fiscal Sponsorship Agreement [SUBSCRIBERS-ONLY]
This template fiscal sponsorship agreement is intended for relatively straightforward “Model C” fiscal sponsorship relationships, sometimes called “indirect” fiscal sponsorship or a “pre-approved grant relationship.” This sample document covers key terms such as the fiscal sponsor’s variance powers, the allowable use of grant funds, reporting and recordkeeping requirements, termination of the relationship, and more.
VIDEO PODCAST: Managing Nonprofit Governance Disputes
Ben and Mike discuss how corporate governance disputes tend to arise in nonprofit organizations, how building a culture of open debate and discussion on the Board of Directors and throughout the organization can help prevent disputes from getting out of control, navigating D&O insurance and the decision whether to report a claim, considerations for managing disputes once they've arisen, and more.
Q&A #170 – Must nonprofits issue a Form 1099 for a contractor based in a foreign country?
In general, payments made by a nonprofit organization to consultants or contractors who qualify as “United States persons” under the Internal Revenue Code are subject to Form 1099 reporting, including U.S. citizens based abroad. Payments made to foreign persons are generally not subject to Form 1099 reporting but may be subject to withholding and reporting under Form 1042 and 1042-S.
VIDEO Q&A for Subscribers: December 2024
Ben and Mike answer questions from subscribers about implementing a CEO / Executive Director succession or transition plan, how to handle errors in an already-filed Form 990, planning for the possible loss in grant funding or a change in funding sources, and whether a person can old two officer positions simultaneously.
![TEMPLATE: Multi-Year Grant Usage Schedule [SUBSCRIBERS-ONLY]](https://images.squarespace-cdn.com/content/v1/5e6ccadfb4659c1d51df14d5/491e0b78-493c-4b0f-972c-01c1d4c1c289/pexels-muhammad-azhar-3401382-5085262.jpg)
TEMPLATE: Multi-Year Grant Usage Schedule [SUBSCRIBERS-ONLY]
Multi-year grants can be very beneficial to a nonprofit organization but can cause significant bottom-line budget (surplus and deficit) volatility. This template multi-year grant usage schedule will help to show the true impact of a grant over the full period of its use and move attention away from the impact on any one single fiscal year budget.