I see a lot of organizations become fiscal sponsors, and it eats up all of their time because they are trying to serve multiple masters
Most organizations start as a project that obtains fiscal sponsorship from a larger and more established nonprofit. This practice has become so commonplace that most of us become familiar with the concept of fiscal sponsorship very early in our nonprofit journey.
But pursuing or being a fiscal sponsor requires careful thought, planning, and negotiation. To help nonprofits better understand the available models, we brought in fiscal sponsorship expert Andrew Schulman to discuss three fiscal sponsorship models, share resources for finding fiscal sponsors, and provide insight into negotiating your fiscal sponsorship agreement.
*****Timestamped Highlights*****
(3:47) The most common types of fiscal sponsorship
(4:40) The benefits of a startup nonprofit using a fiscal sponsor
It’s very easy to get into fiscal sponsorship, you just sign a contract with someone. And in some cases, there isn’t even a contract, just a handshake. But it’s pretty hard to do fiscal sponsorship well. It’s not something you should jump into without serious consideration at the staff and board level.
(5:53) How organizations can separate from their fiscal sponsor
(8:44) Andrew explains Fiscal sponsorship Model C
(12:38) The assistance organizations need for a fiscal sponsorship relationship
(14:00) Things to consider before becoming a fiscal sponsor
(17:17) How to find a fiscal sponsor
(21:40) The project side of fiscal sponsorship
(25:50) Questions that projects seeking a fiscal sponsor should ask
(27:32) How a sponsored project can be certain that it is ready to separate and become independent
(31:49) The deal making advice our guest would give to Donald Trump
Links:
Fiscal Sponsor Directory: http://fiscalsponsordirectory.org/
Andy Schulman’s website: www.fiscalsponsorship.consulting
Andy Schulman on LinkedIn: https://www.linkedin.com/in/andrewschulman/