Fiscal Sponsorship
Propel’s fiscal sponsorship program works with dozens of mission-driven organizations, projects, causes, and collaborations annually to build infrastructure, set goals, and develop sustainable business models. During the application process, you’ll investigate what stage your mission-driven idea is in, and what the best next steps for you to do good work in your community are. As a fiscal sponsor, we partner with individuals or groups looking to advance their causes and uplift their communities to give them the tools and building blocks to run a nonprofit. You can see who we’re currently partnering with here.
Fiscal Sponsorship Criteria
- Statement of Intent aligns with Propel Nonprofits mission, vision, and values
- Experience or connection to the community you plan to serve and partner with
- Market analysis to ensure no one else is already doing this work
- You’ve dipped your toes in the water and have already taken some action
- Located in Minnesota, adjacent areas in the surrounding states, or within Native Nations that share this geography, although programming can occur outside of these areas.
- Priority is given to Minnesota or within Native Nations that share this geography”
- Will apply funds raised toward nonprofit purposes with a clear charitable mission
- Incorporated or willing to incorporate as a charitable organization and secure an EIN
- Has a plan, or is working on one, to achieve financial viability and programmatic success
Projects engaged in the following activities are ineligible for sponsorship
- Designed primarily to benefit an individual or business (non-charitable)
- International activities involving financial transactions
- Raising funds through charitable gambling
- Mental health care, medical services, personal care, or childcare as a core service
- Those that require exceptional governmental oversight and licensing
- Organizations that have already received their 501(c)(3) status
What is Fiscal Sponsorship?
Need a quick refresher? Review the basics of fiscal sponsorship here.
Process for Becoming a Sponsored Project
Step 1: If you meet the criteria, above, move on to step two.
Step 2: Attend an information session offered for free twice a month by program staff.
Step 3: After attending an information session to have your questions answered, complete our Stage 1 Application to tell us about your project. After you submit your application, our staff will reach out to set up a 30-minute phone conversation to learn more about your project and assess whether it will be a good fit for our fiscal sponsorship program.
Step 4: If we determine that your project is a good match, you will complete the Stage 2 Application (this will be sent directly to you with a unique access code). We will evaluate each submission based on the criteria above. We also want to see that you have a plan for your finances, marketing, and operations, even if you do not have them fully developed yet.
Note: Applications are reviewed by a committee monthly. The average turnaround time from application to approval is approximately 4-6 weeks.
Fiscal Sponsorship Informational Session
Before applying for fiscal sponsorship you’ll need to attend a free informational session.
Fees
Application fee: A non-refundable fee of $100 is due at the time of the Stage 2 Application.
Setup fee: Upon acceptance, a project pays a $300 one-time setup fee to offset costs of the onboarding process.
Ongoing fees: Our administrative fee is 7% of charitable funds received by the project and $100 annual renewal fee. These fees cover management of accounts receivable (receiving and processing donations, including sending donor tax-receipts); a monthly fund balance report; grants management; and support from experienced Propel Nonprofits staff including one-on-one coaching, access to free and discounted trainings, and guidance as you set your strategy and goals.
Start your application
As noted above, after you have attended an information session you can complete our Stage 1 Application to tell us about your project. Applications are reviewed by a committee monthly and are subject to approval by Propel’s Board of Directors. The average turnaround time from application to approval is approximately 4-6 weeks. For fastest response time, submit Stage 1 Applications before the 15th of each month.
Stage 1 Application
Urban Bird Collective
“I knew Propel had the support we needed when it was time for us to grow. This organization isn’t about me; it is about our leaders, and I want us to have the skills and tools we need to grow.”