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What’s on our minds
We share what we learn and what we’re doing so that others can learn from us and we can learn from others. Comments welcome!
11 Steps to a Nonprofit: The Legal Process
“Oh, it’s really easy to start a nonprofit. I can show you how.”
I don’t know how often someone has told me that. My (mental) response was always, “You’re talking about the legal paperwork. But a nonprofit is the vision, the people, and the program.” So I opted for fiscal sponsorship — working as a project under the umbrella of an existing nonprofit — while we got our act together.
Well, we have our act together. Now, we’ve done the legal paperwork. It wasn’t “really easy.”
We found this 111-page guide from the California Attorney General’s Office to be the most useful. Here’s a rundown of our experience with the 11 steps they outline.
1. Choose a corporate name
EASY
“Creative Crisis Leadership” has been working for us (since 2014!), is gaining recognition, and reflects many of our values and goals. Good enough for now.
2. Draft the bylaws of the corporation
DECEPTIVELY STRAIGHT-FORWARD
On the one hand, there are plenty of templates and examples that would only need a bit of editing to satisfy legal requirements. On the other hand, this is our defining document. We took this as an opportunity to consider our governance, operations, and decision-making structures carefully.
Part 2 of the California Corporate Code contains default bylaws for a California nonprofit. Using this as a legal guideline, we drew on examples and recommendations from experts and other nonprofits to add clauses relating to roles and responsibilities and governance processes.
You can find our Bylaws here.
3. Hold the first meeting of directors
EASY
We’d been already been meeting regularly, so this was a matter of declaring a formal meeting to approve Bylaws and appoint Officers.
4. Draft and file articles of incorporation with the Secretary of State (CA SoS)
SUPER-EASY
California has a very short online application. We only needed to fill in names and addresses, copy two sentences from our bylaws, check a few checkboxes, and provide credit card information for the $30 fee.
5. Draft an action of incorporator and have it signed by all incorporators
N/A
All three board members were incorporators from the outset, so we didn’t have to do this.
6. File an application for a federal Employer Identification Number with the IRS (IRS)
SUPER-EASY
Short online application requiring name and address, and the Articles of Incorporation from Step 4.
7. File a Statement of Information with the Secretary of State (CA SoS)
SUPER-EASY
Short online application requiring a name and address, and answering a few multiple choice questions.
8. File application for tax exemption with the IRS (IRS)
MONSTER IN THE BASEMENT!
Officially known as “Form 1023, Application for Recognition of Exemption Under Section 501(c)(3) of the Internal Revenue Code,” this is an online application only. Fortunately, you can download it as a PDF for draft purposes. Unfortunately, the version that comes up from the IRS site when you search on “form 1023” doesn’t match the online form. So we wasted a substantial amount of time trying to formulate replies to questions that aren’t in the current version. (For instance, asking for specifics of employee compensation — something we can only fantasize about, at this time.)
We also spent an appreciable amount of time ensuring that we presented a clear and understandable vision of what we are about and what we do. This had to be specific enough for the IRS to approve, yet general enough that we won’t have to re-file as we evolve and expand. You can see our mission and activities statement here.
While optional, we consistently heard a strong recommendation to include a Conflict of Interest Policy in the submission. So we took the time to develop one. Like the Bylaws, we based this on examples and recommendations from experts and other nonprofits. You can see our Conflict of Interest Policy here.
All through the form, there were legal terms that we we had to familiarize ourselves with so that we could provide correct answers. And, perhaps more importantly, so we could make the best decisions for our future.
Finally, when we had a complete draft, including attachments, ready, had a knowledgeable lawyer review it. Good thing: We had made one significant mistake related to reporting past financials. Thank you, Alexis B. Levy!
9. Register with the Attorney General’s Registry of Charitable Trusts (CA DoJ)
MOSTLY EASY
This entailed filling out a short form and paying the $50 fee. The tricky part was that it was a paper form and pay-by-check only. So, not only digging into analog technology, but finding an envelope, a stamp, and a post office!
10. File application for tax exemption with California Franchise Tax Board (CA FTB)
MOSTLY EASY
it identical to step 9 except there was no fee. So no physical check. But still an envelope, a stamp, and a post office.
11. Determine whether there are any additional permits, licensing, or registration requirements at the local, state, or federal level, and establish procedures to ensure satisfaction of ongoing filing requirements
TBD
We’re working on it.
All in all, we found it to be a long and tortuous process. But by doing it ourselves rather than having a lawyer handle it for us, we accomplished much more than saving thousands of dollars. The clarity and consensus we developed around long-term vision and key operational procedures are already speeding our efforts along. Equally importantly, we are now confident that we understand our legal obligations and feel well-prepared to meet them.
So there you have it, why “starting a nonprofit” isn’t “really easy.”
P.S. If you’re thinking of starting your own nonprofit, DON’T. There are easier alternatives. If you still want to do it, and would like our advice, get in touch.
Our 2023 Annual Report is out!
We are excited to release our 2023 Annual Report. The report showcases a year of innovation and growth, and highlights our key achievements:
We created 3 new learning experiences:
- Wildfire Board Game: A brief single-household game simulating a wildfire experience, sparking crucial conversations and preparedness actions.
- Wildfire Café Game: A group game focusing on building social resilience and neighborhood cooperation during wildfires.
- Disaster Preparedness Puzzles: Short, online puzzles keeping disaster preparedness top-of-mind.
We reached a wider audience:
- More than 300 people played our games at 11 community events across multiple counties, inspiring them to take concrete actions to improve household disaster preparedness.
We grew our team:
- We welcomed several new team members and advisors with expertise in game design, disaster preparedness, and community engagement.
We found new partners:
- We developed strong relationships with key community organizations, including Napa Valley COAD, to expand disaster preparedness education.
Overall, 2023 was a year of successful innovation and growth for us. We look forward to building on this momentum in 2024!
You can read the full report here.
Emotional & psychological safety in research-driven RPGs
Registration is open for a Research Roundtable on “Emotional & Psychological Safety in Research-Driven Role-Playing Games.” This session focuses a topic that was of great interest at our recent International Leadership Association conference panel.
Please join us! We welcome everyone with an interest in the topic.
Help us to measure impact: Researcher needed!
Are you a passionate researcher eager to make a real difference?
Do you want to use your skills to help communities to prepare for disaster?
We harness the power of experiential learning and games to empower individuals and communities and help them be prepared for disaster. We’ve crafted two engaging learning experiences that spark interest and propel action. We know that people love playing these (in-person) games, consistently report learning valuable insights, and intend to take action upon returning home. What we don’t know is:
Do they actually do anything?
This is where YOU come in! We’re looking for a highly motivated researcher — possibly a Master’s or PhD student — to design and implement a study to evaluate the short-term impact of our wildfire learning experiences.
What You’ll Do
- Develop a compelling research question: You can keep your scope focused on our immediate question, “Does participating in one of our learning experiences affect what people think, do, or talk about in the month or so after playing?” Or you can delve into a broader question around wildfire
risk perception, preparedness behavior, the effectiveness of experiential learning in community education, or even questions around methods for measuring behavioral change. - Design a rigorous research study: Develop the methodology, design data collection instruments, oversee data collection, and lead data analysis.
- Have fun gathering data: Recruit participants and gather initial data at a variety of fun community events where people play our games.
What Awaits You
- Make a difference: Your work will directly contribute to CCL’s mission of building disaster-resilient communities.
- Real-world research experience: Design and implement a study from the ground up.
- Creative collaboration: Work alongside experienced facilitators and researchers at CCL.
Bonus Perks
- Access to a ready pool of participants: We have connections with numerous communities and events in the San Francisco Bay Area, significantly simplifying recruiting..
- Funding potential: We can work together to find funding to support your research. (If you’re interested in wildfire and at a US university, this grant is a possibility.)
- Publication potential: We’re happy to collaborate on research papers and reports.
Are you ready to make a difference?
We are! The 2024 community event season has already started, so the project can start as soon as you’re ready. We’d like to have data by October when events wind down.
“It’s been mobbed!”
Most disaster preparedness educators have a fantasy about people lining up to learn about disaster preparedness.
It’s our reality.
This past Saturday, we brought our Wildfire Board Game to the Steelhead Festival. This was a six-hour event put on by the Friends of Lake Sonoma. It was held at the Milt Brandt Visitor Center and Congressman Don Clausen Fish Hatchery in Geyserville CA, definitely the most beautiful setting we’ve been in:
The festival was somewhat eclectic. Vendors ranged from Fisheries and Wildlife agents demonstrating zebra mussel removal to the local archery association giving bow and arrow lessons, the local running store promoting running events, and independent artists selling hand-made crafts. All backed by live music and food offered by the Kiwanis Club, local restaurants, and two food trucks.
We were there with two game boards and, thankfully, three volunteers. Thankfully, because we were busy the entire time, and would have had no breaks if only two of us had been there.
The event photographer voiced it for us:
“I’ve been trying to get a picture of your booth, but it’s been mobbed!”
We played 45 games (possibly more, we lost count a few times) with 140 individuals racking up a total of 39 hours of learning time. The numbers bear out how busy we were: Given the approximate length of games and number of games played, our boards were in use 104% of the time. Not bad for what’s intended to be a quick learning snack!
This is what it looked like:
Now, we can’t claim sole credit for success. It was a beautiful day, and the event attracted thousands (final attendance estimates still pending).
In stark contrast to an another event we attended recently.
Three weeks earlier, we took the game to Farmers Market in Sebastopol CA. This is not a large market to begin with. That day, it rained steadily the whole time. Not only were there few market-goers, those that were there weren’t inclined to linger.
This is what it looked like:
Nonetheless, we played nine games with 11 participants for a total of three hours of learning time. (Our hope going in was at least five games, so we weren’t disappointed.) Our boards were in play a mere 26% of the time, the lowest number we have experienced.
So, what have we learned?
These events were part of our experiment in taking learning experiences to where people are. As opposed to trying to get people to come to special events such as preparedness fairs. From that perspective, both events were successful. They confirmed earlier data showing that our engagement rate correlates directly to the number of people in attendance. In other words, if there are people to attract, we attract and engage them. If they aren’t there, well, we can’t engage them.
Which bodes extremely well for our claim that our approach of games, fun and experiential learning gets people interested and inspired. Now we need to identify what types of events and locations are appropriate, and refine the game to suit different types of events and settings.
In the meantime, we claim bragging rights. When other disaster preparedness educators complain that they encounter apathy and can’t get people to engage, we can truthfully respond with, “We don’t have that problem!”