How to Get Started with a Fiscal Sponsorship with Paramount Impact

What Is a Fiscal Sponsorship?

Fiscal sponsorship is a partnership that allows charitable projects to operate under the tax-exempt status of an established 501(c)(3) nonprofit, like Paramount Impact, without forming their own nonprofit organization. This enables projects to receive tax-deductible donations and grants while Paramount Impact, a 501(c)(3) public charity founded in 2024, handles administrative tasks such as compliance, accounting, and financial reporting. With Paramount Impact’s Model A (Comprehensive Fiscal Sponsorship), your project becomes a program under our nonprofit umbrella, supported by our mission to empower communities through education, philanthropy, and aid for underserved populations. Ready to launch your charitable initiative? Here’s how to get started with a fiscal sponsorship with Paramount Impact.

Steps to Start a Fiscal Sponsorship with Paramount Impact

Follow these straightforward steps to establish a fiscal sponsorship and bring your charitable vision to life:

1. Submit an Application Online
   Visit Paramount Impact's Fiscal Sponsorship page and complete the fiscal sponsorship application form. Provide details about your project, including its mission, goals, and intended impact (e.g., organizing youth mentorship programs). This form helps us understand your vision and initiate the process.

2. Discuss Your Project with Paramount Impact
   After reviewing your application, our team will contact you to schedule a conversation. During this discussion, we’ll:

   • Explore your project’s objectives and activities to ensure alignment with Paramount Impact’s mission to support education, community development, or underserved populations (e.g., individuals with disabilities or those experiencing poverty).

   • Answer any questions you have about fiscal sponsorship, Model A, fees, or our processes.

   • Confirm that your project meets IRS requirements for 501(c)(3) charitable activities.

3. Sign the Fiscal Sponsorship Agreement
   Once your project is approved, Paramount Impact will provide a Model A fiscal sponsorship agreement. This document outlines:

   • Roles and responsibilities (e.g., Paramount Impact manages finances, you lead project activities).

   • Fee structure (typically a small percentage of funds received, discussed during the consultation).

   • Compliance requirements to maintain tax-exempt status.

   • Access to our online donor portal for managing funds, debit cards, per diem accounts, vendor payments, and account statements.
     Review and sign the agreement to formalize the partnership.

4. Register a DBA or Trade Name (Optional)
   If you want donors to write checks to your project’s name (e.g., “Youth Mentorship Network”) instead of “Paramount Impact,” we’ll help you register a Doing Business As (DBA) or trade name with the appropriate state authority (e.g., Arizona Corporation Commission). Paramount Impact handles the paperwork and coordinates with our bank to accept checks in your project’s name, ensuring seamless financial transactions.

5. Set Up Financial Management
   Paramount Impact opens a designated account for your project’s funds within our banking system. You’ll gain access to our secure online portal, where you can:

   • Use debit cards for project expenses.

   • Manage per diem accounts for travel or operational needs.

   • Pay vendors directly.

   • View real-time account statements to track donations and expenditures.
     Our team provides a brief onboarding session to guide you through the portal’s features.

6. Launch Your Project
   With the sponsorship in place, you’re ready to start fundraising, applying for grants, and executing your project’s activities. Paramount Impact ensures all donations and grants are tax-deductible under our 501(c)(3) status (EIN: 99-3609530). You can promote your project using its name (or DBA), and our team supports you with compliance, reporting, and strategic guidance to maximize impact.

Why Choose Fiscal Sponsorship with Paramount Impact?

Starting a fiscal sponsorship with Paramount Impact offers unique benefits:

• Speed: Launch your project quickly without the lengthy process of obtaining 501(c)(3) status.

• Support: Focus on your mission while we handle legal, financial, and administrative tasks.

• Portal Access: Use our intuitive online portal to manage funds, track expenses, and pay vendors effortlessly.

• Credibility: Leverage Paramount Impact’s established nonprofit status and expertise, led by professionals, to attract donors and grants.

• Mission Alignment: Partner with a charity dedicated to empowering communities, ensuring your project contributes to meaningful change.

For example, a project like “Youth Mentorship Network” could use Paramount Impact’s sponsorship to fund mentorship programs for at-risk teens. With our portal, the project leader can pay for workshop materials, track donations, and focus on mentoring, while we manage the financial and legal details.

Frequently Asked Questions

• How long does it take to set up a fiscal sponsorship? Typically, 2–4 weeks, depending on application review and DBA registration (if needed).

• What are the fees for fiscal sponsorship? Fees are a small percentage of funds received; details are provided during the consultation.

• Can my project apply for grants? Yes, your project can apply for grants under Paramount Impact’s 501(c)(3) status.

• Do I need a DBA? A DBA is optional but required if you want checks made out to your project’s name instead of Paramount Impact.

• What happens to funds if the project ends? Remaining funds are reallocated to other charitable programs within Paramount Impact, per IRS rules.

Get Started Today

Ready to turn your charitable idea into reality? Visit https://www.paramountimpact.org/fiscal-sponsorships to fill out the application and start your fiscal sponsorship journey with Paramount Impact. Our Model A sponsorship, expert support, and user-friendly donor portal will help you make a lasting impact in your community.