Congratulations!
You are taking the first step toward starting or reinstating a 501(c)(3) nonprofit organization. Your vision to offer community-based services to enhance your community is commendable.
Contractual Agreement
This Contractual Agreement describes the services Susan Woods offers to help you earn 501(c)(3) status to either start or reinstate a nonprofit organization.
Directions: Click or tap the arrows below to read the sections of the contractual agreement.
1. Overview
Starting or reinstating a 501(c)(3) nonprofit organization to offer community services is a very serious process. Susan uses a very meticulous process to prepare each document in your application packet to convey your vision precisely.
2. Articles of Incorporation – Filing Services
Susan completes the application to file the Articles of Incorporation with the Secretary of State’s Office in the state in which you plan to offer nonprofit services. Although this is a state-level service, Susan offers this service is at no additional charge.
However, the Secretary of State charges a fee to process the application which varies by state.
NOTE: We normally use the filed Articles of Incorporation for reinstatement.
3. Form 1023 Application
Since 2010, Susan has completed over 500 applications for clients representing 33 states. Her IRS approval rating is 100 percent.
She uses a very methodical process to complete the Form 1023 to start and reinstate 501(c)(3) nonprofit organization that includes the steps below.
Facilitate a phone consultation
Susan facilitates a one-hour phone consultation with potential clients to discuss their nonprofit vision, the services they plan to provide, and the problems they plan to solve though a 501(c)(3) nonprofit organization.
Provide contractual agreement
After both parties agree to work together to start or reinstate a 501(c)(3) nonprofit organization, Susan will send a contractual agreement to the client that outlines the services, terms and conditions, and stipulations.
Payment accepted and acknowledged
Susan acknowledges the payment when received by sending a confirmation email.
Nonprofit application completion timeline
Susan sends the client a nonprofit application completion timeline that lists the dates they can expect to receive application documents for their review and feedback.
Create customized documents
Susan sends the clients the following customized documents for review and feedback according to the timeline: Bylaws, Your Activities, Financial Data Report, Fundraising Activities, and Conflict-of-Interest Policy.
BONUS! Susan will complete three drafts of each document (if necessary) to make sure the client is happy with the final version at no extra charge.
Prepare Form 1023: Application
When the clients approve the customized documents, Susan will complete the Form 1023: Application for Recognition of Exemption for review and feedback. This is the official IRS application we complete to apply for 501(c)(3) status.
NOTE: Susan only completes the long version of the Form 1023. She does not complete the streamlined Form 1023-EZ.
Help clients submit the Form 1023
After the clients approve the Form 1023, Susan will help them follow the steps to submit it to the IRS for consideration of 501(c)(3) nonprofit status.
EXTRA!! Serve as IRS liaison
Susan serves as the IRS liaison for the client (if needed). For example, if the IRS Exemption Specialist assigned to process the application has additional questions or need clarifications regarding the Form 1023 application, Susan will follow-up with them directly on behalf of the clients.
Susan will remain “on call” for the client until they receive their 501(c)(3) Determination (Approval) Letter at no additional charge.
4. Terms, conditions, and stipulations
The terms, conditions, and stipulations of the nonprofit start-up and reinstatement services are described below. Please read them carefully.
| 1 | Susan strives to finish the application within 30 business days. | |
| 2 | Susan provides an application completion timeline to guide the process. | |
| 3 | Susan completes three drafts of each document at no charge. There is an extra $20 fee for each draft beyond three. | |
| 4 | Susan is available to answer simple questions via text or email. | |
| 5 | If you want to discuss questions over the phone, let Susan know. She will schedule a phone consultation to answer your questions and concerns. | |
| 6 | Susan does not guarantee that the IRS will award the official Determination Letter that denotes 501(c)(3) tax-exempt approval. | |
| 7 | If the IRS Exemption Specialist assigned to process the application requests clarification or more information, Susan will respond in writing. | |
| 8 | The IRS requests six months to review the application packet. | |
| 9 | Susan cannot be held liable if the IRS rejections the application if the client revises the Form 1023 application before submitting it to the IRS without her knowledge. | |
| 10 | Reinstatement-specific services: Susan writes the reasonable cause statement for the application. She also helps clients choose the correct reinstatement option. |
5. Fees
The fees for the nonprofit start-up and reinstatement services are below.
| Form 1023 application – customized completion services | $3,000 |
| Form 1023 application – IRS processing fees | $600 |
| Articles of Incorporation – filing fee | Varies by state |
6. Refund Policy
Susan issues a full refund three business days after she receives payment.
Susan does not issue refunds if the IRS does not approve the application.
Payment Plan
We agreed to divide the $2,100 Form 1023 application completion fee into two equal payments of $1,050. The first payment is due to start the application. The final payment is due when the application is complete.
Thanks for your business!
I look forward to collaborating with you to earn 501(c)(3) nonprofit status.