A fiscal sponsor is a tax-exempt nonprofit organization that provides fiduciary oversight, financial management, and other administrative services to help build the foundation of charitable projects. People in Partnership (PIP) currently operates under a Model C or Preapproved Grant Model. If a Model A or Direct Project Model would be a better fit for your project, please contact us to see how we can help.

By partnering with a fiscal sponsor, your project can immediately seek and receive tax-exempt contributions and grant monies under the established 501(c)(3) of the Sponsor. This partnership facilitates and expedites the project's establishment while it is working towards the often-lengthy process of gaining a tax-exempt status. For some programs, using the fiscal sponsor for a long-term is the right option.

PIP contracts are typically for one year and may be renewed annually if both parties agree.

Starting a nonprofit through a fiscal sponsor is easier for two reasons: time and money. The process of forming a nonprofit corporation and applying for your tax-exempt status through the IRS generally requires a minimum of six months. Under a fiscal sponsorship relationship, your project can usually get off the ground in 6-8 weeks.

From day one, your donors receive a tax deduction for donations, and it qualifies you for grants available only to tax-exempt organizations under section 501(c)(3) of the Internal Revenue Code.

Sponsors can also provide administrative support to new projects by helping with fundraising and marketing strategies. They can also assist the project in obtaining their tax-exempt status.

• Auditing

• Bookkeeping/accounting

• Human resource management

• Organizational development

• Tax reporting

Through its partners, PIP is able to offer a continuum of nonprofit administration services and consulting including strategic planning, fundraising, reporting, and donor stewardship. (There may be additional fees associated with these services.)

Yes. Established nonprofit organizations can choose to make their home with People in Partnership, appreciating that a new operating structure will allow them to better focus on their mission. Please indicate in your application to us that you have incorporated already. If you are accepted for fiscal sponsorship with us, you will no longer be able to conduct business under the incorporated entity. If there are any outstanding liabilities, you will not be considered for sponsorship until they are resolved.

All projects are required to fill out the online application to be considered for fiscal sponsorship.

Once your application is submitted, it will be reviewed by People in Partnership’s staff and board members. Final determination of sponsorship is made by the full board of PIP.

If all information is in order, the project review process takes approximately six to eight weeks.

No, our model is to provide counsel and training to help you build the skills you need. In many cases grant applications require written approval from the fiscal sponsor. We review all grant proposals and provide feedback before you submit them to funders.

The specific objectives and purposes of People In Partnership are to support projects, programs and services that encourage and promote healthy communities in South Carolina.

You can tell them that contributions made directly to your project are not tax deductible because the project does not yet have tax-exempt status by itself in the eyes of the IRS.

People In Partnership – a tax-exempt, nonprofit organization – serves as your fiscal sponsor so that the donors can support your work and also receive a tax deduction.

By using the money for your project’s expenses. Upon receipt of a request for payment that indicates satisfactory completion of work ordered by your project or expenses approved by the PIP board, we will distribute funds requested to you. In no case will any such expenditure exceed the total contributions for your project received by PIP and we will not advance funds to the project beyond those received by PIP.

PIP’s shared administrative costs amount to 8%-15% of the funds we receive for the benefit of your project and are established upfront plus $25/month ($25x12=$300) for new projects. The $25 must be paid by a personal credit card. If your project raises $5,000 or more in a calendar year, the $25.00 will no longer be collected. There may also be additional costs associated with optional services such as overnight wire transfers, needing a rush on BOD voting, or compiling special financial reports, but only if you ask for those services and agree in advance to the amount.

In addition, there is a non-refundable $30 application fee to offset administrative costs.

We currently only accept projects in the state of South Carolina.