Disclaimer: Our client has requested to remain anonymous but were willing to share their story. Like they say in the movies, “Ladies and gentlemen: the story you are about to hear is true. Only the names have been changed to protect the individuals. The company name, logo and pictures are fictitious. If you wish to hear more about this story, please schedule a free consultation and we'd be happy to share all the details about the strategy. We will not divulge the clients name.
Our client runs a 30-person group practice in a big city. They were profitable, but were having a hard time wrestling with the inability to serve the impoverished communities that neighbored their office. They knew there was a need there but financially, it wasn’t prudent.
Inspired by the social justice movements and recognizing the mental health disparities in their community, they wanted to show up and do more. They envisioned forming a non-profit organization that could secure grants and other funding to spearhead these initiatives. However, they were unfamiliar with the complexities of non-profit formation, financial planning, and grant applications.
We began with an in-depth consultation to understand the client's vision, goals, and the social justice initiatives they wanted to fund. Based on this, we developed a comprehensive financial plan outlining the costs involved in forming and operating a non-profit.
Our team guided the client through the legal and financial intricacies of forming a non-profit organization. This included:
Selecting the appropriate type of non-profit entity
Filing the necessary paperwork, including Articles of Incorporation and Bylaws
Obtaining an Employer Identification Number (EIN)
Preparing and submitting the IRS Form 1023 for tax-exempt status
We set up a separate accounting system for the non-profit, ensuring compliance with non-profit accounting standards and regulations. This included setting up fund accounting to track grants and donations separately.
Our team identified potential grants and other funding sources that aligned with the client's social justice goals. We assisted in:
Researching grant opportunities
Budget planning for grant applications
Preparing and submitting grant proposals
Within six months of our engagement, the client’s non-profit was officially formed and received its tax-exempt status. Our targeted approach led to the non-profit securing over $500,000 in grants, enabling them to launch several community-based programs, including:
Mental health awareness campaigns targeting marginalized communities
Training programs for law enforcement on mental health crisis intervention
Community workshops on racial equality and social justice
By leveraging our expertise in financial planning, non-profit formation, and tax laws, we empowered this client to extend their impact beyond 1x1 private therapy and make a meaningful contribution in their community.
Key takeaway: Specialized financial guidance can transform a vision into a reality, creating lasting change for the better.
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