Fiscal Sponsorship
Overview
p.h. balanced films was founded with the goal of harnessing the power of documentary films to reach a broad audience and let people know how their everyday purchases impact human rights around the world. It’s important to that goal and to our organization that we help filmmakers with a similar mission reach our shared goal of spreading important messages through film.
In that spirit, we created our fiscal sponsorship program. Fiscal sponsorship allows a 501(c)(3) organization (like us) to sponsor a project that does not have tax-exempt status so that the project can seek grants and tax-deductible donations under the umbrella of the 501(c)(3) organization. We see our fiscal sponsorship program as an opportunity to support the filmmaking community and to foster creative collaborations that can improve the reach of all involved. (We love win-win-win situations!)
We carefully designed our fiscal sponsorship program to minimize administrative headaches and to help projects at any stage of production reach their goals. For an overview of the program’s ins-and-outs, look over our FAQs below - and don’t hesitate to get in touch with us if you have unanswered questions: [email protected]
If you think your project’s goals align with ours and that fiscal sponsorship could help your project succeed, we encourage you to apply!
In that spirit, we created our fiscal sponsorship program. Fiscal sponsorship allows a 501(c)(3) organization (like us) to sponsor a project that does not have tax-exempt status so that the project can seek grants and tax-deductible donations under the umbrella of the 501(c)(3) organization. We see our fiscal sponsorship program as an opportunity to support the filmmaking community and to foster creative collaborations that can improve the reach of all involved. (We love win-win-win situations!)
We carefully designed our fiscal sponsorship program to minimize administrative headaches and to help projects at any stage of production reach their goals. For an overview of the program’s ins-and-outs, look over our FAQs below - and don’t hesitate to get in touch with us if you have unanswered questions: [email protected]
If you think your project’s goals align with ours and that fiscal sponsorship could help your project succeed, we encourage you to apply!
fiscalsponsorshipapplication.pdf | |
File Size: | 251 kb |
File Type: |
FAQs
- What is Fiscal Sponsorship?
- What are the benefits of Fiscal Sponsorship?
- Once I am fiscally sponsored, have I become a non-profit?
- What type of Project is p.h. balanced films willing to sponsor?
- What criteria does p.h. balanced films use to assess an application?
- What materials are required in the application for fiscal sponsorship?
- How detailed does the budget included with my application need to be?
- Is there a minimum budget or minimum capital requirement to apply?
- Does my Project/organization need to be incorporated?
- Can I submit multiple Projects for fiscal sponsorship?
- What fees does p.h. balanced films charge, and why?
- Do you charge a Membership Fee?
- What kinds of administrative support can I expect to receive from p.h. balanced films?
- What type of fundraising help and grant writing services do you offer?
- What level of control will p.h. balanced films have over my Project?
- Where will the funds my Project receives through donations, grants, gifts, etc. be held?
- How will I be able to access my Project’s funds?
- What Information is Required by the Request for Disbursement of Funds Form?
- What can I pay for with money received through our fiscal sponsorship relationship that is kept in my Project Bank Account?
- What kind of financial or other reporting forms will I be required to complete?
- What receipts and records of how I spend the Project money should I keep?
- Do I need to report the money I receive through my fiscal sponsorship to the IRS?
- Who will handle the taxes associated with the Project?
- Will I be required to carry insurance for the Project?
- What form of money donations can my Project accept?
- Will I be able to accept non-cash donations (i.e. equipment, stocks, etc.)?
- Can you accept a stock donation to my Project?
- Is my Project eligible for matching gifts?
- If I have overseas donors, can they receive a tax benefit in their own country?
- Can lobbying be part of the Project that is supported by our fiscal sponsorship relationship?
- If I find a grant that does not require a fiscal sponsor can I apply on my own?
- Who will have intellectual property rights to my Project?
- Will I be required to formally acknowledge p.h. balanced films in my marketing materials or in my final work?
What is fiscal sponsorship?
Fiscal sponsorship is a formal relationship that allows a 501(c)(3) public charity (like us!) to sponsor a Project, like a film Project, that lacks 501(c)(3) status, so that the sponsored Project can seek grants and solicit tax-deductible donations under the umbrella of the sponsor’s exempt status. Donors, foundations, corporations, and other sources of support can donate to the sponsor for the purpose of supporting the Project, and then the sponsor “re-grants” the donation to the Project. Under this arrangement, the sponsor supervises the donations, as required to meet IRS (Internal Revenue Service) fiscal sponsorship standards. The sponsor organization and the sponsored Project remain separate legal entities, but form a mutually-beneficial relationship that allows each to help the other reach its goals. (Can you say win-win?)
To meet IRS standards, the sponsored Project’s mission must be one that aligns with and furthers the mission of the sponsor and the sponsor must provide supervision over the donations, grants, gifts, etc. received by the sponsored Project (see more on what this “supervision” entails below). The mission of p.h. balanced films is to provide reliable information about the human cost involved in the global market so that conscious consumers – both existing and in-the-making – can encourage ethical business practices through informed purchasing decisions and address unethical practices through advocacy. In other words, we want to make the public aware of human rights problems around the world- and ideally let our audience know how they can be part of the solution. Do you think your mission is in keeping with ours? If so, consider us for fiscal sponsorship!
Fiscal sponsorship is a formal relationship that allows a 501(c)(3) public charity (like us!) to sponsor a Project, like a film Project, that lacks 501(c)(3) status, so that the sponsored Project can seek grants and solicit tax-deductible donations under the umbrella of the sponsor’s exempt status. Donors, foundations, corporations, and other sources of support can donate to the sponsor for the purpose of supporting the Project, and then the sponsor “re-grants” the donation to the Project. Under this arrangement, the sponsor supervises the donations, as required to meet IRS (Internal Revenue Service) fiscal sponsorship standards. The sponsor organization and the sponsored Project remain separate legal entities, but form a mutually-beneficial relationship that allows each to help the other reach its goals. (Can you say win-win?)
To meet IRS standards, the sponsored Project’s mission must be one that aligns with and furthers the mission of the sponsor and the sponsor must provide supervision over the donations, grants, gifts, etc. received by the sponsored Project (see more on what this “supervision” entails below). The mission of p.h. balanced films is to provide reliable information about the human cost involved in the global market so that conscious consumers – both existing and in-the-making – can encourage ethical business practices through informed purchasing decisions and address unethical practices through advocacy. In other words, we want to make the public aware of human rights problems around the world- and ideally let our audience know how they can be part of the solution. Do you think your mission is in keeping with ours? If so, consider us for fiscal sponsorship!
What are the benefits of fiscal sponsorship?
In addition to the overall good feeling we all get when we can do things to support our community of good filmmakers doing good things, there are some very practical benefits to both the sponsor and the sponsee.
For the sponsored Project, many donors and grant-makers prefer to donate to a Project that has the official support of a 501(c)(3) organization. That may be because the donor would like for their donation to be tax deductible or just because the official 501(c)(3) status provides stability, credibility and legal accountability to a start-up Project. Some grants, in fact, require that applicants without their own 501(c)(3) status have a fiscal sponsor.
Further, sponsors can offer key administrative support to new Projects (more on the kinds of administrative support that we offer as a fiscal sponsor below), as well as creative collaboration.
The final product of the sponsored Project should further the aligned missions of both the sponsor and the sponsee; so in the end, everyone wins!
In addition to the overall good feeling we all get when we can do things to support our community of good filmmakers doing good things, there are some very practical benefits to both the sponsor and the sponsee.
For the sponsored Project, many donors and grant-makers prefer to donate to a Project that has the official support of a 501(c)(3) organization. That may be because the donor would like for their donation to be tax deductible or just because the official 501(c)(3) status provides stability, credibility and legal accountability to a start-up Project. Some grants, in fact, require that applicants without their own 501(c)(3) status have a fiscal sponsor.
Further, sponsors can offer key administrative support to new Projects (more on the kinds of administrative support that we offer as a fiscal sponsor below), as well as creative collaboration.
The final product of the sponsored Project should further the aligned missions of both the sponsor and the sponsee; so in the end, everyone wins!
Once I am fiscally sponsored, have I become a non-profit?
Nope. Being sponsored by us or any other organization does not make your Project or production company a tax-exempt organization (there’s a lot more paperwork, fees, and time involved to do that!). You should be aware that it is illegal for you to hold yourself out to others as a tax-exempt organization - and could put the tax-exempt status of your fiscal sponsor in jeopardy if you do so. If we enter a fiscal sponsorship with you, you should be clear in your communications with potential donors that you have a fiscal sponsorship relationship with us and that’s what allows donors to receive a tax break on donations submitted to us for the sole benefit of your Project.
Nope. Being sponsored by us or any other organization does not make your Project or production company a tax-exempt organization (there’s a lot more paperwork, fees, and time involved to do that!). You should be aware that it is illegal for you to hold yourself out to others as a tax-exempt organization - and could put the tax-exempt status of your fiscal sponsor in jeopardy if you do so. If we enter a fiscal sponsorship with you, you should be clear in your communications with potential donors that you have a fiscal sponsorship relationship with us and that’s what allows donors to receive a tax break on donations submitted to us for the sole benefit of your Project.
P.H. BALANCED FILMS AS A FISCAL SPONSOR: OUR REQUIREMENTS AND POLICIES
What type of Project will p.h. balanced films sponsor?
We are interested in creating a fiscal sponsorship relationship with Projects that have missions that align with ours. If it is of interest to you during the course of our sponsorship, we are open to creating a collaborative relationship that will further the goals of your Project and of our mission. Your film can be at any stage of development: pre-production; production; post-production; or distribution. Your film doesn’t have to be a mirror of work that we’ve done or plan to do; we’re interested in bringing to the public a variety of viewpoints and topics that address human rights and/or get to the heart of the impacts that corporate activity, in all of its forms, can have on the world. If you think your film might fit, we encourage you to apply! If we have questions about exactly how your message fits with our mission, we’ll get in touch and address that together.
We are interested in creating a fiscal sponsorship relationship with Projects that have missions that align with ours. If it is of interest to you during the course of our sponsorship, we are open to creating a collaborative relationship that will further the goals of your Project and of our mission. Your film can be at any stage of development: pre-production; production; post-production; or distribution. Your film doesn’t have to be a mirror of work that we’ve done or plan to do; we’re interested in bringing to the public a variety of viewpoints and topics that address human rights and/or get to the heart of the impacts that corporate activity, in all of its forms, can have on the world. If you think your film might fit, we encourage you to apply! If we have questions about exactly how your message fits with our mission, we’ll get in touch and address that together.
What criteria does p.h. balanced films use to assess an application?
See the application itself for further detail.
- Your application will be reviewed based primarily on the following criteria:
- The merit and utility of your message as it relates to human rights;
- Whether your Project addresses the intersection of corporate activity and human rights;
- The relevance of your subject matter to the overall mission of p.h. balanced films;
- The quality of your proposal;
- The level of experience possessed by your key personnel;
- Your ability to fundraise;
- Whether your budget is realistic and well-developed; and
- Overall likelihood of project completion.
See the application itself for further detail.
What materials are required in the application for fiscal sponsorship?
For full details on our application, you should read the form here.
The brief checklist is:
For full details on our application, you should read the form here.
The brief checklist is:
- Application Cover Page
- Project Questionnaire (which asks for a Project description and/or treatment, timeline, fundraising plan, distribution plan, description of personnel, and comprehensive budget)
- Application Fee Payment Form
- Sample Materials
How detailed does the budget included with my application need to be?
Your budget will need to be as detailed as possible, because it will serve as a good reference point throughout our fiscal sponsorship relationship. Naturally, we understand that your budget may need to be updated over the course of the project, but having as accurate and comprehensive budget as possible at the outset it key.
Your budget should include categories of expenses (e.g., pre-production, production, and post-production; and/or salaries, fees, supplies, equipment, travel, office, etc.). Past and anticipated contributions (monetary and in-kind), as well as past and anticipated expenditures, should be clearly itemized and given an actual dollar amount (not “to be determined”).
For help creating or editing your budget, you may wish to consult:
Your budget will need to be as detailed as possible, because it will serve as a good reference point throughout our fiscal sponsorship relationship. Naturally, we understand that your budget may need to be updated over the course of the project, but having as accurate and comprehensive budget as possible at the outset it key.
Your budget should include categories of expenses (e.g., pre-production, production, and post-production; and/or salaries, fees, supplies, equipment, travel, office, etc.). Past and anticipated contributions (monetary and in-kind), as well as past and anticipated expenditures, should be clearly itemized and given an actual dollar amount (not “to be determined”).
For help creating or editing your budget, you may wish to consult:
Is there a minimum budget or minimum capital requirement for applicants?
No; we are happy to review applications for Projects with any size budget and at any stage in their fundraising efforts.
No; we are happy to review applications for Projects with any size budget and at any stage in their fundraising efforts.
Does my Project need to be incorporated?
“Incorporation” is a legal process where you, as the founder of a Project or company, can register the Project or company with your state and thus make the Project or company a new legal entity that is separate from you as an individual. There are several business structures available to Projects or companies that incorporate and a number of benefits and disadvantages to doing so. If you have not already done so, we encourage you to look into whether incorporating is a good choice for your Project, but we leave that ultimate decision to you.
On our end, we want to remain open to creating fiscal sponsorship relationships with a broad range of Projects, and so incorporation will never be a deal-breaker. That said, working with a Project that is not incorporated increases our overall legal risk, and so preference will be given to Projects that are incorporated. Additionally, we will charge a 7% administrative fee to Projects that are incorporated, and a 10% administrative fee to Projects that are not. (More on fees below.)
“Incorporation” is a legal process where you, as the founder of a Project or company, can register the Project or company with your state and thus make the Project or company a new legal entity that is separate from you as an individual. There are several business structures available to Projects or companies that incorporate and a number of benefits and disadvantages to doing so. If you have not already done so, we encourage you to look into whether incorporating is a good choice for your Project, but we leave that ultimate decision to you.
On our end, we want to remain open to creating fiscal sponsorship relationships with a broad range of Projects, and so incorporation will never be a deal-breaker. That said, working with a Project that is not incorporated increases our overall legal risk, and so preference will be given to Projects that are incorporated. Additionally, we will charge a 7% administrative fee to Projects that are incorporated, and a 10% administrative fee to Projects that are not. (More on fees below.)
Can I submit multiple Projects for fiscal sponsorship?
Yes. If your organization has more than one Project that may be a good fit for our fiscal sponsorship program, please submit all of them! In fact, you can submit multiple Projects with one application and we’ll only charge one application fee. If we accept more than one of your Projects for fiscal sponsorship, each Project will be maintained separately.
Yes. If your organization has more than one Project that may be a good fit for our fiscal sponsorship program, please submit all of them! In fact, you can submit multiple Projects with one application and we’ll only charge one application fee. If we accept more than one of your Projects for fiscal sponsorship, each Project will be maintained separately.
What fees does p.h. balanced films charge, and why?
We charge a one-time application fee of $50. (This is a flat fee and applies even if you are submitting multiple Projects for consideration.) In the event that both parties agree to extend the fiscal sponsorship relationship for the Project past the initial termination date, we will not charge you a renewal fee. We choose not to charge a renewal fee because we want our sponsored Projects to feel as though they have as much time as necessary to produce the highest quality, most effective work possible.
If your Project is accepted, we charge an administrative fee to maintain it. Our administrative fee varies based on two factors:
- whether or not your Project is incorporated. We charge an administrative fee of 7% of all funds that come into the Project’s Bank Account for a Project that is incorporated and 10% for one that is not for all funds up to $150,000.
- the size of your budget. If the funds coming into the Project’s Bank Account exceed $150,000, the percentage of our administrative fee decreases. The ratios are as follows for incorporated/unincorporated Projects:
- 7%/10% of contributions totaling up to $150,000
- 6%/9% of contributions between $150,001 and $400,000
- 5%/8% of contributions between $400,001 and $600,000
- 4%/7% of contributions over $600,001
Using both factors may be confusing but we do it this way so that you keep more of the funds for your Project.
Credit Card Fees: Donations made by credit card incur an additional 3% transaction fee, in addition to the administrative fees listed above.
We charge a one-time application fee of $50. (This is a flat fee and applies even if you are submitting multiple Projects for consideration.) In the event that both parties agree to extend the fiscal sponsorship relationship for the Project past the initial termination date, we will not charge you a renewal fee. We choose not to charge a renewal fee because we want our sponsored Projects to feel as though they have as much time as necessary to produce the highest quality, most effective work possible.
If your Project is accepted, we charge an administrative fee to maintain it. Our administrative fee varies based on two factors:
- whether or not your Project is incorporated. We charge an administrative fee of 7% of all funds that come into the Project’s Bank Account for a Project that is incorporated and 10% for one that is not for all funds up to $150,000.
- the size of your budget. If the funds coming into the Project’s Bank Account exceed $150,000, the percentage of our administrative fee decreases. The ratios are as follows for incorporated/unincorporated Projects:
- 7%/10% of contributions totaling up to $150,000
- 6%/9% of contributions between $150,001 and $400,000
- 5%/8% of contributions between $400,001 and $600,000
- 4%/7% of contributions over $600,001
Using both factors may be confusing but we do it this way so that you keep more of the funds for your Project.
Credit Card Fees: Donations made by credit card incur an additional 3% transaction fee, in addition to the administrative fees listed above.
Do you charge a Membership Fee?
No. Though we appreciate any support you’d like to provide p.h. balanced films, we do not require a membership fee for any Project Applications.
No. Though we appreciate any support you’d like to provide p.h. balanced films, we do not require a membership fee for any Project Applications.
What kinds of administrative support can I expect to receive from p.h. balanced films?
We understand that the level of support each Project is seeking varies and we are open to working with you to determine what works best for your particular Project. Our offerings vary based on your location, needs and interest, but the support we design for you may include:
We understand that the level of support each Project is seeking varies and we are open to working with you to determine what works best for your particular Project. Our offerings vary based on your location, needs and interest, but the support we design for you may include:
- On-going Project Consultations;
- Individualized Fundraising, Proposal Writing, or Planning sessions;
- Assistance with Board development;
- Listings on the p.h. balanced films’ website that provide your donors the ability to make secure online donations;
- Networking Opportunities with other filmmakers; and
- More - depending on the needs of your Project.
What type of fundraising help and grant writing services do you offer?
We want to support you and point you in the right direction, but do remind you that YOU are responsible for raising all the funds for your Project. However, we’ll do our best to answer questions you have, collaborate where necessary, and help you find good resources.
We want to support you and point you in the right direction, but do remind you that YOU are responsible for raising all the funds for your Project. However, we’ll do our best to answer questions you have, collaborate where necessary, and help you find good resources.
What level of control will p.h. balanced films have over my Project?
We are interested in forming a creative collaboration that supports your Project, fosters our community of filmmakers, and furthers our organization’s broader goals; we are not interested in dictating your creative choices or micromanaging your film. Our primary responsibility is your Project’s funds—as a fiscal sponsor, we retain the ultimate decision over whether and how much of your funds will be released to you over the course of the Project. We will not, at any point, assert intellectual property rights over the Project work that you have done or intend to do—you own the copyright and other intellectual property rights over your work before, during, and after the fiscal sponsorship relationship. We will retain the right to see anything that our name is on (including any changes to your final cut after the fiscal sponsorship relationship ends) and the right to remove our name for any reason.
We are interested in forming a creative collaboration that supports your Project, fosters our community of filmmakers, and furthers our organization’s broader goals; we are not interested in dictating your creative choices or micromanaging your film. Our primary responsibility is your Project’s funds—as a fiscal sponsor, we retain the ultimate decision over whether and how much of your funds will be released to you over the course of the Project. We will not, at any point, assert intellectual property rights over the Project work that you have done or intend to do—you own the copyright and other intellectual property rights over your work before, during, and after the fiscal sponsorship relationship. We will retain the right to see anything that our name is on (including any changes to your final cut after the fiscal sponsorship relationship ends) and the right to remove our name for any reason.
Where will the funds my Project receives through donations, grants, gifts, etc. be held?
We maintain a bank account for each Project we sponsor at an authorized Bank and that account is dedicated solely to your Project’s funds, keeping them separate from funds intended for another Project or the operation of p.h. balanced films. The account will be kept in the name of p.h. balanced films, so while we want to make it efficient for you to access the funds you need, we retain full discretion over when and how much money will be released from the account. If you aren’t familiar with a fiscal sponsorship, that may seem odd, but this discretion is a major component of the “supervision” that the fiscal sponsorship relationship requires.
We maintain a bank account for each Project we sponsor at an authorized Bank and that account is dedicated solely to your Project’s funds, keeping them separate from funds intended for another Project or the operation of p.h. balanced films. The account will be kept in the name of p.h. balanced films, so while we want to make it efficient for you to access the funds you need, we retain full discretion over when and how much money will be released from the account. If you aren’t familiar with a fiscal sponsorship, that may seem odd, but this discretion is a major component of the “supervision” that the fiscal sponsorship relationship requires.
How will I be able to access my Project’s funds?
You will be able to access your Project’s funds every month by submitting a Request for Disbursement of Funds Form, which we provide when we enter a Fiscal Sponsorship agreement with you on your Project. The completed form should be submitted by the 15th of each month and, assuming you’ve provided all of the information we need, we will disburse your funds by the last day of the month. We use this monthly structure both because it is administratively streamlined—no worries about completing paperwork for every $20 purchase—and because the form will do double duty as a comprehensive financial report every month, ideally making your life easier when it comes time for you to create a Project report.
Also, we will make “emergency funds” available under extenuating circumstances if you submit an “Emergency Request for Disbursement of Funds” form and pay a fee of $20 to offset the additional administrative burden. While we expect our Fiscal Sponsee’s to plan ahead as much as possible, we understand that sometimes things pop up, and we want to work with you as much as possible in those instances.
You will be able to access your Project’s funds every month by submitting a Request for Disbursement of Funds Form, which we provide when we enter a Fiscal Sponsorship agreement with you on your Project. The completed form should be submitted by the 15th of each month and, assuming you’ve provided all of the information we need, we will disburse your funds by the last day of the month. We use this monthly structure both because it is administratively streamlined—no worries about completing paperwork for every $20 purchase—and because the form will do double duty as a comprehensive financial report every month, ideally making your life easier when it comes time for you to create a Project report.
Also, we will make “emergency funds” available under extenuating circumstances if you submit an “Emergency Request for Disbursement of Funds” form and pay a fee of $20 to offset the additional administrative burden. While we expect our Fiscal Sponsee’s to plan ahead as much as possible, we understand that sometimes things pop up, and we want to work with you as much as possible in those instances.
What Information is Required by the Request for Disbursement of Funds Form?
First, we have a brag a bit that we’ve made a significant effort to streamline and minimize the process you’ll need to undertake for tracking your Project and the forms we ask you to complete. The Request for Disbursement of Funds form is designed to meet several needs at once: it lets us know what money you need from your Project Bank Account for the upcoming month; gives you (and us) a complete snapshot of your Project’s finances for the past month; and, when compiled at the end of the calendar year, will make up the bulk of the annual Project Report that you’ll need to submit every January.
The Request for Disbursement of Funds Form has only four sections: Reimbursement (for last month’s out of pocket expenses); Advancement of Funds section (to cover upfront any large purchases you plan to make within the next month); Purchase Decision information (a good reminder to think about how to make your purchases smarter, more green, sustainable, etc.); and Receipts. The questions in our Purchase Decision section ask what you’ve done, if anything, in the last month to support local business and to make your film production environmentally sustainable. These questions encourage you to think about how your Project fits into the broader public good and how you can make smart, sustainable choices every step of the way.
First, we have a brag a bit that we’ve made a significant effort to streamline and minimize the process you’ll need to undertake for tracking your Project and the forms we ask you to complete. The Request for Disbursement of Funds form is designed to meet several needs at once: it lets us know what money you need from your Project Bank Account for the upcoming month; gives you (and us) a complete snapshot of your Project’s finances for the past month; and, when compiled at the end of the calendar year, will make up the bulk of the annual Project Report that you’ll need to submit every January.
The Request for Disbursement of Funds Form has only four sections: Reimbursement (for last month’s out of pocket expenses); Advancement of Funds section (to cover upfront any large purchases you plan to make within the next month); Purchase Decision information (a good reminder to think about how to make your purchases smarter, more green, sustainable, etc.); and Receipts. The questions in our Purchase Decision section ask what you’ve done, if anything, in the last month to support local business and to make your film production environmentally sustainable. These questions encourage you to think about how your Project fits into the broader public good and how you can make smart, sustainable choices every step of the way.
What can I pay for with money received through our fiscal sponsorship relationship and kept in my Project Bank Account?
You can pay for any approved Project related expense with money from your fiscal sponsorship account. This is one way in which the budget that was approved as part of your application process serves as a good reference point. Using money from your Project’s bank account for anything that is not directly related to completing your Project is illegal and may have very serious consequences for you, your Project, us, and your donors. A benefit of working with us as your fiscal sponsor is that we are here to help you stay organized and legally compliant. If you have any concerns about what is or is not a legitimate Project related expense you can—and should—contact us to talk it through.
You can pay for any approved Project related expense with money from your fiscal sponsorship account. This is one way in which the budget that was approved as part of your application process serves as a good reference point. Using money from your Project’s bank account for anything that is not directly related to completing your Project is illegal and may have very serious consequences for you, your Project, us, and your donors. A benefit of working with us as your fiscal sponsor is that we are here to help you stay organized and legally compliant. If you have any concerns about what is or is not a legitimate Project related expense you can—and should—contact us to talk it through.
What kind of financial or other reporting will I be required to complete?
It’s our goal to keep paperwork streamlined and to a minimum; we know you have more important things to do than spend hours filling out forms. So to make life easier, we will use your monthly Request for Disbursement of Funds Forms as a stand-in for monthly Project reporting. We will also ask you to submit an Annual Project Report, which will largely consist of aggregating your monthly request forms, and then answering a few familiar questions and crunching a few numbers with an eye toward the entire year instead of just one month. Though you should be able to complete the Annual forms in less time than it takes to get ready for your New Year’s Eve party, the forms aren’t due until January 15 of the following year (regardless of when your Fiscal Sponsorship began).
It’s our goal to keep paperwork streamlined and to a minimum; we know you have more important things to do than spend hours filling out forms. So to make life easier, we will use your monthly Request for Disbursement of Funds Forms as a stand-in for monthly Project reporting. We will also ask you to submit an Annual Project Report, which will largely consist of aggregating your monthly request forms, and then answering a few familiar questions and crunching a few numbers with an eye toward the entire year instead of just one month. Though you should be able to complete the Annual forms in less time than it takes to get ready for your New Year’s Eve party, the forms aren’t due until January 15 of the following year (regardless of when your Fiscal Sponsorship began).
What receipts and records of how I spend the Project money should I keep?
All of them. This is another example of how we want to help you keep organized and encourage good practices you’re likely using already. Regularly-updated record keeping is essential to ensure that your Project stays financially on track, that you meet all of your Project’s contract and tax obligations, and to help us fulfill our responsibilities as a supervisor of your funds. (Can you say “Help you help us help you?”) We will ask you to submit copies of your receipts regularly, and you should keep electronic copies, in addition to the originals, for yourself.
All of them. This is another example of how we want to help you keep organized and encourage good practices you’re likely using already. Regularly-updated record keeping is essential to ensure that your Project stays financially on track, that you meet all of your Project’s contract and tax obligations, and to help us fulfill our responsibilities as a supervisor of your funds. (Can you say “Help you help us help you?”) We will ask you to submit copies of your receipts regularly, and you should keep electronic copies, in addition to the originals, for yourself.
Do I need to report the money I receive through fiscal sponsorship to the IRS?
Yes. We strongly urge you to consult with a tax professional to understand your Project’s tax obligations. (And we can recommend some if you don’t know any.) You are responsible for reporting all income for your Project—including the money received through our fiscal sponsorship relationship—to the IRS. We will provide you with a 1099 at the end of the fiscal year. Keeping diligent financial records of your Project-related income and expenditures using the forms we provide will make your life easier come tax time. While we will not advise you on tax-related questions (e.g., anything you owe on your Project related salary) we are happy to recommend a tax professional to help address your specific circumstances.
Yes. We strongly urge you to consult with a tax professional to understand your Project’s tax obligations. (And we can recommend some if you don’t know any.) You are responsible for reporting all income for your Project—including the money received through our fiscal sponsorship relationship—to the IRS. We will provide you with a 1099 at the end of the fiscal year. Keeping diligent financial records of your Project-related income and expenditures using the forms we provide will make your life easier come tax time. While we will not advise you on tax-related questions (e.g., anything you owe on your Project related salary) we are happy to recommend a tax professional to help address your specific circumstances.
Who will handle the taxes associated with the Project?
You will be responsible for all taxes associated with your Project, such as taxes due on the Project funds kept in your Project’s bank account, employment taxes etc. We will not withhold any taxes on your behalf or otherwise fulfill your Project’s federal or state tax requirements.
You will be responsible for all taxes associated with your Project, such as taxes due on the Project funds kept in your Project’s bank account, employment taxes etc. We will not withhold any taxes on your behalf or otherwise fulfill your Project’s federal or state tax requirements.
Will I be required to carry insurance for the Project?
You are not required to carry insurance for your Project, but we strongly recommend that you do so, and we are happy to recommend some options. We will not hold insurance that covers your Project in any capacity.
You are not required to carry insurance for your Project, but we strongly recommend that you do so, and we are happy to recommend some options. We will not hold insurance that covers your Project in any capacity.
What form of money donations can my Project accept?
You can accept any legal donation, e.g., via credit cards, checks, wire transfers, stock transfers, PayPal, crowdfunding, etc. Just note that, naturally, we won’t absorb other people’s fees; the person paying will need to cover the fees as well.
You can accept any legal donation, e.g., via credit cards, checks, wire transfers, stock transfers, PayPal, crowdfunding, etc. Just note that, naturally, we won’t absorb other people’s fees; the person paying will need to cover the fees as well.
Will I be able to accept non-cash donations (i.e. equipment, stocks, etc.)?
We are open to accepting “in-kind” donations (non-monetary donations, such as equipment), as long as 1) they are used in the production of your project; and 2) we can ensure that we remain in compliance with all IRS requirements for doing so within the context of our 501(c)(3) status and our status as a fiscal sponsor.
We are open to accepting “in-kind” donations (non-monetary donations, such as equipment), as long as 1) they are used in the production of your project; and 2) we can ensure that we remain in compliance with all IRS requirements for doing so within the context of our 501(c)(3) status and our status as a fiscal sponsor.
Can you accept a stock donation to my Project?
Yes, though it may take longer to process stock donations than other standard donations. Please contact our office for information on accepting stock donations.
Yes, though it may take longer to process stock donations than other standard donations. Please contact our office for information on accepting stock donations.
Is my Project eligible for matching gifts?
We can process and accept matching gifts from businesses if their employee makes an eligible donation. Each company has their own rules and procedures for processing these donations so anyone wishing to make an eligible gifts should contact the company for details on how to proceed. For our part, just let us know that a matching donation will be arriving and ask both parties to reference your Project on the check or accompanying letter.
We can process and accept matching gifts from businesses if their employee makes an eligible donation. Each company has their own rules and procedures for processing these donations so anyone wishing to make an eligible gifts should contact the company for details on how to proceed. For our part, just let us know that a matching donation will be arriving and ask both parties to reference your Project on the check or accompanying letter.
If I have overseas donors, can they receive a tax benefit in their own country?
We are only able to provide donors with tax receipts that are valid in the United States. Potential donors in other countries will need to consult with their own government and/or tax professionals about any potential benefit associated with donating to a U.S. charity or nonprofit organization.
We are only able to provide donors with tax receipts that are valid in the United States. Potential donors in other countries will need to consult with their own government and/or tax professionals about any potential benefit associated with donating to a U.S. charity or nonprofit organization.
Can lobbying be part of the Project that is supported by our fiscal sponsorship relationship?
You cannot engage in lobbying with any of the funds that are controlled by p.h. balanced films through your Project’s bank account. In order to maintain our 501(c)(3) exempt status, we must respect strict limitations on lobbying activity and allowing our fiscally sponsored Projects to engage in lobbying with funds attached to our organization’s activities could put our status in jeopardy. To get a handle on what types of activities may be deemed “lobbying” by the IRS, go here. If you have Projects or funds that exist separate and apart from the Project and funds that are part of our fiscal sponsorship relationship, then you are free to do whatever you think is most effective in advancing your goals.
You cannot engage in lobbying with any of the funds that are controlled by p.h. balanced films through your Project’s bank account. In order to maintain our 501(c)(3) exempt status, we must respect strict limitations on lobbying activity and allowing our fiscally sponsored Projects to engage in lobbying with funds attached to our organization’s activities could put our status in jeopardy. To get a handle on what types of activities may be deemed “lobbying” by the IRS, go here. If you have Projects or funds that exist separate and apart from the Project and funds that are part of our fiscal sponsorship relationship, then you are free to do whatever you think is most effective in advancing your goals.
If I find a grant that does not require a fiscal sponsor can I apply on my own?
Yes. You should absolutely pursue multiple sources of revenue to fund your Project. If you find a grant that you qualify for as an individual filmmaker and that doesn’t require a fiscal sponsor, you can apply and accept those funds outside of your relationship with us.
Yes. You should absolutely pursue multiple sources of revenue to fund your Project. If you find a grant that you qualify for as an individual filmmaker and that doesn’t require a fiscal sponsor, you can apply and accept those funds outside of your relationship with us.
Who will have intellectual property rights to my Project?
You will have those rights before, during, and after the fiscal sponsorship relationship.
You will have those rights before, during, and after the fiscal sponsorship relationship.
Will I be required to formally acknowledge p.h. balanced films in my marketing materials or in my final work?
We will ask that you acknowledge p.h. balanced films as a fiscal sponsor on the website for your Project (if you have one) and in the end credits of your film. You will not need to include us on your letterhead or in other marketing materials. If you include us anywhere else, we ask that you let us know.
We will ask that you acknowledge p.h. balanced films as a fiscal sponsor on the website for your Project (if you have one) and in the end credits of your film. You will not need to include us on your letterhead or in other marketing materials. If you include us anywhere else, we ask that you let us know.