• Karen Avidar

How to register as an unincorporated nonprofit association

Updated: 2 days ago

If your club wants to do things like open a bank account or enter into contracts with vendors, the first thing you'll need to do is set up your club as an unincorporated nonprofit association. If the procrastinator in you wants to bury yourself under the covers after hearing that – don't do it! Setting up your club as an unincorporated nonprofit is actually pretty straightforward. This guide will walk you through how to painlessly set up your own unincorporated nonprofit association in no time.


Overview:

  1. Create and sign club bylaws

  2. Get an EIN

  3. Open club bank account

  4. Celebrate with a victory lap


Sound like too much already? We'll help you register your club as an unincorporated non-profit for free. Shoot us an email at info@bankingcrowded.com and we'll get the ball rolling.



Step 1: Write your bylaws


Whenever two or more people begin working together on a common goal, they’ve formed an unincorporated association.


In order to start opening a bank account and conducting other business for your club, you'll need to put your goals down in writing, lay out your club rules, and have two club members sign them (such as your club treasurer and secretary). These are your club bylaws and they're required to officially be recognized as an unincorporated nonprofit association.


The good news is that you don’t need a lawyer to write your bylaws – there are plenty of examples you can find online, or, you can use our free bylaws template to create your own. If you get stuck or just want some help, you can always send us an email at info@bankingcrowded.com.


Step 2: Get your EIN


We also hate acronyms that leave us scratching our heads, but this one is easy. EIN stands for Employer Identification Number (also known as your Federal Tax Identification Number). It’s a nine-digit number assigned to your club by the IRS so that they can identify you.


You’ll need an EIN to get your tax-exempt status as a nonprofit, open a bank account, and conduct business on behalf of your club. Luckily, the IRS has a free online EIN assistant that can set you up in five minutes. Heads up, make sure you choose “view additional types, including tax-exempt and governmental organizations” when filling out the application.


Once you complete the form, you’ll have the option to receive a PDF with your EIN identification number. Make sure to save this PDF and have it handy for when you want to open your bank account.


Step 3: Open your club bank account


This is where we come into the picture. We’ll help you get your Crowded bank account set up in minutes and then show you how easy it is to manage all of your club finances on our app built exclusively for members clubs.


Spoiler alert: you’ll be able to quickly set up payment requests (such as dues payments), conveniently see all of your member’s payment statuses, and best of all – you’ll be able to issue out digital debit cards to your members with a specific amount of club funds. And that’s just the highlight reel.


Get started with your club's Crowded account here.


And that's it! Now you can go ahead and start watching that Netflix show everyone is talking about and worry less about scrambling over your club finances.

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