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What steps do I need to take to start a nonprofit organization in Illinois?

To start a nonprofit organization in Illinois, you will need to take the following steps:

  1. Choose a name for your nonprofit organization: The name must be distinguishable from any existing entity on file with the Illinois Secretary of State. You can check the availability of a name online at the Illinois Secretary of State website.

  2. Select your board of directors: You will need to have a board of directors to govern the nonprofit organization. Illinois law requires at least three directors. They should be individuals who share the mission and vision of your organization and are willing to dedicate their time and resources to its success.

  3. Draft articles of incorporation: Articles of incorporation are legal documents that establish the existence of your nonprofit organization. Your articles of incorporation must include the name of your organization, purpose, registered agent, and the names and addresses of your initial directors.

  4. File articles of incorporation: Once your articles of incorporation are complete, you must file them with the Illinois Secretary of State. You can file online or through the mail.

  5. Apply for tax-exempt status: If your nonprofit organization meets certain requirements, you may be eligible to apply for tax-exempt status with the Internal Revenue Service (IRS). To apply for tax-exempt status, you must file Form 1023 or 1023-EZ.

  6. Obtain required licenses and permits: Depending on the nature of your nonprofit organization's operations, you may be required to obtain certain licenses and permits in order to legally operate in Illinois. Examples include zoning permits, business licenses, and charitable solicitation registration.

  7. Develop bylaws: Bylaws are internal rules and regulations for running your nonprofit organization. They should outline the duties and responsibilities of the board of directors, officers, and members. Bylaws should be adopted at the first meeting of your board of directors.

  8. Hold an organizational meeting: At your first organizational meeting, you will adopt your bylaws, elect officers, and take care of other formalities. You will also need to ratify any actions that occurred prior to the meeting.

These steps are a general outline for starting a nonprofit organization in Illinois. However, it is important to note that there may be additional steps required based on the specific circumstances of your organization. It is recommended that you consult with a licensed attorney to ensure that you properly complete all necessary steps and maintain compliance with current laws and legal precedents in Illinois.