California Nonprofit Incorporation Guide

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Quick Facts

A

Pre-Filing Checklist

1. 1.
   Check name availability: Search the CA Business Search database. Consider reserving your name for 60 days if needed.
2. 2.
   Secure a registered agent: Must have a California street address (no P.O. boxes). Can be an individual or registered corporate agent service.
3. 3.
   Select nonprofit type: Choose “Public Benefit” for 501(c)(3) organizations. Avoid “Mutual Benefit” which isn't eligible for tax exemption.
4. 4.
   Draft your mission statement: Prepare a concise, non-limiting specific purpose statement for Article 4b.
5. 5.
   Identify incorporator: Only one incorporator is required. Board directors are not listed in the Articles.

B

Prepare Articles of Incorporation

Complete the ARTS-PB-501(c)(3) form with the following information:

1. 1.
   Corporate Name: Must exactly match your name clearance search.
2. 2.
   Business Addresses: Principal office must be a street address (no P.O. boxes).
3. 3.
   Agent for Service of Process: Individual with CA address or registered corporate agent.
4. 4.
   Statement of Purpose:

   • • Section 4a: Check “public purposes” box
   • • Section 4b (Specific Purpose): Add your mission statement
5. 5.
   Additional Statements: Pre-printed organizational test clauses (included in 501(c)(3) version).
6. 6.
   Incorporator Signature: Single incorporator signs and dates.

C

File Your Articles

• Filing Method: Submit online via bizfile Online (fastest processing)
• Standard Fee: $30 for online or mail filing
• Expedited Service: Add $15 for in-person special handling
• Certified Copy: Optional - add fees if needed for grant applications
• Processing Time: Online filing typically 1-2 business days

After Filing: You'll receive email confirmation and a file-stamped copy upon acceptance. Save this for your records and future filings.

D

Post-Incorporation Tasks

1. 1.
   Obtain EIN: Apply immediately via IRS Form SS-4 (online application available).
2. 2.
   Hold Organizational Meeting: Adopt bylaws, appoint directors/officers, approve banking, set fiscal year, establish policies.
3. 3.
   File Statement of Information: Submit SI-100 within 90 days ($20 fee, then biennial).
4. 4.
   Register with Attorney General: File CT-1 within 30 days of receiving assets. Include Articles, bylaws, and IRS letter if available ($50 fee).
5. 5.
   Apply for State Tax Exemption: After receiving IRS determination, submit FTB 3500A. For direct state application, use FTB 3500.
6. 6.
   Check Local Requirements: Research county/city business licensing requirements.
7. 7.
   Set Up Compliance Calendar: Track RRF-1 annual report and Form 990/199 deadlines.
8. 8.
   Open Bank Account: Bring EIN letter, Articles, and board resolution. Set up donor acknowledgment procedures.

Resources & Forms

• Articles of Incorporation: ARTS-PB-501(c)(3) Form
• Statement of Information: SI-100 Form
• Attorney General Registration: CT-1 Initial Registration
• State Tax Exemption: FTB Forms 3500A/3500
• IRS Form 1023-EZ: Streamlined Application

Best Practices & Tips

• Use non-limiting language in your specific purpose to avoid future amendments
• Maintain a corporate record book with all formation documents
• Set calendar reminders for all filing deadlines immediately
• Consider professional registered agent services for reliability
• File your IRS Form 1023-EZ within 27 months of incorporation to secure retroactive exemption
• Keep detailed records of all organizational meetings and board resolutions