I'm going to this workshop this afternoon at the Foundation Center about Fiscal Sponsorship. It seems like I have been spending the last couple of months thinking about Fiscal Sponsorship not only from the perspective of a nonprofit that provides Fiscal Sponsorship, but also looking at start-up nonprofits and what fiscal sponsorship means to them. Here's what I've learned so far.
First, I learned that fiscal sponsorship is not something that nonprofits should just jump into quickly. When I came into Aspiration, we had a fiscal sponsorship agreement in place, however after working with my Attorney and reading the book, "Fiscal Sponsorship--6 Ways to Do It Right" by Gregory Colvin. I realized that we needed to have a stronger agreement with the new organizations we were sponsoring. We are what the book defines as Model C--"A Preapproved Grant Relationship" with the new organizations we sponsor. It took us a while to get all this figured out and we are still working to do this the right way.