start a nonprofit in California and obtain 501(c)(3) status

Ultimate California Nonprofit Startup Guide — Form a 501(c)(3) the Right Way
Ultimate California Nonprofit Guide
Google‑Ads Ready • Mobile‑First • HTTPS Secure

Start a California Nonprofit & Get 501(c)(3) Status — With Visual Guides & Pro Bono Options

Everything you need: California‑specific steps, timelines, plan comparison, expanded FAQs, and access to pro bono or low‑cost assistance. Built for conversions and policy compliance.

Become a Member Get Free Checklist

Educational content, not legal/tax advice. Verify fees and forms with the CA Secretary of State, CA Attorney General, FTB, CDTFA, and IRS.

Why 501(c)(3) Matters

501(c)(3) recognition makes donor gifts tax‑deductible, opens access to foundation/corporate grants, and strengthens public trust. Starting strong — with clear bylaws, transparent governance, and clean books — helps avoid delays.

  • ✓ Donor tax deductions & grant eligibility
  • ✓ Credibility for programs and partnerships
  • ✓ Solid governance and financial controls
  • ✓ A durable foundation for your mission

California Formation & 501(c)(3) — Step by Step

Verify details on official sites; fees and forms can change. This practical flow helps you prepare documents and timelines.

1 • Name & Board

Pick a Compliant Name & Recruit Directors

Search name availability with the CA Secretary of State. Best‑practice board size is three or more independent directors (IRS‑friendly).

Pro Tip: Consider optional name reservation if timing is tight. Draft a one‑sentence mission you can reuse throughout filings.
2 • Agent for Service of Process

List a California Agent

Provide a CA street address (no P.O. box) for legal notices. A commercial agent may be used.

3 • Articles of Incorporation

File Articles — Nonprofit Public Benefit

Include a specific charitable/public purpose and the asset dedication clause (assets go to another 501(c)(3) or government upon dissolution).

4 • Statement of Information (SI‑100)

File Within 90 Days

List officers, addresses, and agent. File every two years thereafter (or upon information changes).

5 • Bylaws, Policies, & Organization

Adopt Governance Documents

Approve bylaws and a conflict‑of‑interest policy, appoint officers, record minutes, and set a compliance calendar.

6 • Registry of Charitable Trusts

Register with AG

Submit initial registration (CT‑1) within 30 days of receiving assets or starting activities. Annual RRF‑1 renewal is required.

7 • EIN

Get an Employer Identification Number

Apply with the IRS even if you have no employees — needed for banking and grants.

8 • Federal 501(c)(3)

File 1023 or 1023‑EZ

Provide program narratives, a 3‑year budget, insider relationship disclosures, and governing documents.

9 • CA FTB Exemption

File 3500 or 3500A

Seek exemption from California franchise/income tax. Use 3500A if you have an IRS determination; 3500 if you don’t.

10 • Other CA Registrations

CDTFA, EDD, Local, Raffles

Get a CDTFA seller’s permit if you sell goods; register with EDD if hiring; obtain local business licenses; register raffles with the AG; consider property tax welfare exemption (county assessor/BOE) if applicable.

11 • Ongoing Compliance

Keep Good Standing

SI‑100 every two years; annual RRF‑1; IRS 990‑series; CA FTB 199/199N; maintain minutes, donor acknowledgments, and internal controls.

Become a Member

Visual Timeline

Week 1: Name confirmed • Board recruited • Agent listed
Week 2: Articles filed • Bylaws adopted • SI‑100 prepared
Week 3: EIN issued • AG Registry CT‑1 filed • Banking set up
Weeks 4–8: 1023‑EZ or 1023 prepared and filed • FTB 3500A/3500
After Filing: IRS review • Annual RRF‑1 • 990‑series • SI‑100 biennial • FTB 199/199N
Plan Your Start

Plans for Every Budget

DIY Toolkit

For founders who want to do it themselves with guidance.

  • California formation checklist
  • Bylaws + conflict‑of‑interest templates
  • 1023 vs 1023‑EZ quick guide
Become a Member
Most Popular

Guided Setup

We review docs, answer questions, and keep you on track.

  • Document review & feedback
  • One‑on‑one Q&A (scheduled)
  • Compliance calendar & reminders
Start Today

Pro Setup

Hands‑on assistance with filings and application prep.

  • Articles drafting with CA‑specific clauses
  • Bylaws + policy drafting
  • Form 1023 or 1023‑EZ preparation
Talk to Us

Pro Bono & Low‑Cost Assistance

We believe every worthy mission deserves a fair start. If budget is a barrier, explore these options:

  • ✓ Pro Bono Review Slots: Limited monthly reviews of Articles/bylaws for qualifying grassroots founders.
  • ✓ Sliding Scale Plans: Reduced rates based on budget and program scope.
  • ✓ Pay‑Over‑Time: Milestone‑based billing aligned to your launch timeline.
  • ✓ Template Library: Free checklists, bylaws, COI policy, and first‑year compliance calendar.
How it works: Apply with a brief mission summary and projected first‑year budget. We’ll match you to the best option available.

Founder Stories

“Clear, California‑specific steps. Our AG registration and FTB exemption were painless.”

— Oakland Literacy Lab

“The bylaws/policy templates saved us days. The review call was gold.”

— Fresno Youth Mentors

“Pro bono review got us across the finish line. We launched programs immediately.”

— San Diego Hope Kitchen

Free Resources

  • ✓ California Nonprofit Launch Checklist (PDF)
  • ✓ Bylaws & Conflict‑of‑Interest Policy templates
  • ✓ 1023 vs 1023‑EZ decision helper
  • ✓ First‑year CA compliance calendar

Expanded Frequently Asked Questions (California)

Formation

How many directors are required in California?
California law permits as few as one director for a nonprofit public benefit corporation, but best practice (and IRS expectation) is a board of three or more independent directors.
Do we need “Inc.” in the name?
Not required for CA nonprofit public benefit corporations. Follow Secretary of State naming rules and avoid restricted terms unless authorized.
What must be in the Articles?
A specific charitable/public purpose statement and the asset dedication clause. Include agent for service of process and any additional disclosures required by CA forms.

State Filings & Registrations

When is the SI‑100 due?
Within 90 days of incorporation and every two years thereafter (or when information changes). File online for speed.
When must we register with the AG’s Registry?
Within 30 days of initially receiving assets or commencing activity. Renew annually with RRF‑1 and required attachments (e.g., 990‑series).
How do we obtain CA income tax exemption?
File FTB 3500A if you already have your IRS determination letter; otherwise file FTB 3500 with required supporting documents.

Operations & Finance

Do we need a seller’s permit?
If you sell tangible goods in California, apply with CDTFA. Nonprofits are not automatically exempt from sales/use tax.
Hiring staff in California?
Register with EDD for payroll taxes, follow wage/hour and insurance rules, and maintain required postings and policies.
Raffles and games of chance?
Charitable raffles require registration with the AG and strict compliance with CA raffle regulations. Other games of chance may be prohibited.

Annual Filings

Which returns do we file each year?
IRS 990‑series (990‑N/990‑EZ/990), CA RRF‑1 to the AG, and CA FTB 199 or 199N depending on revenue. Also file SI‑100 every two years.
What about donor acknowledgments?
Provide timely, accurate receipts. For contributions of $250+ include the required “no goods/services” statement if applicable. Track restricted gifts separately.
How do we maintain good standing?
Keep minutes, update officers/addresses, renew registrations on time, and maintain internal controls and board oversight.
Become a Member

Talk to a California Nonprofit Specialist

Questions about Articles language, SI‑100, AG registration, or 3500A vs 3500? We’ll help you choose the right path and avoid delays.

Response window: Mon–Fri, business hours. We never sell your information.
Your mission deserves a strong California start.
Become a Member Apply for Assistance