The Joys of Fiscal Sponsorship

So, what is this "Fiscal Sponsorship" you speak of, Jessica? Well, for those of you who don't know, it is this amazing thing where a nonprofit organization sponsors a smaller organization. If you are an individual, or a small company, particularly in the arts (I only know about it in the arts, though there may be other organizations in other fields that offer it) you can become sponsored by a larger, more established company. In my case, I went with The Field. By being sponsored I am able to have the benefits of being a non-profit company, without having to go through the process of selecting a board, writing bylaws and applying for my own 501(c)(3). What's more, if down the line, I'm interested in establishing an LLC or LLP instead of a non-profit, then I don't have to reverse anything. I can just go from Sole Proprietorship, to whatever corporate structure I wish without having to dissolve something I already established.

By being sponsored, donations made to my company are tax deductible to the donor. Additionally, I can apply for grants that are available only to non-profit companies, and I can use resources that are for non-profit companies. And, if someone wants to donate to my company by credit card, they can do so on The Field's website without me having to set up some sort of online payment system. It's remarkably freeing - allowing me to have the benefits of a non-profit company without having to set it up and run it. It allows me the opportunity to focus on the art.

Now comes my PSA - If you are an artist in the New York area and you're interested in becoming fiscally sponsored, there are a couple of organizations which can help you. The two I am most familiar with are The Field www.thefield.org and Fractured Atlas www.fracturedatlas.org.

Both organizations are wonderful and provide many more resources than just fiscal sponsorship. I believe The Field started by being a dance support system whereas Fractured Atlas was really more focused on theater (but don't quote me on that). Now they both are really active in supporting all performing arts. I absolutely can not say enough good things about The Field (I have no personal experience with Fractured Atlas but from what I understand from people I've spoken to, they are also a wonderful organization.) Everyone at The Field is helpful and knowledgeable and just all around terrific. As you can see, I'm a bit of a fan.