How does ioby's fiscal sponsorship service work?
The fiscal sponsorship contract is essentially a commitment to use the funds raised in the manner you described in your fundraising campaign. Please be sure to save your receipts if you are making purchases in advance of receiving your crowdfunded money.
ioby fiscal sponsorship is required of all campaigns that do not have their own 501(C)(3) status or a 501(C)(3) fiscal sponsor. This allows donations to your campaign to be tax-deductible to your donors.
Please note that ioby is only able to offer limited fiscal sponsorship, extended for crowdfunded donations and to implement your project. If you are in need of comprehensive fiscal sponsorship (for instance, if you’d like ongoing fiscal sponsorship, would like to accept grants that exceed 25% of your campaign budget, would like to conduct your project on private property, etc.) you may need to obtain another fiscal sponsor before crowdfunding on ioby. Here are some tips on how to do so.
What ioby's fiscal sponsorship CANNOT do:
ioby cannot apply for a grant on behalf of your project. If you apply for and receive a grant as part of your crowdfunding campaign, we can accept the funds but no more. We cannot sign any agreements, make a commitment to provide grant reports, provide any ioby documents to a grantor, or provide a confirmation letter that we are your fiscal sponsor.
- ioby can only serve as your fiscal sponsor for money you crowdfund. Once your crowdfunding campaign is over and your money has been disbursed, we can no longer serve as your fiscal sponsor.
- If you are participation in an event reserved for nonprofits, and that requires confirmation of insurance, we are not able to provide any forms to confirm ioby's insurance.
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