5 Phases of Transforming an Idea into a Nonprofit Organization
Picture this: You’ve seen a problem or an issue in your community or the world, and you think you may have an idea to solve it. This is where all nonprofit founders start.
But what happens next? What takes you from having a vague idea to having a full-fledged nonprofit organization that’s making an impact?
The road from idea to organization can be a hazy and ambiguous path. Often people aren’t really sure what they’re doing. Or why they’re doing it. Or where they’re headed.
But in talking with nonprofit founders, I’ve discovered that there are actually 5 stages that most founders go through from having an idea to having an actual nonprofit.
Curious where you fall in the continuum? You should be!
Understanding where you are in the journey can help ground your thinking. It will give you a better understanding of the journey you’re on. It will alert you to the forks in the road that lead in different directions.
It also makes the unknown that you’re walking toward a bit more known. And so it can provide a sense of calm and a little bit of security.
So, where do all nonprofit founders start? They start with an idea.
Phase 1: The Idea Phase
The first stage is the Idea Phase. In this stage, you only have an idea. It may even just be an inkling.
You see a problem or need. You want to do something about it, but you’re not sure what. You have the beginnings of an idea of what the solution might be.
You may be uniquely situated to understand the problem. You likely have a personal connection to it.
And because of the personal connection, you start developing a passion for your idea. Even if it’s unclear at this stage. You literally start to fall in love with your idea.
You may even feel a bit crazy. Why are you thinking so much about this idea? Why is it stuck in your head and won’t go away?
There is a purity to these types of ideas – the lure of having a positive impact on your community or the world. Your desire to contribute, and the genuineness of your feelings, starts pulling you even closer to the idea.
You don’t just want to do good generally. You want to do good with your idea specifically.
At the Idea Phase, you’re doing more thinking than doing. You’re observing. You’re curious. You may even be doing some research and talking to people.
This is how you form your idea.
Phase 2: Experimenting Phase
This is the point when you move from just thinking and talking about your idea, to actually doing something about it.
People are generally conflicted at this stage. They’re often trying to do something about the problem they see, while also trying to get out of doing something!
You may start volunteering. Or you may organize and event or program.
You may start creating a small community or a Facebook group.
If you work in a similar field, you may try to find a way to try your idea at your job. Or you may get a different job that you think might align with your idea.
All the while, it’s fairly common to also be trying to avoid doing it! You may be looking for other community organizations who are doing something similar. You may try to get them to take on your idea.
You’re testing your idea. You’re determining if there is a need for it or if that need is already being met by someone else.
If another organization is already doing your idea or willing to do your idea, then your journey may end here. You may choose to work or volunteer for that other organization. Or convince them to add a new component to their programs.
If no one else is doing your idea or meeting the need you see, then you continue down the road. You keep testing your idea. You keep making connections.
And you’re resisting it at the same time.
But you’re also beginning to understand how transformational it can be to help others. And that transformation is pulling you forward.
You may not realize that you’re already on the path to starting your new venture. But you are.
Phase 3: Realizing Your Idea Can Have a Big Impact
You know you’ve reached phase 3 when your idea starts gaining real momentum.
People are attracted to your idea. Perhaps they’re asking you about it and offering to help. They may even give you money.
Your program experiments may have caught notice of community leaders or the press.
You’re gaining traction, and it feels good. People are telling you that your idea could be a great thing.
You start proactively reaching out to people about your idea. And by doing this you’re beginning to put the building blocks of your organization together.
You may reach out to community leaders, funders, others in the same field. You may start looking for space and mentors.
Often people at this stage look for educational programs, incubators or fiscal sponsors. You’re looking for support so that you can grow your idea into something real.
And you’re continuing to build a community around your idea. You’re pulling in friends, family and acquaintances. You’re asking them to spread the word. You’re getting them involved.
This is the stage where transformation really takes hold. It energizes you to start taking concrete steps forward.
This is also the stage where you start thinking about structure. Should you start a nonprofit organization? Or should you start a mission driven business?
Phase 4: Diving into it
In this phase, you’ve moved fully into doing. You’re no longer just thinking about your idea, or talking about it, or dabbling in it. You’re actually doing the initial steps of starting your organization.
Like what?
You’re probably creating business plan and a budget. You’re likely doing some initial fundraising, like a crowdfunding campaign.
You’ve considered whether to form a nonprofit organization or a mission driven business, and you’ve decided nonprofit is the right structure for your idea.
You’re looking into the steps it takes to legally form a nonprofit organization and get your 501c3 status. You’ve reached out to lawyers and accountants who can help.
You’re starting to learn how to tell your story. This is the beginning of branding your idea.
And all the while, you’re creating a groundswell of people around your soon-to-be organization. You’re connecting with people who may volunteer, or eventually become directors on your board.
You’re forming relationships with partners, funders and community leaders. You’re actively mining your network.
And you have a program! People are getting involved in it. You even have some data and anecdotes to support the value of your idea.
This is a high learning curve phase. So, you may feel like you’re drinking water from a fire hose. You may still feel like you’re making it up as you go along. And you may be concerned about how much you have to learn.
It’s also a phase when you realize gratitude. Gratitude for all the people who want to get in involved in your idea. Gratitude for people who are supporting your steps forward to creating something real.
Phase 5: Launch
Now you’re in the final phase of starting your nonprofit. You’ve incorporated and your 501c3 filing is in the work. You may be operating with a fiscal sponsor or incubator
You have a clear mission and a written business plan. You’re fundraising.
And you’re carrying out programs! You’re helping people, animals, your community or the world.
At this stage, your thinking has completely transformed. You’re motivated by your mission and your vision for a better world.
Picture this: You’ve seen a problem or an issue in your community or the world. But now you have a solution. Now you’re making it happen.
Now you’re a nonprofit founder!
Nonprofit Springboard exists to help visionaries and creative problem-solvers navigate the journey to becoming a nonprofit founder. We want to help you start making an impact as quickly and effectively as possible--while avoiding the headaches that often come along with getting an organization off the ground.
We'd love to know where you are on the journey to becoming a nonprofit founder--email Deborah, our founder, and share your story: deborah@nonprofitspringboard.com.