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How to start a nonprofit

Steps to Start a Nonprofit in Arkansas in 11 Steps

October 28, 2024
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If you're looking to start a nonprofit organization in Arkansas, you’ve come to the right place.

In this blog, we’ll cover everything there is to know about launching your own charity, from researching and planning to choosing a name and starting to fundraise for free.

Step 1. Research and plan 

When considering starting a nonprofit in Arkansas from scratch, it can be hard to know where to begin. When deciding to take on the endeavor, it is important to get clear on a few fundamental things, including:

  • Community needs: Consider what problems you want to address or what positive changes you want to make.
  • The market: Research nonprofits in Arkansas land that work in similar areas or address similar issues. Identify any gaps or needs that your nonprofit could address.
  • Your goals: Clarify your nonprofit's specific goals and objectives. Determine what you hope to achieve in the short term and long term.
  • Your mission statement: Write a clear and concise mission statement that articulates who you are, what you do, and who you serve.
  • Feedback: Seek feedback from stakeholders, potential beneficiaries, and members of your community to ensure that your mission statement accurately reflects community needs.

Step 2. Choose a name 

Once you’ve determined your organization’s core mission and goals, it’s time to name your nonprofit. Not only is this step in the process important for marketing and branding purposes, but it’s also a crucial part of the legal process of starting a nonprofit in Arkansas. 

When deciding on your organization’s name, be sure to choose a name that:

  • Reflects your mission and goals
  • Describes what you aim to do
  • Is easy to spell and pronounce
  • Offers room for future growth

Once you’ve found a name, be sure to search for it on the Arkansas Secretary of State website to make sure it's not already in use by another organization in the state. Then, reserve it for $25 by using the Application for Reservation of Corporate Name.

Step 3. Recruit a leadership team

Once you’ve determined your organization name and confirmed that it is not already in use, it’s time to create a leadership team.

Identifying an Incorporator and a Board of Directors is not only a strategic decision that can help make your nonprofit a success, but it’s a required one in Arkansas. 

  • Incorporator: Nonprofits must recruit at least one Incorporator who will be responsible for signing the Articles of Incorporation. 
  • Directors: You must assemble a board of at least three directors who will help guide your nonprofit through strategic decision-making. 

When choosing your leadership team, be sure to select people who are trustworthy, dependable, and bring a skillset to the table. Whether they’re already a member of your organization or a trusted volunteer, they’ll help you make crucial decisions about your charity.

Step 4: Recruit a registered agent

Appointing a registered agent is a vital step when forming a nonprofit in Arkansas. In essence, a registered agent acts as a reliable point of contact for legal matters. This designated individual receives important documents and official correspondence on behalf of your nonprofit, such as legal notices and tax forms. 

The registered agent must be located in Arkansas and available during regular business hours to receive legal correspondence and communication.

Step 5: Incorporate your nonprofit 

One of the most crucial steps in starting a nonprofit in Arkansas is filing the Articles of Incorporation for $45 or by mail for $50. This will officially establish your nonprofit as a legal entity in the state.

Once the Articles of Incorporation are approved, you'll receive a Certificate of Incorporation from the Arkansas Corporation Commission, officially recognizing your nonprofit as a legal entity.

Step 6: Draft bylaws

Next, you’ll need to call a meeting with your board to draft bylaws that align with your mission and comply with Arkansas nonprofit laws.

Bylaws are the rules and procedures that govern how your nonprofit operates. They outline the structure of your organization, the responsibilities of the board and officers, how meetings will be conducted, and how decisions will be made.

Sometimes, nonprofits hire legal counsel to oversee this process, but it’s not necessary.

Step 7: Obtain an EIN

In Arkansas, like in other states, nonprofits are required to obtain an EIN, or Employer Identification Number. An EIN is like your organization's social security number. It's used for tax purposes, including opening bank accounts, hiring employees, and applying for tax-exempt status. 

To get an EIN, you can apply online using the IRS Form SS-4 on the IRS website or submit it 

Step 8: Apply for tax-exempt status 

Once you’ve created your bylaws, you’ll need to apply for both federal and state tax exemption.

  • Federal tax-exempt status: Fill out Form 1023, Application for Recognition of Exemption Under Section 501(c)(3) of the Internal Revenue Code. You’ll need to provide detailed information about your nonprofit's activities, finances, and governance.
  • State tax-exempt status: In Arkansas, you’ll need to fill out Form AR-1R: Combined with the Arkansas Department of Finance and Administration.

Step 9: Register as a Charitable Entity

To begin soliciting donations from the public in Arkansas, you’ll need to register as a charitable entity (C-01) with the Secretary of State’s office. 

Step 10: Start fundraising 

Once you’ve filed all of the appropriate forms and established the necessary regulatory foundation for your nonprofit, it’s time to start fundraising. 

First, build a fundraising plan that outlines your goals, strategies, and tactics. Plus, be sure to consider how you’ll cultivate donor relationships. Then, Put your fundraising plan into action by launching campaigns, events, and appeals to solicit donations and support. Keep track of your fundraising efforts and evaluate their effectiveness over time.

One of the best ways to start your nonprofit, and begin bringing in funds and connecting with donors, is by using a free all-in-one donation platform, designed specifically for charities. Unlike other platforms, Zeffy offers free marketing and engagement tools, event ticketing and management, raffle and auction tools, and so much more — without charging nonprofits a cent.

So not only can nonprofits start fundraising in minutes, but they don’t have to pay any upfront, monthly, or hidden fees, ever. In fact, over 10,000 nonprofits use and love Zeffy for its powerful but simple —and always free—software designed to help make the world a better place.

Step 11: Remain compliant 

As a legal nonprofit in the state of Arkansas, you’ll need to remain compliant with federal and state rules and regulations throughout the year. This includes:

  • Maintaining records: Keep accurate and up-to-date records of your nonprofit's activities, finances, and governance. This includes meeting minutes, financial statements, tax filings, and other important documents.
  • File annual reports: Arkansas nonprofits must file Annual Financial Reports at the end of the organization’s fiscal year-end date.
  • Stay Informed: Stay informed about changes to Arkansas state laws and regulations affecting nonprofit organizations. Attend training sessions, workshops, and webinars to learn about best practices and compliance requirements.

Learn how this Arkansas nonprofit raised over $500k with Zeffy — for free

Deep Well Campus Ministries is a nonprofit organization based in Arkansas dedicated to reconciling college students to Christ. Their mission is to empower students to proclaim the Kingdom of God through their lives, whether in the marketplace, the church, or on mission trips around the world. 

As a nonprofit focused on college students, Deep Well Campus Ministries faced the common challenges of fundraising, including high transaction fees from payment processing platforms that significantly cut into the funds raised. They needed a solution that would allow them to maximize their donations while minimizing costs, ensuring more resources could directly support their mission. That’s when they found Zeffy.

By using Zeffy, Deep Well was able to launch over 90 campaigns—from creating an online shop to launching peer-to-peer events—without losing a cent to processing or hidden fees. In total, they were able to raise $545,60 and save $27,282 in fees.

Start fundraising for free with Zeffy

Whether you’re a brand new nonprofit looking to get your fundraising up and running, or an established one looking for new tools and features to make even more impact, Zeffy is one of the best all-in-one solutions for all of your nonprofit needs.

From event tracking and management to marketing and engagement tools, custom donation forms, and even the ability to create an online shop or nonprofit membership association, Zeffy offers everything you need without charging a single fee.

Simple and powerful — and packed with free support whenever you need it — Zeffy ensures that your donor’s gifts are going right to the cause, and nowhere else.

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