Fiscal Sponsorship Program

Fiscal Sponsorship is a contractual relationship that allows organizations with a 501(c)3 status to extend their tax-exempt designation with mission-aligned organizations that do not have 501(c)3 status. In the United States it is important to have 501(c)3 status so that individual and institutional donors can claim their donations as tax exempt. Having this status opens your organization up to donations from institutional actors, like foundations or corporations, that are either legally required to give to charitable organizations or want a tax-exempt donation.  

PDF builds the ecosystem of charitable groups fostering a more peaceful, just, and equitable world by offering Model C sponsorships to aligned projects. A Model C sponsorship, also known as a “grantor-grantee” model, means we process donations from individuals and institutions on behalf of the sponsored project and then disburse those donations as a grant from PDF to the sponsored project. We do not complete any other financial or administrative work for our sponsored projects. The sponsored project is a separate entity from PDF that has its own legal, tax, and accounting identity that is subject to various state and local laws.   

PDF’s administrative support includes processing all donations for sponsored projects, sending tax acknowledgement letters to individual donors, tracking reporting requirements to third-party funders, maintaining a financial portal of historic donations, and preparing monthly donation reports with details on who gave what and when. PDF offers strategic support to sponsored projects in addition to donation processing, including network-building events and technical assistance.  

At any given time, PDF sponsors 35-40 projects across the country who are fostering a more peaceful, just, and equitable world. Learn more about our partners by clicking the links below. To make an online donation to any of our fiscally sponsored projects, click here.  

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Is PDF’s Fiscal Sponsorship Program Right for Me? 

First, check to see if you meet our eligibility requirements: 

• I am part of an organization that involves more than 3 people.  

• Our organization is based in the United States and/or it’s territories.  

• Our organization has an Employer Identification Number (EIN) and a bank account in our organization’s name.  

• Our organization has a Board of Advisors, by-laws, or other procedural documents that prove we are a free-standing organization.  

• Our organization needs support processing donations, but we do not need support for any other financial or administrative work, like payroll, fee-for-service income, paying vendors, etc. 

If the above statements apply to you, then you are eligible for fiscal sponsorship at PDF.  

Next you should consider our most important policies and procedures to see if they align with your organization: fees, reporting, disbursement schedule, and donation procedure.   

Fiscal sponsorship programs generally come with fees to cover the labor involved in hosting sponsored projects. PDF requires a $250 application fee and a 7.5% processing fee on each donation. Fees for donations over $1M can be negotiated. There is a yearly fee of $105 to stay active in our sponsorship program, which is due each year by June 30.  

All sponsored projects must submit yearly reporting to stay active in the program. Yearly budgets, financial statements, and a narrative report must be uploaded by June 30 of each year. The narrative report may be written or conducted interview-style with PDF staff. 

PDF disburses grants to sponsored projects when your balance is equal to or greater than $500. Grants are disbursed once per month, by the 15^th of the month, and will contain all donations received in the prior calendar month. All groups receive a disbursement at the end of the fiscal year, even if your balance is below $500.  

PDF accepts donations from individuals and institutions. At no time can a sponsored project accept a donation directly from a donor. We do not accept government grants. Sponsored projects are ultimately responsible for all fundraising. All donations must be used for charitable purposes. Lobbying is allowed but must be tracked on a quarterly basis, as PDF cannot exceed our legal limit for lobbying between all sponsored projects.  

How do I apply? 

The first step in applying is to set up a meeting with Jessa McCormack, PDF’s Program Manager. At this meeting you should be prepared to discuss your mission, vision, budget, and why you need fiscal sponsorship. PDF’s Program Manager will review the most relevant program policies and answer any questions about our program.  

After this meeting, assuming you meet all eligibility criteria, PDF’s Program Manager will send you the application link if you are still interested in pursuing fiscal sponsorship at PDF.  

You can reach Jessa McCormack, PDF’s Program Manager, at jessa@peacefund.org.