Fiscal Sponsorship

U.S.-based, Native-controlled community groups that do not have an IRS 501(c)(3) nonprofit status are eligible to apply for funding from First Nations in partnership with a qualified fiscal sponsor.

Please see below for additional information related to qualifications for fiscal sponsorship agreements.

  • A fiscal sponsor is an organization with IRS 501(c)(3) nonprofit status that serves as the official recipient of charitable donations on behalf of a partner organization that does not have 501(c)(3) status.
  • A fiscal sponsor should share a similar purpose or mission with a sponsored organization, as the IRS considers the fiscal sponsor and sponsored organization to be the same. All of the 501(c)(3) organization’s activities must align with its stated mission in order to retain tax-exempt status.
  • The fiscal sponsor will be required to sign a grant agreement with First Nations and submit a document outlining the terms, conditions, and fees (if any).
  • The fiscal sponsor will be responsible for disbursing grant funds to the partner organization as identified in grant agreements.

Ensure the fiscal sponsor is an appropriate partner for your organization and is willing to provide confirmation of the partnership. The project should be structured as a functional partnership rather than a simple business transaction.

The fiscal sponsor will be considered as the applicant organization. Required financial attachments and other recipient information should describe the 501(c)(3), with exception of the board list and/or leadership list, which should come from the community group and include tribal affiliation information. Fiscal sponsors are not required to be Native-controlled.  The fiscal sponsor is legally responsible for the grant and must also sign any agreements made with First Nations.

Return to Grantseeker Resources.