Fiscal Sponsorship

Do you have an idea or a collaborative project that needs space to grow?

Fiscal Sponsorship (Sultana)

Foraker’s fiscal sponsorship, Sultana, exists to support groups and projects in the preliminary stages of their development, offering opportunities to incubate ideas, employ staff, and provide the stability that funders need to make initial investments.

Understanding that not every new idea needs a new nonprofit and that not every nonprofit is ready to stand on its own, Sultana is a “safe place” for projects to germinate until they understand what long-term form, if any, they should take.

Sultana’s Services

What types of projects does Sultana support?

Most of Sultana’s projects include founder-driven or funder-driven ideas, projects, or collaborations.

 

What kinds of services does Sultana provide?

Sultana offers levels of incubation for groups based on their needs and their budget. The levels have specialty areas that include shared employment, leadership development, and organizational development with the option of adding services for an extra fee. All service levels provide the required fundamentals of a fiscal sponsorship (i.e. financial and grants management). As the service level increases, more capacity building options are made available, including educational classes, HR support, and marketing services. In order to identify and define the needs of new Sultana projects, a “navigator” is assigned to provide oversight and guidance with the capacity development.

 

How do Sultana’s services differ from other organizations that offer fiscal sponsorships?

While several other Alaska organizations currently offer fiscal sponsorships, none provide incubation and capacity building services. Sultana’s service – along with our nonprofit focus and expertise – create a transformational experience for Alaska organizations, funders, and leaders.

 

How do I know what services are best for my project?

To help identify the needs of Sultana projects, a Sultana staff member, called a “navigator,” will be assigned to provide oversight and guidance. Advanced support from the nonprofit navigator will increase based upon service selections and overall need.

 

What’s the minimum/maximum length of a Sultana partnership?

We expect projects to commit to at least a one-year partnership. Partners requiring services beyond five years will be assessed individually to ensure that a strategy is outlined to complete the project.

 

Are there any operational restrictions for the project upon entering a Sultana partnership?

Projects that partner with Sultana agree to financial, grant management, and compliance oversight. Projects must also refrain from grassroots fundraising, among some additional agreements.

 

Will Sultana help my project become a nonprofit organization?

Sultana has services and resources to help projects build their capacity, including applying for nonprofit status if that is the direction that makes the most sense for the project.

 

What are the benefits of a Sultana partnership over gaining nonprofit status?

Sultana allows emerging projects or organizations the time to focus on mission rather than on creating a business infrastructure while providing the stability that funders need to make initial investments. Designed as a short-term – rather than long-term – strategy, a Sultana partnership allows an idea to germinate until it is ready to grow into its own nonprofit, merge into something else, or even stop.

 

My project just received a grant, but funding is contingent on having 501(c)(3) status. Can a partnership with Sultana enable my project to receive grant funds?

Partnering with Sultana will grant projects access to the 501(c)(3) status of The Foraker Group, which will allow partners access to approved grant funding. Sultana’s model focuses on building organizational capacity, however, which means that projects solely seeking a funding relationship for Sultana’s tax-exempt status are not the right fit.

 

How much do Sultana’s services cost?

Based on staff time, administrative costs, and other expenses associated with incubation and capacity building services, Sultana groups will be required to maintain minimum annual budgets of $150,000. These costs are based on the project’s budget and an administrative fee that runs between 9% and 15% depending on the level of services and incubation support requested.

 

Where else can I turn for services?

If you’re unsure about fiscal sponsorship as your next step, we encourage you to discuss your project with us and determine the best steps for you to take.

 

How do I participate? Who do I contact for more information?

Please contact Chellie Skoog, Vice President of Programs, at cskoog@forakergroup.org, for more information. After an introductory conversation, all eligible Partners will be directed to Sultana’s application process.