Fiscal Sponsorship

Overview

Fiscal Sponsorship allows ensembles, collectives, or individuals who do not have 501(c)(3) status to raise tax-deductible funds or apply for grants for new music events or projects. American Composers Forum (ACF) serves as the grant applicant on behalf of fiscal sponsorship recipients. Upon the receipt of grants or donations, ACF disburses funds to fiscal sponsorship recipients, who are then responsible for paying all expenses outlined in the proposed project budget.

As a fiscal sponsor, ACF is legally and ethically liable for the financial integrity of the project. We therefore require a complete and timely project proposal, as well as complete reports on expenditures before confirming a fiscal sponsorship collaboration. These requirements assure the viability of the program to current and potential donors.

Fiscal sponsorship recipients are responsible for developing and presenting all proposals and budgets to ACF for approval in advance of project execution or grant deadlines. Once funds are received, recipients are responsible for:

1. Administering the funds in accordance with the budgets set forth in the proposal
2. Complying with all federal, state, and local tax and employment laws
3. Providing written final narrative and expenditure reports to ACF within 30 days after the end of the project or grant period

Guidelines

1. ACF will consider fiscal sponsorship only if the applicant’s project or grant proposal to potential funders do not compete with ACF’s pending or planned requests.
2. ACF will only consider fiscal sponsorships that relate to some area of our mission.
3. ACF will serve as a fiscal sponsor for ensembles, groups, or collectives without a 501(c)(3) designation if formed ad hoc to produce or perform new work. If applying to the IRS for 501(c)(3) tax status during the period of the fiscal sponsorship, the application must be submitted to ACF at the same time it is submitted to the IRS. ACF will serve as fiscal sponsor only until provisional 501(c)(3) status is received from the IRS.
4. Once granted preliminary acceptance by ACF, the applicant must review all proposals and budgets with ACF’s General Manager so that ACF staff fully understands the project and deems the budget applications reasonable and realistic. ACF has the right to withdraw its offer to serve as fiscal sponsor.
5. ACF may offer suggestions for changes to the program and/or budget.
6. In most cases, ACF will hold the funds and distribute them to the grantee on an as-needed basis. The fiscal sponsorship recipient will provide ACF with a payment request detailing who the funds will be paid to and what portion of the approved budget these payments relate to.
7. ACF will charge a fee of 6% of the total funds raised through ACF for the project (with a $300 minimum).
8. ACF must be copied on all applicant’s funding requests, and all interim and final reports.

Application

To apply for fiscal sponsorship, send a description of your proposed project, a budget, and a list of prospective funders to: info@composersforum.org

Questions?

If you have questions about fiscal sponsorship or the application process, please email: info@composersforum.org