I have just started a new, nonprofit community theater. We have an issue though, even though we are a non-profit corporation (according to Indiana law) we are not a 501 (c) 3 yet. We hope to apply for it in the near future, but can't afford the $750 at the moment.

Since we don't have any money, and we need some to mount our first production, we need to find sponsors. However, without being a 501 (c) 3 we are concerned that we won't be able to get business to give us money or goods since they can't right it off on taxes.

We anticiapte having 501 by the end of the year, and since we are a community theater that operates much like any other 501 (C) community theater, there is no reason why our application should be approved, in which case even people who gave us money or goods now without 501 (c) could still right it off as soon as well receive the status (once approved, 501 (c) roles back to the date of the forming of the corp).

It's not like people will be giving us money for nothing, since they receive quite a bit of advertisement in return, we just can't seem to think people will sponsor a non-501(c), at least not until we have our actual status... an I wrong in thinking this?

Thanks,
Landon

Executive Director,
The Broadway Entertainment Company Inc.
www.broadwaybloomington.org

We have anticipation of putting on a Haunted house in October, which should bring in $70 - $85k (Haunted Houses are a big business here in Bloomington with all the college kids).

I know if we wait till then we would have the money to mount the show... But I don't wanna wait that long...

We actually need about $30,000 in total money and assets. Although we hope to be able to work it out with local business where instead of money they sponsor materials. In the long run, thats what we'll be spending it on anyway.

However, we need around $15,000 in funds to cover the Royalty cost, book rentals and theater rental fee's. Other than that, the other $15,000 can be either in goods or money.

Landon