For those who may not know, I recently transitioned my practice to focus on nonprofit organizations, working with public charities and private foundations in all areas of nonprofit and tax-exempt organization compliance, corporate structure, mergers and consolidations, and commercial transactions. To quote my mentor, Anita Pelletier, I feel truly blessed to be able to do good work for those who are doing good work.
It is one thing to be passionate about something, and it’s entirely different to take that passion to the next level by forming a nonprofit or tax-exempt organization. That process comes with fiduciary duties, administrative responsibilities, and a web of state and federal laws to unweave.
So, how do you turn that nonprofit idea into a reality? I had the pleasure of being joined by Ellie Heisler, a partner here at Nixon Peabody and leader of our Entertainment team, and Carolyn Siegel, the founder of If You Heard What I Heard to get their perspectives.
If You Heard What I Heard is dedicated to sharing the stories of Holocaust survivors as told by their grandchildren. As the granddaughter of Holocaust survivors, Carolyn was driven by a desire to combat antisemitism and preserve the stories of Holocaust survivors for future generations by allowing the last generation who will hear these stories first hand to share the experiences of their grandparents.
“If more people today heard what I heard my whole life, we just wouldn’t see this level of hate.”—Carolyn Siegel
In addition to learning more about this incredible organization, we discussed how Carolyn was able to go from idea to formation. Some of the things we touched on include:
Transitioning from For-Profit to Nonprofit
Carolyn initially started this project as a passion project using the tools she learned in her role in the for-profit world. With guidance from Ellie and the NP team, she decided to form a not-for-profit and apply for a tax-exempt status pursuant to Code Section 501(c)(3), which allowed her to better align her mission with the appropriate legal and organizational structure.
Carolyn explained that a lot of the skills she learned in the for-profit world helped her more than she realized. She says her ability to drive emotional resonance through storytelling as a marketer has been invaluable in building her nonprofit and engaging donors.
Challenges and Resilience
Our conversation touched on Carolyn’s resilience when forming If You Heard What I Heard after hearing “no” after “no” after “no.” Her entrepreneurial spirit and determination to overcome obstacles were crucial in bringing her vision to life, as she knew she was achieving something that was greater than herself.
“If I can give a Holocaust survivor a little bit of solace knowing that we are doing everything we can to make 'never forget' a reality… mission accomplished." – Carolyn Siegel
Collaboration and Support
This episode also emphasizes the importance of having the right team around you when forming a nonprofit. We discussed some of the legal complexities, including state and federal regulations, fiduciary duties, and the need for board approval on various actions.
Nonprofit and tax-exempt organizations are not one size fits all. There are many different structural considerations, restrictions, and reporting obligations with operating a tax-exempt organization. Knowing whom to reach out to is of critical importance in ensuring the success of your nonprofit.
Thank you so much, Ellie and Carolyn, for joining me for this episode of She Talks Law.