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The Nonprofit Playbook · Formation · Chapter 1 of 17

Choosing a mission

Before any paperwork, decide what problem you are working on, for whom, and where. A precise mission makes every later decision easier.

Colorful sticky notes covered in handwritten brainstorm ideas pinned to a board
Colorful sticky notes covered in handwritten brainstorm ideas pinned to a board. Photo: Courtesy of Unsplash

Start with the problem, not the organization

Most failed nonprofits began with the idea of an organization rather than a clear problem. Write down the specific condition you want to change, the people affected by it, and the place where you will work. "Food insecurity" is a field. "Seniors in two townships who cannot reach a grocery store after losing the ability to drive" is a problem you can act on.

A good test is whether a stranger could read your description and picture the first person you would serve.

Write it in one or two sentences

A working mission statement names the population, the need, and the approach. It does not need to be poetic. It needs to be specific enough that your board can use it to say no to a project that drifts outside it.

The IRS will also read your purpose. Your articles of incorporation must limit the organization to exempt purposes, and your Form 1023 narrative must describe real activities. A clear mission makes both documents easier to write.

Find out who is already doing the work

Search the IRS Tax Exempt Organization Search tool, Candid, and ProPublica's Nonprofit Explorer for organizations in your area and field. Call your community foundation and ask who else works on the problem. If an established group already serves the same people well, your time and money may do more good inside that group than beside it.

Consider the alternatives

Starting a 501(c)(3) is not the only way to do charitable work. Depending on your goals, one of these may fit better, at least at first.

  • Fiscal sponsorship. An existing charity accepts tax-deductible gifts on behalf of your project and handles compliance, usually for a percentage fee.
  • A program inside an existing organization. Many nonprofits will host a well-defined volunteer program.
  • A giving circle. A group that pools money and grants it to existing charities.
  • A social enterprise. A for-profit business with a social purpose, which can take investment and pay owners.

Checklist

  • Problem, population, and place are written down
  • Mission statement fits in two sentences
  • Existing organizations in the field have been identified and contacted
  • Fiscal sponsorship has been considered as a starting option

General information, not legal or tax advice. Confirm current requirements with the IRS, your state, or a qualified professional. Updated September 2026.