Lupa do Bem launches new ebook on how to start a nonprofit organization. Check it out!

The Lupa do Bem portal recently launched the ebook “Como começar uma ONG” (“How to Start an NGO”, in English) a step-by-step guide on the legal formalization of projects aimed at positive social impact. The idea arose from the close relationship we established with collectives, projects and NGOs mapped by our platform. Therefore, it’s a new guide aimed at strengthening these initiatives.

“We are constantly in touch to understand their greatest needs. We identified two main difficulties. The first was fundraising, which we addressed in our first ebook. The second is the lack of formalization needed to facilitate this fundraising”, says Fabiana Rosa, coordinator of Lupa do Bem.

“This guide aims to help understand the importance of having a CNPJ* (Cadastro Nacional da Pessoa Jurídica, “Brazilian legal entity registration”, in English). Why is it necessary to operate within these boundaries and how to make it happen? It’s an initial and structural step for these initiatives to solidify within the third sector”, she adds.

*CNPJ is a Brazilian tax identification number used by businesses, organizations, and nonprofits for legal and financial purposes.

Resource Mobilization

According to the latest survey by Instituto de Pesquisa Econômica Aplicada (IPEA), there are approximately 880,000 civil society organizations in Brazil currently, representing an increase of 7.8% compared to 2021. Despite this growth in the third sector, it is noteworthy, however, the number of collectives and projects that are still not registered.

As a result, many innovative actions that could bring benefits to society and the environment are weakened along the way. A study conducted by the PIPA Initiative and Phomenta in 2023, for example, revealed that the lack of formalization hindered access to grants for fundraising for 58% of these initiatives.

“The ebook aims to provide technical assistance in understanding these administrative and legal issues, which can sometimes be complex, but we try to simplify. We show pathways to at least take the initial steps towards project formalization” says the coordinator.

Legal Formalization

The guide is recommended for both collectives and projects that are starting their activities and for organizations that have already developed their initial ideas and seek to strengthen a regulated institution.

“There are many companies interested in engaging with NGOs, making donations, developing campaigns and corporate social responsibility projects. However, many projects that are not formalized struggle to receive these funds”, warns Fabiana.

She points out that Lupa do Bem is a project by Sherlock Communications that connects organizations with companies willing to form partnerships and many of these organizations face difficulties in fundraising processes.

“Some NGOs, despite understanding how to fundraise, still do not have a CNPJ. The ebook addresses this gap. It’s a guide on what needs to be done to qualify for incentives and grow”, she states.

How to start a NGO

With accessible language and interactive navigation, the ebook covers everything from the laws governing the third sector and the different forms of organizational structures, to obtaining a CNPJ and initial costs. It also includes a suggested action plan and a model social statute, along with explanatory videos on the subject.

Among its highlights, the ebook clarifies the differences between the acronyms OSC, NGO and OSCIP. “This will help initiatives understand more clearly the path they should follow and where exactly they fit within the third sector”, explains Fabiana.

The ebook was developed in partnership with social manager Silvia Rangel, a consultancy specialized in the third sector. Its aim is to fill a gap in publications currently available on the topic.

“When we began researching the subject, we found that the information available was quite basic. Our intention here is not to replace consultancy services; on the contrary, NGOs need a specialized third sector accountant. But we have taken a few extra steps. Our material provides a compilation of detailed information”, concludes the coordinator of Lupa do Bem.

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Download the “How to Start an NGO” ebook here.

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