At a Glance

Colorado requires most nonprofits to register for charitable solicitation before fundraising begins. The registration costs $10 and must be renewed annually by the 15th day of the fifth month after your fiscal year ends. Organizations that don’t register before soliciting donations face fines and loss of fundraising authorization.

Starting your nonprofit journey is exciting, but navigating charity registration and obtaining your nonprofit license can feel overwhelming. The Colorado Secretary of State requires most organizations that solicit donations to register before fundraising begins. Additionally, you must renew this registration annually to maintain good standing. Whether you’re launching a new nonprofit or expanding into Colorado, understanding the charitable solicitation process is essential for your organization’s legal operation.

This guide will walk you through Colorado’s registration requirements, help you determine if your organization needs to register, and show you how to complete the process correctly, including important exemptions and common mistakes to avoid.

Who Needs to Register for Charitable Solicitation in Colorado

Under Colorado law, understanding who needs to complete charitable solicitation registration is crucial for nonprofits. The Colorado Secretary of State enforces specific requirements that organizations must follow to legally solicit donations.

Organizations required to register

Colorado mandates registration for any charitable organization that solicits contributions within the state, has contributions solicited on its behalf, or participates in a charitable sales promotion. This applies to most nonprofits engaged in fundraising activities and must be completed before any solicitation activities commence.

This requirement includes various charitable entities such as educational organizations and advocacy groups. Furthermore, professional fundraising consultants and paid solicitors who operate in Colorado must also register with the Secretary of State.

If your organization plans to raise funds in Colorado, you should prepare for charitable solicitation registration as one of your first steps toward achieving good standing.

Types of fundraising activities that trigger registration

Several fundraising methods can trigger the requirement for charity registration in Colorado. These include direct mail, online campaigns, fundraising events, or third-party solicitations.

While many activities require registration, some professionals are excluded from the “paid solicitor” definition, including volunteers, directors, officers, or employees directly employed by tax-exempt charitable organizations.

Out-of-state nonprofit considerations

Out-of-state nonprofits must complete both charitable solicitation paperwork and file as a foreign entity if they solicit in Colorado.

These organizations must obtain authorization to transact business in Colorado by filing a Statement of Foreign Entity Authority electronically.

Filing correctly avoids penalties and ensures the organization adheres to the Charitable Solicitations Act. Professional services can help maintain compliance while focusing on your mission.

Step-by-Step: How to Register Your Charity in Colorado

Registering for charitable solicitation in Colorado is an online process through the Secretary of State’s website. Registration must be completed before fundraising activities commence to ensure compliance.

Create an online account with the Secretary of State

To begin, create an account with the Colorado Secretary of State. This account controls who can access and modify your records.

Provide required information

You’ll need to provide details such as organizational information, officers, and financial information for the most recent fiscal year.

Pay the $10 registration fee

Complete the payment of the $10 registration fee through the Secretary of State’s system. This fee applies to initial registrations and renewals.

Receive confirmation and registration number

Following submission, the Secretary of State will notify you of approval or necessary corrections within 10 days.

Understanding Exemptions and Special Cases

Although Colorado requires most organizations to register, certain nonprofits may qualify for exemptions.

Gross contribution thresholds

Exemptions exist for organizations not intending to raise over $25,000 or not receiving contributions from more than ten persons annually.

Religious and political organization exemptions

Specific exemptions apply to religious organizations and political entities.

Optional exemption filings for public record

Even exempt organizations may file a claim to establish a public record, boosting donor confidence.

Maintaining Good Standing: Renewals, Amendments, and Reinstatements

Maintaining good standing requires staying current with renewals, amendments, and reinstatement procedures to avoid penalties.

Annual renewal deadlines and extensions

Colorado requires renewals by the 15th day of the fifth month after the fiscal year ends, with potential extensions available.

How to file amendments for updated financials

Amendments allow correcting errors or updating previously filed information.

Reinstatement process after expiration

Expired registrations require reinstatement steps to resume solicitation legally.

Avoiding Mistakes and When to Get Help

Common errors in filings include incorrect addresses and financial reporting errors. Professional services offer substantial advantages.

Common errors in self-managed filings

Errors such as incorrect legal forms or unauthorized signatures can delay registrations.

Benefits of using a charitable registration service

Specialist services ensure compliance with changing requirements and streamline the process.

When to outsource to experts like Labyrinth, Inc.

Outsourcing to experts is beneficial for organizations facing complex requirements or multiple state registrations.

Conclusion

Navigating Colorado’s charitable solicitation requirements ensures legal standing while fundraising. The $10 fee makes it accessible compared to other states. Establish reliable systems to track deadlines and focus on your nonprofit’s mission.

Frequently Asked Questions