The Use Of LLCs In Fiscal Sponsorship a New Model
As mentioned above, and as shown in Exhibits 1 and 2 on pages 8 and 9, respectively (except for Model B), the most common forms offiscal sponsorship fall into the following categories: Model A. The project becomes an internal program of the sponsoring charity.Project staff become employees or volunteers of the sponsor. Legally, the project is no different from any other activity that the sponsor carries on directly. The chief benefit of Model A is that the charity will usually handle the project's backoffice operations, leaving the project staff free to pursue program activities. Also, there is no need to maintain a separate legal entity for the project.