Fiscal Sponsorship 101: Answers to the Most Basic Questions
Fiscal sponsorship is a powerful arrangement where a nonprofit lends its legal and tax-exempt status to projects that align with its mission. In the film world, this allows filmmakers to focus on their creative work while simplifying fundraising and enhancing their project's credibility.
The Cinematography for Actors Institute (CFA Institute) Fiscal Sponsorship Program is designed to empower underrepresented and emerging filmmakers and actors by providing the administrative support needed to bring creative visions to life. This program enables them to fund and realize their projects without the need to establish their own 501(c)(3) organizations.
With CFA’s Fiscal Sponsorship Program, filmmakers can access grants, receive tax-deductible donations, and connect with a network of industry professionals and resources. But what exactly is fiscal sponsorship, and how can it support your project?
To help you navigate the process, we’ve answered some of the most common questions about fiscal sponsorship—what it is, why it may be a good fit for your project, the requirements and qualifications, and how people can donate to your project. Let’s dive in!
About the Program
Selecting a fiscal sponsor is more than just gaining tax-exempt status—it’s about finding a partner that truly supports your vision.
At CFA Institute, we believe in personalized guidance, strong filmmaker relationships, and tailored support to help you bring your project to life.
Fiscal sponsorship offers a strategic advantage for filmmakers seeking funding and support without the complexities of establishing their own nonprofit. By joining CFA Institute’s Fiscal Sponsorship Program, you gain access to:
Access to Funding – Many donors and foundations only contribute to tax-exempt organizations. Fiscal sponsorship allows you to receive grants and tax-deductible donations, making fundraising easier.
Administrative Support – CFA Institute handles limited legal, financial, and administrative tasks, so you can focus on filmmaking rather than paperwork.
Enhanced Credibility – Being affiliated with a reputable nonprofit boosts your project’s legitimacy and trustworthiness among funders.
With our Fiscal Sponsorship, you can:
Apply for grants and receive tax-deductible donations.
Fund your project through a dedicated online donation page with automated tax receipts for donors.
Connect with industry professionals and resources through CFA Institute’s network.
What Sets Us Apart?
✔ Personalized Guidance – We work closely with every filmmaker, offering one-on-one support and tailored fundraising strategies.
✔ Filmmaking Partner – We recognize your vision, providing creative autonomy, networking opportunities, and mission-driven support.
✔ Low Administrative Fees – More of your funding goes directly to your project.
✔ Beyond Sponsorship – Gain access to marketing assistance, industry connections, and educational resources to elevate your work.
What Makes a Good Project for Fiscal Sponsorship?
We welcome independent narrative and documentary projects at any stage of development, as well as organizations, communities, and long term projects. Projects must align with CFA Institute's mission and values.
Below are some types of projects that are eligible to apply for fiscal sponsorship:
Organizations, Communities & Film projects including documentaries, feature films, short films
Projects with educational or artistic value
Projects that align with our mission and values
Important Note: Due to the substantial amount of work and resources involved, we only accept projects with a fundraising goal of $10,000 USD or more.
How Do People Contribute to My Sponsored Project?
Once your project is fiscally sponsored, donors can contribute in multiple ways, including online donations, checks, wire transfers, and stock donations. Each method has specific processes and requirements, ensuring legal compliance with nonprofit regulations and maximal funding efficiency.
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Check Donations
For donors who prefer to contribute via check, all checks must be made payable to Cinematography for Actors Institute and must include the project name in the memo line. This ensures that the donation is correctly allocated to your project.
Cash donations and checks made out to individuals cannot be accepted. The processing time for checks varies, but generally, funds become available once the check clears, which can take up to fourteen business days.
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Wire Transfers & ACH (Direct Deposit)
Donors may choose to contribute via wire transfer or ACH deposit as an alternative to online donations. When using this method, donors must ensure that their project name is included in the transfer details.
CFA Institute maintains accounts with Bank of America, and funds from wire transfers and ACH deposits are generally available within ten business days.
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Matching Gifts
Many companies offer matching gift programs where they match employee donations to 501(c)(3) nonprofit organizations, effectively doubling contributions. If a donor works for a company with a matching gift program, they should check with their employer about eligibility.
The processing time for matching gifts varies but typically takes between three to six months. If you expect a matching donation, you should notify CFA Institute by submitting an Incoming Donation Form.
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Online Donations
Every fiscally sponsored project receives a dedicated donation page on the CFA Institute’s website, where donors can contribute using credit card, Paypal, Venmo, Cashapp, Amazon and Google Pay, as well as ACH Transfer. Upon making a donation, donors receive an automated tax receipt for their records.
While online donations are a convenient way to support your project, it’s important to note that CFA Institute does not cover credit card transaction fees, which typically range between 2.5% and 3.5%.
Credit card donations take up to ten business days to process before the funds become available.
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Stock Donations
CFA Institute accepts stock transfers as a form of donation, processed through DonorBox. Stocks are sold immediately upon receipt, as CFA Institute does not hold or trade stocks. Donors receive a Fair Market Value (FMV) statement based on the stock’s value on the day it is received.
However, stock donations are subject to brokerage commissions and administrative fees. Before making a stock donation, donors must complete the Incoming Stock/Shares Donation Form to ensure proper processing.
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Crowdfunding Contributions
Fiscal sponsorship allows filmmakers to use crowdfunding platforms like Seed&Spark, Kickstarter, and Indiegogo while offering tax-deductible donations to supporters. Each platform has specific requirements for setting up a campaign with a fiscal sponsor. CFA Institute charges a 5% administrative fee on all donations, and crowdfunding platforms may deduct up to 15% in additional fees.
To minimize processing fees, it is recommended that donations exceeding $250 USD be processed directly through CFA Institute’s donation system rather than through a crowdfunding platform.
Note: Setting up a crowdfunding campaign under fiscal sponsorship requires following platform-specific procedures.
For Seed&Spark, filmmakers must download the Seed&Spark Services Agreement, schedule a call with CFA Institute to review it, and use CFA Institute’s banking details when setting up the campaign’s payout information.
Similarly, Kickstarter requires filmmakers to enter CFA Institute’s banking details under the Payment tab of the project editor.
For Indiegogo, the campaign must be registered under the "Business or Nonprofit" category, using CFA Institute’s organization name, Tax ID, and legal representative information. Once funds are raised, additional verification details may be required.
Fiscal sponsorship can be a game-changer for filmmakers looking to fund and grow their projects with the support of a nonprofit. If you’re ready to take the next step, learn more and apply today! Have more questions? Feel free to reach out—we’re here to support your journey.