When it comes to forming a private membership association (PMA), there are a few things you need to know before getting started. A PMA is a organization that is formed by a group of people who share common interests and goals. The main purpose of a PMA is to allow its members to pursue their interests and goals more effectively than they could on their own.
While a PMA can be a great way to achieve your goals, there are a few things you need to keep in mind to make sure your PMA is successful. In this article, we will cover the dos and don’ts of forming a private membership association.
What is a Private Membership Association?
A private membership association is an organization that is open to members only. Membership into the association is by invitation only and is usually granted by a vote of the existing members. The primary purpose of a private membership association is to allow its members to pursue their interests and goals more effectively than they could on their own. Private membership associations are different from public charities because they are not required to disclose their membership lists or financial information to the public.
Why Form a Private Membership Association?
There are a few reasons why you may want to form a private membership association: To pursue a common interest or goal: A PMA allows you to pool your resources with other like-minded individuals in order to achieve a common goal that you may not be able to achieve on your own. To have more control over your organization: A PMA gives you and the other members more control over the organization than a public charity. To keep your information private: As a PMA is not required to disclose its membership list or financial information to the public, you can keep it private if you choose to do so.
How to Form a Private Membership Association
There are a few steps you need to take in order to form a private membership association: 1. Choose a name for your organization and make sure it is available. 2. Draft your organization’s purpose or mission statement. 3. Draft your code of ethics or values. 4. Choose a board of directors or trustees. 5. Set up your organization’s financial structure. 6. Set up your membership structure. 7. Draft your bylaws. 8. Advertise your organization to potential members. 9. Hold your organizational meeting and elect your officers. 10. Apply for 501(c)(3) or 508(c)1(a) tax-exempt status (if desired).
Dos and Don’ts of Forming a Private Membership Association
1. Do your research: Make sure you understand what a PMA is and if it is the right type of organization for you.
2. Do choose a catchy name: Your name is often the first thing potential members will see, so make sure it is something that will grab their attention.
3. Do draft a mission statement: This will help you and the members stay focused on your common goals.
4. Do set up a financial structure: This will help you to keep track of your income and expenses and ensure that your organization is run in a financially responsible way.
5. Do apply for 501(c)(3) status: This will allow you to operate as a tax-exempt organization, which can make it easier to raise funds.
1. Don’t rush into things: Forming a PMA is a big decision, so make sure you take the time to do it right.
2. Don’t forget the paperwork: Be sure to complete all the necessary paperwork and file it in a timely manner.
3. Don’t forget to advertise: Let potential members know about your organization and what it has to offer.
A private membership association can be a great way to pool your resources with other like-minded individuals in order to achieve a common goal. However, there are a few things you need to keep in mind to make sure your PMA is successful. Be sure to research, choose a catchy name, draft a mission statement, set up a financial structure, and apply for 501(c)(3) or 508(c)1(a) status. And don’t forget to advertise your organization to potential members.