MISHA Foundation Fiscal Sponsor Strategy

MISHA Foundation — US Fiscal Sponsor Strategy

The recommended first-phase legal structure for index: using a US fiscal sponsor instead of registering own legal entity.

What Is a Fiscal Sponsor

A fiscal sponsor is an existing 501(c)(3) organization that “hosts” a project or fund under their umbrella. The hosted fund gets instant 501(c)(3) status for donor receipts without needing to register a separate nonprofit.

How It Works (NORD Model)

1. Apply to NORD (National Organization for Rare Disorders) to host a “MISHA Fund at NORD”
2. NORD approves the project description and mission
3. Donors send money to NORD, earmarked for MISHA Fund → they get US tax receipt
4. NORD approves grant disbursements (e.g., $25K to Holt Lab) and handles legal paperwork
5. NORD takes 5-10% admin fee on funds received

What Is NOT Required

• No US company registration
• No US physical presence
• No legal fees (for setup)
• No FATCA issues (French passport + HK resident = clean)

What Egor Gets Immediately

• 501(c)(3) status for donors (US tax-deductible donations)
• Institutional credibility for grant applications (NIH, CZI, HK government HMRF)
• Operational in weeks (just need an application)
• Legal and accounting infrastructure handled by NORD

Providers

• NORD (National Organization for Rare Disorders) — most credible for rare disease, has named funds model
• Global Genes — also rare disease focused, often more accessible for smaller initiatives
• Either works — NORD preferred for brand credibility in academic/NIH context

Transition Plan

After 1-2 years with $100K+ track record:

• Apply for independent US 501(c)(3) status
• Delaware or Massachusetts incorporation (~$3,000-5,000legal+$275-600 IRS fee, 3-6 month timeline)
• Transfer assets from fiscal sponsor fund to own entity

Key Insight

Egor initially thought he needed to open a US company to accept US donations. He does not. Fiscal sponsor = no company, no lawyers, no US presence required. Just an application describing the mission.

Next Actions

• Find NORD fiscal sponsorship application page
• Check requirements and application timeline
• Prepare project description (can use MISHA Foundation Brain note)
• Ask Holt and Shu to join as Scientific Advisory Board (strengthens application)

Connections

• [part-of] index
• MISHA Foundation HK CLG Structure
• [see-also] Jeffrey Holt
• [source] Legal Structure for Cross-Border Rare Disease Foundation
• [see-also] MISHA Foundation Grant Strategy
• [about] Misha