Is it necessary to start a non-profit organization to give scholarships for higher education?
No. Anyone can establish a scholarship, or scholarship program, for higher education. Foundations, businesses, community groups and even individuals, or groups of individuals, can establish this type of scholarship program. The National Scholarship Providers Association (NSPA) provides its members with a Scholarship Program Design Guide, created by NSPA members, that offers an overview of some of the steps and considerations necessary for creating a successful scholarship program. As an alternative to creating a non-profit organization to give scholarships for higher education, you may want to consider establishing a scholarship program to be implemented by your local community foundation, a specific college or university, or a scholarship administration service. As stated previously, creating a non-profit organization to give scholarships for higher education is not necessary. However, there may be tax implications for both the scholarship provider and the scholarship recipients. Plea
