8 must-know membership requirements for nonprofits (free template!)

A strong membership program can be one of the most effective ways for nonprofits to build a loyal, engaged community—and generate a steady stream of funding. But here’s the catch: Without well-defined rules, organizations risk confusion, disputes, and members who don’t fully understand their responsibilities or your expectations.

Clear, structured membership rules protect your nonprofit, keep everyone on the same page, and make it easier for people to say yes to joining. In this guide, we’ll break down the key requirements for a membership organization nonprofit, share examples you can copy, and provide a free customizable template so you can create your own rules in no time at all. 

⚖️ Legal note: This article and template are for informational purposes only and are not a substitute for legal advice. Membership requirements vary by state, so be sure to review your local nonprofit laws and consult an attorney before finalizing your rules.

Key takeaways

• Clear membership rules protect your nonprofit: They help prevent governance disputes and IRS compliance issues.
• Membership models vary widely: Choose the one that aligns with your mission, values, and operational capacity.
• Understand member rights: Depending on your structure, they may have authority to vote on bylaws or even dissolve the nonprofit.
• State laws differ: Always review local statutes or consult a lawyer before launching your program.
• Our free template can save you hours: Use our membership rules template and customize it to fit your program. 

What are the legal requirements for a membership organization nonprofit?

The rules for membership programs depend on two factors: your nonprofit’s bylaws and your state’s laws. In some states, nonprofits are required to have either a board of directors, a membership structure, or both.

Formal members are different from general supporters. They usually have special rights and responsibilities, which might include voting on bylaws, board members, or dissolution.

If you use “member” in a more casual sense—like a paid supporter or VIP donor—those individuals don’t automatically get legal rights unless it’s written into your bylaws.

⭐ Pro tip: Always check your state’s nonprofit laws (or talk to an attorney) to confirm whether your organization can or should have members, and what rules you need to follow.

Download your free nonprofit membership rules template

Referencing your membership rules in your bylaws is important, but what’s even better is having a separate, easy-to-reference document for potential members.

Skip the dreaded blank page and use our free nonprofit membership rules template to set the proper foundation.

This template includes the framework you need to create a clear and effective set of membership rules. Suitable for both 501(c)(3) membership rules and other nonprofit club rules and regulations!

Freebie alert!

Download your free nonprofit membership rules template →

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Once you’ve downloaded the template, keep reading to see how each section works in practice—and fill it out step by step as you go!

8 essential membership rules for nonprofit organizations

To effectively run a membership organization, you’ll need clear rules that members agree to when they join. These rules set expectations, outline benefits and responsibilities, and protect your nonprofit if issues arise.

Here’s a strong foundation to start with:

1. Meet the eligibility requirements ✅

Clarify who can join. Your eligibility criteria should reflect your mission and goals and allow you to approve or deny membership applications appropriately.

Examples include:

• Age restrictions (“Must be 18 or older”)
• Residency requirements (“Must be a California resident”)
• Role or affiliation (“Must be a practicing attorney”)

⭐ Pro tip: Consult with a legal expert to make sure that your requirements are suitable and won’t unintentionally exclude people who should qualify. 

2. Submit an application form 📝

Require prospective members to complete a membership application form that collects:

• Contact information
• Desired membership tier or package
• Preferred payment method
• Confirmation that they meet eligibility requirements

⭐ Pro tip: Include your membership rules—and a note on how decisions are made—directly on the form or link to them in a separate document.

3. Pay the membership dues 💰

Most nonprofit membership organizations require dues or fees up front. This protects against non-payment and secures valuable cash flow for your organization.

Decide how you’ll collect and manage payments, then offer your members options on how to pay. You could use a platform to take online donations, collect offline donations, or both.

⭐ Pro tip: With Givebutter’s donation forms, new members can pay their one-time or recurring donation for membership in a variety of ways—including PayPal, Venmo, and Cash App.

4. Exercise member rights 🔑

Formal members unlock certain rights that allow them to influence your work and even who sits on your board of directors.

Typical rights include:

• Attending formal meetings and events
• Voting in board elections
• Proposing or altering the nonprofit’s bylaws
• Voting to dissolve the nonprofit organization

⭐ Pro tip: If your organization doesn’t have formal members, clarify that within this section. Explain that “members” is a casual term used to refer to your paid supporters and that they don’t have any legal voting rights.

5. Maintain updated contact information ✉️

Members need to provide reliable contact information, especially if they have formal voting rights. It’s essential for meeting quorum (the minimum number of members required to hold a vote) and to ensure members are given the proper opportunity to vote.

By making this a requirement in your membership rules, members agree to take responsibility for informing you of any changes. 

⭐ Pro tip: For nonprofit organizations without formal members, current contact information is less critical but still important—it helps you share important updates and make sure they receive your quarterly publication as well as opportunities for involvement.

6. Abide by the code of conduct ⚖️

Like your board of directors, members must follow a code of conduct that protects your nonprofit’s integrity and fosters a respectful, mission-focused community. You can use the same code your board follows or create a member-specific version based on their rights and responsibilities.

A strong member code of conduct may include:

• Acting professionally when representing your nonprofit
• Staying informed about issues affecting your mission or community
• Avoiding conflicts of interest (and disclosing any potential ones)
• Declining gifts, money, or favors from the public
• Respecting membership rules and nonprofit bylaws
• Following official processes for decision-making and communication

⭐ Pro tip: Check official Internal Revenue Service (IRS) guidance and consult a legal professional to ensure that your code of conduct meets any requirements.

7. Promote and uphold the mission 📣

An organization’s members should live out its mission and values in a way that reflects positively on its work.

Formally including this rule encourages members to:

• Share your campaigns, events, and success stories
• Attend and participate in meetings or activities
• Introduce your nonprofit to friends, family, and professional networks
• Use their connections to open doors for partnerships or support

⭐ Pro tip: Including this rule safeguards your nonprofit. If a member acts in a way that harms your mission or reputation, you’ll have clear grounds to address the issue or revoke membership.

8. Acknowledge potential suspension or termination ⛔

Membership may be suspended or terminated for reasons such as:

• Nonpayment of dues
• Repeated violation of the code of conduct
• Actions harmful to the organization’s mission or reputation

⭐ Pro tip: Always provide written notice and, if applicable, an appeal period (e.g., 14 days).

Dive deeper

Learn how to create a membership program →

Types of membership nonprofit classifications

Before you draft your membership rules, it’s useful to understand the different types of membership organizations. Each type has their own unique application process, eligibility requirements, and benefits. Knowing which one is the closest match for your nonprofit will help you create more effective rules.

Popular types of nonprofits that are member-based include:

• Professional associations (501(c)(6)) 💼 Industry-specific organizations offering professionals credibility, networking opportunities, and access to certifications. Membership eligibility is restricted by profession or role.
• Trade associations (501(c)(6)) 🚢 Groups funded by individuals or businesses within a sector—like eco technology or health. Members often pay significant dues, enjoy voting rights, and follow stricter eligibility limitations.
• Sports clubs (501(c)(7)) 🏀 Focus on a specific sport—usually local community teams or leagues. Membership is open to players, coaches, and their family members. 
• Social clubs (501(c)(7)) 💚 Community, arts, or social clubs that aren’t sports-related. Membership rules are often more casual, though eligibility is typically limited to local residents.
• Religious groups (501(c)(3)) ⛪ Organizations associated with specific beliefs, limiting eligibility to followers or active participants in that particular church or religious building.
• PTA groups (501(c)(3)) 📚 Parent-teacher associations (PTAs) can be membership organizations, where members donate to fund school initiatives. Membership is usually restricted to parents and caregivers of current students.
• Advocacy groups (501(c)(4)) 📣 Organizations focused on lobbying for change and social good, rather than inviting donations for a specific project. Membership may be less formal than other groups, focused on mission and values rather than educational or location-based requirements.
• Members-as-donors 💰 This simple way of converting one-time givers into recurring donors allows them to have informal member benefits like newsletters or exclusive event access. Membership rules for these groups are informal and less restrictive.
• Members-as-consumers 🎫 A catch-all way of covering groups that focus on attracting attention and building community, with a small (or no) membership fee. Like the donor membership model, the rules tend to be less formal.

Create better member experiences with Givebutter

Navigating the world of membership-based structures and legal requirements can feel overwhelming, but you’re not alone. With this guide and our free template, you’ll have a solid foundation for clear membership rules.

A straightforward, concise membership document can help convert your audience into members. Then you can focus on boosting retention by creating better member experiences—something Givebutter makes simple.

Givebutter’s donation forms give your members a simple way to join and pay monthly, quarterly, or annual dues. Once enrolled, you can access their donor profile and send emails, texts, and other marketing communications to keep them updated and engaged long-term.

Sign up for Givebutter today to accept donations and membership fees the easy way.

Additional resources

Want to take your membership program to the next level? These resources will help you welcome members in style, stay compliant, and create a polished online experience:

• 15 membership website examples & how to create one →
• Build your own new member welcome packet → 
• Membership drive ideas to try out →

FAQs about nonprofit membership organizations

Have a question about membership organizations? Here’s our guidance on the most-asked questions by nonprofits.

Can a nonprofit deny membership requests?

Yes, a nonprofit organization can choose to approve or deny membership requests in line with their bylaws. That’s why it’s so important to clearly define your rules and eligibility requirements in your bylaws.

Can nonprofits change membership requirements or bylaws easily?

Yes, nonprofits can vote to make changes to membership requirements and bylaws, and should review both on a regular basis to keep them relevant. To make this easier, draft your bylaws with provisions that allow for updates or changes to the contents as long as voting requirements are met.

Are there risks in offering certain membership benefits?

In general, there aren’t significant risks involved in offering certain membership benefits. However, be cautious when offering access to resources or financial rewards. This could fall under inurement and private benefit and may result in penalties.

How do we make membership rules clear to everyone?

The best way to make membership rules clear is to create a page or downloadable document that is easily accessible to members. Use our free membership rules template to create your own, then just link to it on your website and in your membership application form.