How It Works

"Imagine launching your nonprofit dream without drowning in paperwork, legal hurdles, or banking nightmares. That's exactly what HCB delivers—a frictionless runway for changemakers to take off."

What Is HCB? The Nonprofit Neobank Revolutionizing Youth Projects

The Foundation You've Been Missing

HCB isn't your average bank account—it's a complete fiscal sponsorship ecosystem built specifically for student-led initiatives. Picture this:

graph TD
    A[Your Project] --> B(501(c)(3) Status)
    A --> C(Bank Account)
    A --> D(Auto Tax Filing)
    A --> E(Accounting Tools)
    B --> F[Tax-Deductible Donations]
    C --> G[Fee-Free Transactions]

Developed by Hack Club (the global nonprofit supporting 27k+ young coders), HCB solves three critical pain points for emerging nonprofits:

1. 🏦 Instant 501(c)(3) status through fiscal sponsorship
2. 💸 Financial infrastructure with built-in compliance
3. ⚡ Developer-friendly API for custom integrations

Why HCB Stands Out

While traditional fiscal sponsors charge 5-15% fees and move at glacial speeds, HCB offers:

*Some transaction fees may apply

The platform powers everything from:

• 🏗️ High school hackathons
• 🤖 Robotics teams (FRC/FTC)
• 📚 Coding clubs
• 🌍 Community projects

Under the Hood: How HCB Works

1. The Legal Backbone

HCB provides umbrella 501(c)(3) status, meaning donors get tax deductions and you avoid the 6-12 month IRS approval process.

"We've seen student groups raise $50k+ before even graduating high school—something impossible without fiscal sponsorship." —HCB Engineering Team

2. The Financial Engine

Every project gets:

• Unique FDIC-insured account
• Virtual/debit cards
• ACH/wire capabilities
• Automatic receipt tracking

3. The Tech Advantage

Unlike clunky legacy systems, HCB offers:

• REST API for custom apps
• Webhooks for real-time updates
• Slack/email notifications
• CSV/Xero/QuickBooks exports

Who's Using HCB? (Real Examples)

pie
    title HCB User Breakdown
    "Hackathons" : 42
    "Robotics Teams" : 33
    "Coding Clubs" : 18
    "Community Projects" : 7

Notable cases:

• Assemble Conference: Ran entirely on HCB with 300+ attendees
• FIRST Robotics Teams: Processed $120k+ in grants
• Climate Action Groups: Received corporate matching gifts

Getting Started

Eligibility

HCB works best for:

• Youth-led initiatives (under 21)
• Educational/tech projects
• Groups needing <$250k annually

The Onboarding Flow

1. Apply: Basic project details (5 min)
2. Verify: Quick call with Hack Club team
3. Activate: Account goes live within 48h
4. Scale: Start receiving tax-deductible donations

Pro Tip: Have your EIN/TIN ready—it speeds up verification 3x.

Beyond Banking: The HCB Ecosystem

What makes HCB truly unique is its community support:

• 🧑‍💻 Developer office hours
• 📊 Finance workshops
• 🤝 Peer mentoring
• 🚀 Annual hackathon grants

Common Questions (From Real Users)

Q: "We got $10k from a sponsor—how do taxes work?"
A: HCB automatically files all necessary 990 forms. You'll just get an annual summary.

Q: "Can we accept cryptocurrency donations?"
A: Yes! HCB supports ETH/BTC via Coinbase Commerce integration.

Q: "What if we outgrow fiscal sponsorship?"
A: Many groups use HCB as a "proving ground" before incorporating independently.

The Verdict

For student-led projects, HCB eliminates the 3 biggest barriers to nonprofit work:

1. Legal complexity
2. Financial friction
3. Operational overhead

While traditional solutions force you to choose between "fast," "affordable," and "compliant," HCB delivers all three—wrapped in an interface that actually makes sense for digital natives.

"It's like Stripe Atlas for teen changemakers—but with way more heart." —HS Hackathon Organizer

Ready to launch your project?
Explore HCB's fiscal sponsorship or check their open-source codebase to see how it works under the hood.

Features

• 501(c)(3) Legal Entity: Provides legal nonprofit status under Hack Club's umbrella.
• Bank Account: Includes a dedicated bank account for your nonprofit.
• Automatic Taxes & Accounting: Handles tax filings and accounting automatically.
• Best-in-Class Software: Offers top-tier financial management tools.