Yes. Scholarship programs can be charitable or educational activities, but selection criteria and administration must avoid impermissible private benefit and may be subject to additional IRS rules. Organizations should define the charitable class, application process, selection method, and recordkeeping before awarding funds.

Education is a recognized 501(c)(3) exempt purpose, covering schools, tutoring programs, scholarship funds, and community education initiatives, but the organization still must satisfy the IRS organizational and operational tests. Educational founders should document who the program serves, its content, access criteria, and any fees; scholarship organizations should also define objective eligibility and selection procedures and keep records showing why awards further the educational mission rather than benefiting insiders. Formation and 501(c)(3) recognition are separate from school licensing, accreditation, or other education regulations that may apply to actual operations.

Keep formation, IRS, banking, and fundraising requirements separate because approval by one authority does not automatically satisfy another.

How Beacon Nonprofit can help: Beacon can establish the nonprofit corporation and, through BeaconComplete, help prepare the federal exemption application using the organization's description of its scholarship program. Beacon does not design recipient-selection criteria, determine whether a particular award is taxable, administer grants to individuals, or provide legal opinions on private-benefit concerns; those program rules may require separate professional review. Beacon's role is administrative formation and filing support: government agencies control approval, processing times, and legal or tax determinations, and specialized operational matters may require a qualified professional outside Beacon's service scope. Depending on the selected package, the Beacon records available to the organization can include the approved state formation documents and, with BeaconComplete, EIN assistance, corporate bylaws, registered agent service, and the 501(c)(3) application materials prepared through the service.