First of all, if you are thinking that this pageant would eventually be a preliminary to Miss Pennslvania, USA - you would need to check with the Miss USA organization or the Miss PA USA organizers to see what the specific requirements were for being a preliminary/qualifier for that competition. You would need to comply with all their entry criteria, judging rules, fundraising rules etc.
You would need to decide on the financial business model - For Profit (Proprietership, Partnership, LLC, or Incorporated) or Non-Profit Organization.
Next you would need to consider where the INCOME for your pageant would come from - from sponsors, entry fees, or donations. If you are FOR PROFIT - you aren't going to get much in the way of donations. If you are non-profit, the idea that you will make it a full time job - tends to contradict the idea of a non-profit since a board is going to have to control that organization, and unless you stack the board with people you "control" there is a chance-likelyhood that you would get pushed out. (The IRS has rules on non-profits and boards etc.)
You say that you are going to raise funds for a charity - and there will be prizes for top fundraising - how are they going to raise funds. It sounds more like a walkathon than a beauty pageant.
Non-profits can and do pay their "staff" - but I'm not sure how a PRELIMINARY event would become a FULL TIME job.
I think you need to focus a bit more on what you can/hope to do before going further.
FIRST - WHY A PAGEANT as a "business"?
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