diff --git a/test/Core.Test/OrganizationFeatures/OrganizationSponsorships/FamiliesForEnterprise/SponsorshipCreation/CreateAdminInitiatedSponsorshipHandlerTests.cs b/test/Core.Test/OrganizationFeatures/OrganizationSponsorships/FamiliesForEnterprise/SponsorshipCreation/CreateAdminInitiatedSponsorshipHandlerTests.cs
new file mode 100644
index 0000000000..ee6e64535a
--- /dev/null
+++ b/test/Core.Test/OrganizationFeatures/OrganizationSponsorships/FamiliesForEnterprise/SponsorshipCreation/CreateAdminInitiatedSponsorshipHandlerTests.cs
@@ -0,0 +1,168 @@
+using Bit.Core.AdminConsole.Entities;
+using Bit.Core.Billing.Enums;
+using Bit.Core.Context;
+using Bit.Core.Entities;
+using Bit.Core.Enums;
+using Bit.Core.Exceptions;
+using Bit.Core.Models.Data;
+using Bit.Core.OrganizationFeatures.OrganizationSponsorships.FamiliesForEnterprise.SponsorshipCreation;
+using Bit.Core.Services;
+using Bit.Test.Common.AutoFixture;
+using Bit.Test.Common.AutoFixture.Attributes;
+using Bit.Test.Common.Helpers;
+using NSubstitute;
+using Xunit;
+
+namespace Bit.Core.Test.OrganizationFeatures.OrganizationSponsorships.FamiliesForEnterprise.SponsorshipCreation;
+
+[SutProviderCustomize]
+public class CreateAdminInitiatedSponsorshipHandlerTests : FamiliesForEnterpriseTestsBase
+{
+    [Theory]
+    [BitAutoData]
+    public async Task HandleAsync_MissingManageUsersPermission_ThrowsUnauthorizedException(
+        Organization sponsoringOrg, OrganizationUser sponsoringOrgUser, string sponsoredEmail, string friendlyName,
+        Guid currentUserId, SutProvider<CreateAdminInitiatedSponsorshipHandler> sutProvider)
+    {
+        sponsoringOrg.PlanType = PlanType.EnterpriseAnnually;
+        sponsoringOrgUser.Status = OrganizationUserStatusType.Confirmed;
+
+        sutProvider.GetDependency<IFeatureService>()
+            .IsEnabled(Arg.Is<string>(p => p == FeatureFlagKeys.PM17772_AdminInitiatedSponsorships))
+            .Returns(true);
+
+        sutProvider.GetDependency<ICurrentContext>().UserId.Returns(currentUserId);
+        sutProvider.GetDependency<ICurrentContext>().Organizations.Returns([
+            new()
+            {
+                Id = sponsoringOrg.Id,
+                Permissions = new Permissions(),
+                Type = OrganizationUserType.Admin
+            }
+        ]);
+
+        var request = new CreateSponsorshipRequest(sponsoringOrg, sponsoringOrgUser,
+            PlanSponsorshipType.FamiliesForEnterprise, sponsoredEmail, friendlyName, null);
+
+        var actual = await Assert.ThrowsAsync<UnauthorizedAccessException>(async () =>
+            await sutProvider.Sut.HandleAsync(request));
+
+        Assert.Equal("You do not have permissions to send sponsorships on behalf of the organization.", actual.Message);
+    }
+
+    [Theory]
+    [BitAutoData(OrganizationUserType.User)]
+    public async Task HandleAsync_InvalidUserType_ThrowsUnauthorizedException(
+        OrganizationUserType organizationUserType,
+        Organization sponsoringOrg, OrganizationUser sponsoringOrgUser, string sponsoredEmail,
+        string friendlyName, Guid currentUserId,
+        SutProvider<CreateAdminInitiatedSponsorshipHandler> sutProvider)
+    {
+        sponsoringOrg.PlanType = PlanType.EnterpriseAnnually;
+        sponsoringOrgUser.Status = OrganizationUserStatusType.Confirmed;
+
+        sutProvider.GetDependency<IFeatureService>()
+            .IsEnabled(Arg.Is<string>(p => p == FeatureFlagKeys.PM17772_AdminInitiatedSponsorships))
+            .Returns(true);
+
+        sutProvider.GetDependency<ICurrentContext>().UserId.Returns(currentUserId);
+        sutProvider.GetDependency<ICurrentContext>().Organizations.Returns([
+            new()
+            {
+                Id = sponsoringOrg.Id,
+                Permissions = new Permissions
+                {
+                    ManageUsers = true,
+                },
+                Type = organizationUserType
+            }
+        ]);
+
+        var request = new CreateSponsorshipRequest(sponsoringOrg, sponsoringOrgUser,
+            PlanSponsorshipType.FamiliesForEnterprise, sponsoredEmail, friendlyName, null);
+
+        var actual = await Assert.ThrowsAsync<UnauthorizedAccessException>(async () =>
+            await sutProvider.Sut.HandleAsync(request));
+
+        Assert.Equal("You do not have permissions to send sponsorships on behalf of the organization.", actual.Message);
+    }
+
+    [Theory]
+    [BitAutoData(OrganizationUserType.Admin)]
+    [BitAutoData(OrganizationUserType.Custom)]
+    [BitAutoData(OrganizationUserType.Owner)]
+    public async Task HandleAsync_CreatesAdminInitiatedSponsorship(
+        OrganizationUserType organizationUserType, Organization sponsoringOrg, OrganizationUser sponsoringOrgUser,
+        string sponsoredEmail, string friendlyName, Guid currentUserId, string notes,
+        SutProvider<CreateAdminInitiatedSponsorshipHandler> sutProvider)
+    {
+        sponsoringOrg.PlanType = PlanType.EnterpriseAnnually;
+        sponsoringOrgUser.Status = OrganizationUserStatusType.Confirmed;
+
+        sutProvider.GetDependency<IFeatureService>()
+            .IsEnabled(Arg.Is<string>(p => p == FeatureFlagKeys.PM17772_AdminInitiatedSponsorships))
+            .Returns(true);
+
+        sutProvider.GetDependency<ICurrentContext>().UserId.Returns(currentUserId);
+        sutProvider.GetDependency<ICurrentContext>().Organizations.Returns([
+            new()
+            {
+                Id = sponsoringOrg.Id,
+                Permissions = new Permissions
+                {
+                    ManageUsers = true,
+                },
+                Type = organizationUserType
+            }
+        ]);
+
+        var request = new CreateSponsorshipRequest(sponsoringOrg, sponsoringOrgUser,
+            PlanSponsorshipType.FamiliesForEnterprise, sponsoredEmail, friendlyName, notes);
+
+        var actual = await sutProvider.Sut.HandleAsync(request);
+
+        var expectedSponsorship = new OrganizationSponsorship
+        {
+            IsAdminInitiated = true,
+            Notes = notes
+        };
+
+        AssertHelper.AssertPropertyEqual(expectedSponsorship, actual);
+    }
+
+    [Theory]
+    [BitAutoData]
+    public async Task HandleAsync_ThrowsBadRequestException_WhenFeatureFlagIsDisabled(
+        OrganizationUserType organizationUserType, Organization sponsoringOrg, OrganizationUser sponsoringOrgUser,
+        string sponsoredEmail, string friendlyName, Guid currentUserId, string notes,
+        SutProvider<CreateAdminInitiatedSponsorshipHandler> sutProvider)
+    {
+        sponsoringOrg.PlanType = PlanType.EnterpriseAnnually;
+        sponsoringOrgUser.Status = OrganizationUserStatusType.Confirmed;
+
+        sutProvider.GetDependency<IFeatureService>()
+            .IsEnabled(Arg.Is<string>(p => p == FeatureFlagKeys.PM17772_AdminInitiatedSponsorships))
+            .Returns(false);
+
+        sutProvider.GetDependency<ICurrentContext>().UserId.Returns(currentUserId);
+        sutProvider.GetDependency<ICurrentContext>().Organizations.Returns([
+            new()
+            {
+                Id = sponsoringOrg.Id,
+                Permissions = new Permissions
+                {
+                    ManageUsers = true,
+                },
+                Type = organizationUserType
+            }
+        ]);
+
+        var request = new CreateSponsorshipRequest(sponsoringOrg, sponsoringOrgUser,
+            PlanSponsorshipType.FamiliesForEnterprise, sponsoredEmail, friendlyName, notes);
+
+        var actual = await Assert.ThrowsAsync<BadRequestException>(async () =>
+            await sutProvider.Sut.HandleAsync(request));
+
+        Assert.Equal("Feature 'pm-17772-admin-initiated-sponsorships' is not enabled.", actual.Message);
+    }
+}
diff --git a/test/Core.Test/OrganizationFeatures/OrganizationSponsorships/FamiliesForEnterprise/SponsorshipCreation/CreateSponsorshipHandlerTests.cs b/test/Core.Test/OrganizationFeatures/OrganizationSponsorships/FamiliesForEnterprise/SponsorshipCreation/CreateSponsorshipHandlerTests.cs
index a2d8369d35..25dbfbc37d 100644
--- a/test/Core.Test/OrganizationFeatures/OrganizationSponsorships/FamiliesForEnterprise/SponsorshipCreation/CreateSponsorshipHandlerTests.cs
+++ b/test/Core.Test/OrganizationFeatures/OrganizationSponsorships/FamiliesForEnterprise/SponsorshipCreation/CreateSponsorshipHandlerTests.cs
@@ -46,11 +46,11 @@ public class CreateSponsorshipHandlerTests : FamiliesForEnterpriseTestsBase
             .CreateAsync(null!);
     }
 
-    public static readonly OrganizationUserStatusType[] _unconfirmedOrganizationUserStatusTypes = Enum
+    public static readonly OrganizationUserStatusType[] UnconfirmedOrganizationUserStatusTypes = Enum
         .GetValues<OrganizationUserStatusType>()
         .Where(x => x != OrganizationUserStatusType.Confirmed).ToArray();
 
-    [Theory, BitMemberAutoData(nameof(_unconfirmedOrganizationUserStatusTypes))]
+    [Theory, BitMemberAutoData(nameof(UnconfirmedOrganizationUserStatusTypes))]
     public async Task HandleAsync_UnconfirmedSponsoringMember_ThrowsBadRequest(
         OrganizationUserStatusType sponsoringMemberStatus, Organization sponsoringOrg,
         OrganizationUser sponsoringOrgUser, string sponsoredEmail, User user, string friendlyName,