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    3 Replies Latest reply on Mar 2, 2009 8:10 PM by bmt2008

    Starting a Non-profit

    dark_penguin Newbie
      I am trying to set up a non-profit, but am unclear on the steps. We run an educational meeting that serves up to 600 people per meeting per year. It has gross annual receipts of about $500K. It requires that we sign contracts with hotels that puts us at financial risk should the expected number of individuals not show up. We need to have limited liability. Whether that should be an LLC or an S-corp it has not yet been decided ... or whether it is even necessary when starting a non-profit to form as an LLC or an S-corp.

      (1) Can one form a non-profit organization with limited liability without forming an LLC or S-corp?
      (1a) If so then how?

      (2) If required to form an LLC or S-corp for protection, which is generally (i.e. ignoring specifics of any individual situation), if either, best for a non-profit?

       

        • Re: Starting a Non-profit
          LUCKIEST Guide
          Starting a Non-profit, Welcome

          WHO Are You?? Where are you??

          You need both a Lawyer and an Accountant
          • Re: Starting a Non-profit
            LUCKIEST Guide
            Starting a Non-profit

            Continuing, it is very hard to give advice if you do not share with us.

            Go to Members page and share some info. How do I reach you?? Email??, Phone??

            How soon do you plan on setting up this non profit??

            Talk to me, LUCKIEST
            • Re: Starting a Non-profit
              bmt2008 Adventurer
              Yes, you can set up a corporation as a non-profit. I am not a lawyer - but - look for or search for the IRS code 501(c)(3). Once your corporation is set up, you can file with the IRS for an exempt status or for 501(c)(3). This will take some time to get approval - but, in the mean time, the IRS will treat the business as an exempt organization. As a non-profit 501(c)(3) - your liability will be limited like any other corporation or LLC and you will not be taxed. Just remeber, that there are requirements by law that you must fullfil each year - per the Federal government and state government. Search for 501(c)(3) in your browser and go to your state's Secretary of State website for more information and how to file.

              Just some thoughts