Advising Founders, Executive Directors, Boards & Funders
Until recently, federal income tax law and state corporate law have separated business organizations into for-profit or nonprofit corporations. Laws relating to for-profit corporations developed to protect, and inspire, financial contributions of investor shareholders. Nonprofit corporations were reserved for social purpose or cause, and cannot have economic owners or make dividends to investors.
"Social entrepreneurship" is on the rise and continuing to gain prominence in the corporate community. Social entrepreneurship often refers to a person or entity who uses entrepreneurial principles to impact a particular social purpose or cause. This movement has reached both consumers and investors and businesses seek to distinguish themselves by aligning with a particular social purpose.
We help for profit and nonprofit clients make critical decisions that come up in startup, managing day-to-day operations, training boards, dealing with funders, community relations, and government agency exemptions and investigations.
Our social enterprise clients are doing great work in our community. We represent tax exempt nonprofit organizations in the arts, education and edtech, and cultural and religious organizations. We also represent for profit social purpose and benefit corporations.
We are experienced with:
- Entity Selection and Formation
- Board of Director Structure, Roles and Responsibilites
- Founder Agreements
- Policy Development
- Financial Management and Compliance
- Understanding and Seeking Tax Exemption
- Dealing with Fraud
- Conflicts of Interest
- Legal Opinions
- Executive Compensation
- Corporate Sponsorships
- Public charity support test and qualifications
- Tax Exemption