Essential Business & Workforce Services Business Incorporations

BUSINESS FORMATION

WHAT IS A NON-PROFIT?

When you hear the term “non-profit,” you probably think of a charity or organization working towards a way to benefit the community, but they also benefit the economy.

Non-Profits have a charitable purpose or association with the organization and are eligible for tax exemptions. To receive a tax-exempt status with the IRS, the nonprofit’s purpose must fall under section 501(c)(3) of the Internal Revenue Code:

“... corporations, and any community chest, fund, or foundation, organized and operated exclusively for religious, charitable, scientific, testing for public safety, literary, or educational purposes, or to foster national or international amateur sports competition (but only if no part of its activities involve the provision of athletic facilities or equipment), or for the prevention of cruelty to children or animals.” 

Non-profits are like corporations through their structure and process of creation.

Non-Profit Pros

  • Tax exemptions

  • Personal liability protection

Non-Profit Cons

  • All profits must go to the charitable cause and can't be distributed to people who started the nonprofit

  • Difficult to raise capital through banks or other typical financings outside of donations

  • Little-to-no salary offerings (staff are expensive)

  • Extra paperwork

If you’ve decided that forming a Non-Profit is right for your company, EBW-Services is here to help you handle all the filings to start your business and keep it compliant.

Contact us to save time and money!

Starting at $695 + State Fees

Need More Details. Contact Us!

WE ARE HERE TO ASSIST. CONTACT US VIA PHONE OR E-MAIL

CERTIFICATIONS: MBE | WBE | DBE | SBE | Local Small Business

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