When to Consider Starting a Nonprofit | [Video]

In this episode of Coffee with Carl, attorney Carl Zoellner explains some of the basic considerations that go into starting your own nonprofit.

Updated August 20, 2020

For this week’s episode of Coffee with Carl, I want to focus on when you should start looking into forming a nonprofit for your own investing portfolio or charitable purpose.

First, my opinion on nonprofits is simple: when starting a nonprofit, you should have a charitable purpose in mind. This isn’t a requirement, but in my experience, this will ensure the long-term success of your nonprofit. While there are great tax benefits to using a nonprofit, there are also additional compliance and accounting requirements that make nonprofits more involved than other entities.

501(c)(3)s and Donations

If you create a 501(c)(3) nonprofit, which is the main type of nonprofit we work with here at Anderson Advisors, you can accept donations. Furthermore, the donator can write off their donations as a tax deduction. It’s …