I'm starting up an arts organization, but am only a sole-proprietorshop and don't want to go full non-profit unless I know I can handle the load. However, I still want to offer free community services and get in-kind donations and apply for art grants.
I'm aware of umbrella organizations, but am hoping there's a way I can still do in-kind donations through the business - is this possible?
2006-11-26 06:20:37 · 2 answers · asked by Lynn C 1 in Business & Finance ➔ Small Business
Well, anyone who wants to donate money or goods to you is allowed to do so, it's just not tax-deductible to them.
As far as offering free community services, there's nothing to stop you from doing that - volunteers do it every day.
As to grant applications, most foundations or other granting organizations give grants only to recognized charities, and often require a copy of your 501C3 letter with the grant app, so you might be somewhat limited there.
I'm not sure what you mean by being able to handle the load as stopping you from applying for non-profit status. What load?
2006-11-26 06:57:23 · answer #1 · answered by Judy 7 · 0⤊ 0⤋
at the start you're able to desire to get the applications, 1023, 1024, and or 1026 to work out in case your variety or corporation even qualifies for non income status, you do not in basic terms variety one with out some foundation for being non income, in basic terms for the reason which you provide any income to non income and how is the LLC working for you? not likely in any respect, good? for the reason which you have created a clean entity, you will proceed working under this corporation till you 'kill' it, via legally dissolving it you actual have already paid a minimum of one annual minimum tax, filed a minimum of one tax return, probably a 1120 etc my frank opinion till you're 'great stuff' an LLC would not do plenty for you
2016-12-29 12:42:31 · answer #2 · answered by ? 3 · 0⤊ 0⤋