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Just answer a few simple questions.Rocket Lawyer takes care of the rest. How we do it:Best price, Best serviceWe want you to love Rocket Lawyer, so we waive incorporation processing fees when you try a Legal Plan free for 7 days.We're Here to HelpYou'll get the email and phone number of your personal incorporation specialist who you can contact for help at any point in the process.We Make Compliance EasyWhen your incorporation is official, Rocket Lawyer makes it easy to maintain legal compliance for your new Corporation, LLC, S-Corp or Non Profit. |
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Forming a Non Profit
Up to a point, forming a Nonprofit is similar to incorporating a for profit business. But there are a few other steps you'll need to take once you've incorporated. You can read about them here.
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Types of Non Profits
Although the most common type of nonprofit is known as a 501(c)(3), there are at least a half dozen others. Read up to find out if your business qualifies.
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Get Free Legal Help with Business Formation and Starting a Business
Remember: there are several options for business formation. Though forming an LLC is a popular choice, some entrepreneurs choose to structure their company as a C-Corp, an S-Corp, a Nonprofit, a Sole Proprietorship, or a Partnership. If you aren't sure which business structure is right for you, read this article to learn more.
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What sorts of companies can become nonprofits?
For a company to qualify for nonprofit status, its mission must fall in line with any number of purposes set out by the IRS in section 501(c)(3). To qualify, a nonprofit's mission should be "charitable, religious, educational, scientific, literary, testing for the public safety, fostering national or international sports competition, and preventing cruelty to children or animals."
What is 501(c)(3) and why is it important?
501(c)(3) is the section of the IRS tax code that allows for nonprofits to get tax exemption. You?ll have to fill out IRS Form 1023 to do so. Keep in mind that not all companies qualify for nonprofit status.
Do Nonprofits offer liability protection?
Much like LLCs and corporations, nonprofits do provide limited liability protection. That means that if you keep your NPO in good standing -- by filing out the proper paperwork on time and staying diligent -- the personal assets of its directors and officers can't be used to satisfy the company's debt.
What are the other similarities between nonprofits and corporations?
Interestingly, there are many. To form a nonprofit, you'll have to fill out specific Articles of Incorporation and stay current with compliance documents like bylaws and meeting minutes. Rocket Lawyer can help keep you on top of your obligations and let you know what to do each step of the way.
