Nonprofits offer certain benefits that regular for-profit corporations lack. Major benefits include the following:
- Limited liability protection. Directors, officers, and members usually are not held personally liable for the organization’s debts and activities. Incorporating your nonprofit can help protect your assets.
- Tax-exempt status. Nonprofits can apply for both federal, state, and local tax-exempt status, allowing them to devote a larger proportion of their resources to achieving their goals.
- Access to grants. Some nonprofits are eligible to receive public and private grants or government funding.
- Tax-deductible donations. Donors can make tax-deductible donations to most nonprofit corporations.
- Low cost postage rates. Many nonprofits are eligible for reduced postage rates—approximately 40% lower than the regular rate for commercial mailers.
With Rocket Lawyer, you can create, store, and customize all the legal forms for your non profit. Become a member and form your non profit with our free incorporation service, and enjoy the many benefits of a nonprofit organization.
Get started Start Your Non-Profit Answer some questions. We’ll take care of the rest.
Get started Start Your Non-Profit Answer some questions. We’ll take care of the rest.
