Our Michigan nonprofit lawyers provide a full spectrum of services to meet the unique needs of nonprofit clients. We can counsel a group of individuals on forming a nonprofit organization (501 c3), as well as assist well-established organizations with implementation and maintenance of corporate structure in the areas of nonprofit governance, business, and employment law.
In addition to forming new organizations on paper, we provide in-depth assistance and guidance to board members of non-profit organizations so that they understand their numerous duties and obligations under both, state and federal law. We draw upon our real world experience to assist our clients in complying with the numerous regulations governing their organization. Our objective is to avoid common mistakes that are easy to make, yet costly to rectify.
501 C3 Filing & Non-profit Legal Counsel
Nonprofits can be organizations that serve the public at-large or, more specifically, provide benefit exclusively to their members. Thus, state statutory provisions provide distinct requirements for the different types of nonprofit organizations. As many states have adopted all (or at least parts) of the 1987 Revised Nonprofit Corporation Act, statutory law by way of the Revised Act provides nonprofit classification for mutual benefit and public benefit organizations.
More specifically regarding the tax-exempt status given to nonprofit organizations, the Internal Revenue Code § 501(c) provides the different categories of nonprofits based on their working purpose. For example, charitable organizations – having a purpose in providing some sort of charity – are one of eight categorized exempt purposes under I.R.C. § 501(c)(3).
There is a general misconception with regards to the notion of “profit” in nonprofit organizations. Much of the statutory law on nonprofit organizations defines a nonprofit to be one that has “no part of [its] income [be] distributable to a member, director, or officer of the corporation.” Often, there is a general misconception when it comes to nonprofit organizations in regards to this whole notion of “profit.” Nonprofit organizations are not forbidden from making profit, per se, but the distribution of profits to officers, directors, or members is prohibited.
Non profit Legal Services
Our Michigan nonprofit lawyers specialize in the following:
- Advising Directors on Nonprofit Process
- Nonprofit incorporation/formation with the State government
- 501(c)3 Status Procurement with the IRS (Federal government)
- Assisting Directors in Drafting Organization’s Purpose/Mission Statement for Legal Purposes
- Advising on Best Practices for Directors’ Appointment
- Application for State Tax Exemption
- Drafting Bylaws for Organization’s Internal Governance
- Providing Meeting Minutes for Initial Board of Directors Meeting
- Strategic Planning and Development
- Nonprofit Board Management Training
- Organizational Advisement