Legal Question in Administrative Law in California

Non profit - incorporate or not
We are looking into starting a non-profit and need to know if it is necessary to incorporate or not. We will be putting on fund raising events that the funds raised will go to another non-profit corp that already exists. Are we required to corporate in this case or can we remain an unicorporated organization?

Asked on 2/08/08, 5:26 pm

3 Answers from Attorneys

Clayton Lee Russakow, Ryan & Johnson

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Re: Non profit - incorporate or not

You may be well served to re-submit your question under the category of "Business Law."

Answered on 2/08/08, 5:33 pm

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Terry A. Nelson Nelson & Lawless

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Re: Non profit - incorporate or not

To avoid the risk of civil and criminal liability, your group will have to comply with all the IRS, federal and state rules regarding fund raising by non-profit organizations. That will require proper corporate formation and operation, unless you're going to be able to do this as direct agents/employees under the umbrella and control of this other non-profit you're benefiting, with it following all the rules and reportings. You're going to need both legal and tax help to do this without getting in trouble. Feel free to contact me for that help if you decide to do it on your own. Follow the orders of the other non-profit if you do it for them as agents.

Answered on 2/08/08, 6:51 pm

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