StartupNation


Introduction What is a Non-profit corporation? Directors and Officers of the Non-Profit Corporation Members and Membership The 501(c)3 Tax Exemption Operating a Non-Profit Corporation Checklist for New Non-Profit Corporations

What is a 501(c)(3) public charity?
How do I form a 501(c)(3) public charity?
What is the difference between a "private foundation" and a "public charity"?
Is it difficult to set up a 501(c)(3) public charity, private foundation or other type of tax exempt organization?
How many board members does my nonprofit organization need?
Can the officers of my nonprofit corporation also serve as directors?
How many officers do we need?
Do we need to prepare a mission statement?
Do we need to prepare a budget for our operations?
Do I need to file anything at the state or local level to apply for tax exemption?

Non-Profit FAQs

How many officers do we need?

Three (3), unrelated by blood or marriage. Keep in mind that officers may be compensated pursuant to applicable law. However, this compensation must be deemed "reasonable." For example, if an organization receives in total $100,000.00 in its first year, and an officer receives a salary in excess of $50,000.00, the IRS would more than likely consider this an "unreasonable" amount. Also, keep in mind that a nonprofit corporation must report its payroll just as any other organization would be required to do.