Empower Your Non-Profit Organization to Convert Traffic into Leads for Non-Profit Organizations

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how to convert your non-profit into a for-profit business converting a non-profit into a for-profit business can be a delicate operation but delicate doesn't mean impossible there is actually a number of organizations that were able to pull this off successfully especially ones in the medical sector like blue cross blue shield did back in 2002 if you are thinking about turning your non-profit into a for-profit business here is a few things to bear in mind the process of going from non-profit to for-profit will definitely have consequences on how your business is run and the legal responsibilities revolving around it the general rule is that assets accumulated by a non-profit business can only be used for the not-for-profit cause of the organization and can't be used towards a for-profit status going from non-profit to for-profits can happen by following any of these three methods one the for-profit organization can run the assets of the non-profit business this operation is risky in case the non-profits board decides to change its decision later on the second method involves a sale of assets from the non-profit organization to the for-profit business while this method is secure you still have to make sure you have the budget needed to go through with it as it can be quiet costly the third method involves starting from scratch where the for-profit business can start all over again with the same scope as the non-profit if you are actually applying this method make sure to account for the noncompete laws in the country or states in which you are operating if you want to apply any of these methods and go through with the conversion here are the steps that you need to follow if you are based in the u.s you should first meet with a tax advisor to make sure that such move is convenient for your business the board of directors should also meet and vote on the dissolution of the non-profit status then notify the irs of the conversion you should then pay the final debts associated with a non-profit business and after that contact the attorney general to fill the forms required to complete the status change most importantly you need to notify your organization's employees donors and affiliates and file the final non-profit tax return with the irs turning a non-profit into a for-profit can be tricky and comes with number of challenges having the right legal partner by your side can make all the difference book an online consultation with lexium.com and learn more about how you can do this in the easiest straightforward way legally yours nicole