Nonprofits aren’t (necessarily) the best way to make change happen.
Here’s what we mean. Nonprofits are important for loving on communities, but are often place-based and best-equipped to serve a specific geographic area (and, as a reminder, the word “nonprofit” just denotes a non-tax paying legal structure that has to operate within the confines of a limiting set of rules—it does not have a monopoly on social change activities). For social entrepreneurs with a larger-scale vision in mind, conversion to a for-profit model may open doors toward innovation and growth.
BUT HERE’S THE BEST PART. Your mission can stay exactly the same. It’s all about how you relay the message.
We understand that sometimes circumstances change, new information surfaces, and switching things up to adapt may be your best option for large-scale social impact and long-term sustainability.
While it may be a bit controversial in some circles (truth: if we’re being honest, we kind of like that about it), if it’s the right move for your social venture and your vision, that certainly shouldn’t stop you.
It’s never easy challenging the status quo, but sometimes it has to be done. (After all, making waves is what leads to real change, right?)
Listen to your gut.
We want to give you the tools to grow, change, evolve, innovate. (We were going to say improvise, adapt and overcome, but the Marine Corps beat us to it.)
What We Do
If your organization was initially formed as a nonprofit, but a different, less-restrictive structure may now allow you to achieve more good, faster – we’ve got you covered.
We can talk to through the pros and cons of converting from a nonprofit to a for-profit, and discuss whether a conversion makes sense based on your individual circumstances.
If it does, we’ll get it done for you (and coach you on what you need to know going forward).
The conversion process differs from state to state, but generally (very generally) involves getting board approval, and filing paperwork with state and federal governments.
A number of factors affect how each conversion must be handled (factors like state of formation, whether you have federal tax-exempt status, size of business and assets, etc.), which unfortunately means there is no universal process.
If you’re interested, go ahead and contact us so we can learn more about the details. Once we’re up to speed, we can fill you in on the process for your individual situation.
We think we’re on to something. Even if you’re not sure if a conversion is right for you, feel free to ask us more.
If you decide you want to move forward with the conversion, we’ve got more good news. We use flat fees rather than charging you for time spent, which helps make us more efficient with our time and saves you from having to sell a kidney to cover what a traditional law firm might charge you.
To sweeten the deal even more, we can connect you with plenty of like-minded folks to guide your journey onward and upward. If you think you need help with things like with business plans, financial modeling, management consulting, photography, website design or tax advice, just ask!
The secret of change is to focus all your energy not on fighting the old, but on building the new.
Socrates
