Non-Profit Organizations

Are you passionate about a cause or driven to correct the problems our society faces? Do you want to act on that passion on a larger scale? If so, you may be interested in establishing a non-profit organization (“NPO”) to help you and those who share your vision push forward in your fight.

What do you have to do? The starting point is determining whether the organization you envision – and its mission – qualifies for non-profit status under Section 501(c)(3) of the IRS tax code. To qualify, your organization cannot be directed at private interests and must be limited to operating for an exempt purpose. Next, you’ll need to select the type of entity that is right for you. Under both North Carolina and federal law, NPOs can only be certain types: a corporation, an unincorporated association, or a charitable trust.

Are you concerned that your vision doesn’t quite fit these requirements? There are still options. While you would not qualify as a non-profit, North Carolina law permits a special type of entity that serves both business and charitable purposes, called a “low-profit LLC” or “L3C”.

At Garrett, Walker & Aycoth, we share your passion for making your community a better place, whether your dream to help those in your town or city or to one day touch lives around the globe. Our attorneys can ease your concerns about the seemingly complex requirements to form and run a charitable organization and have the knowledge to advise you which entity type is best for you. Call us today at (336) 379-0539 or contact us to schedule an in-depth consultation.


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