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P. Simmons
P. Simmons, Attorney
Category: Business Law
Satisfied Customers: 33103
Experience:  12+ yrs. of legal experience.
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I am about to form a "not-for-profit" organization, and I

Customer Question

Hello,
I am about to form a "not-for-profit" organization, and I recently learned that the organization is allowed to establish a "for-profit" subsidiary under current law. Can you please tell me: Is this actually possible? How do I do it? And, is there anything that I need to know, or do, specifically when setting up the organization?
Submitted: 9 months ago.
Category: Business Law
Expert:  P. Simmons replied 9 months ago.

Yes...this is possible. In fact, it is possible for non profit corporations to engage in activities that earn a profit.

HOWEVER, they must declare (and pay tax on) such activities.

Please let me know if you have more questions. I am happy to help if I can. Otherwise, please rate the answer so I may get credit for my work.

Customer: replied 9 months ago.
Thank you for the response, but I cannot rate you because you did not answer my question completely. The other parts were; "How do I do it, and, is there anything that I need to know, or do specifically when setting up the organization?
Expert:  P. Simmons replied 9 months ago.

How do you do what?

And how do you set up which organization??

Expert:  P. Simmons replied 9 months ago.

You want information on how to set up a non profit?

or a for profit company?

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