Social Enterprise and Nonprofit Law Blog
the law of generating social benefit
What Nonprofits Should Be Asking About Virtual Currency Regulation and Fundraising
Takeaway – Nonprofits can avoid risk by accepting and immediately liquidating donations of cryptocurrency. If they are planning to hold onto virtual currency for the long term, nonprofits should make sure they use platforms that are properly licensed and registered, and figure … read more
Qualified Sponsorship Payments, UBIT, and Social Media – A Reminder For Nonprofits
Takeaway – Nonprofits and consumer brands continue to find new ways to promote their collaborations. Take care that messages delivered at live events, in print, and online are consistent with the IRS rules regarding qualified sponsorships to avoid triggering unintended tax consequences … read more
What Can They Be Paid? Advising Charitable Organizations on Executive Compensation
Compensation for executives of tax-exempt charitable organizations is subject to strict rules and limitations under federal and state law. I note the key considerations in advising charitable organizations and their boards. Total compensation must be reasonable under federal law such that the … read more
Ethical Considerations in Providing Legal Advice to Nonprofits and their Boards
In advising nonprofit organizations, attorneys must be cognizant of the unique and specific governance and corporate issues to ensure that their representation is proper and ethical. I note four key considerations below. Attorneys for nonprofits are ultimately responsible to their boards. Since … read more
Should We Use a Fiscal Sponsorship for our Charitable Project?
When individuals consider establishing a new charitable program, they must decide whether to form a new nonprofit organization to do so.[1] Many will ultimately decide to implement their charitable project through a fiscal sponsorship instead. This article looks at the unique characteristics … read more
Are You Paid to Solicit Charitable Contributions for a Charity? You May Need to Register as a Professional Fundraiser
A professional fundraiser (“PFR”) is a person or entity who is hired to raise money on behalf of a charity. Forty-two states have laws regulating the activities of a PFR. Generally, these states require a PFR to register before conducting any fundraising … read more
Donor Match-Making – Legal Considerations for Matching Gift Campaigns
Matching gift campaigns are a popular fundraising strategy used by charities to incentivize public donations with donations offered by one or more “match donors.” Types of Campaigns The core of a matching gift campaign is that a “match donor” offers to make … read more
Private Operating Foundations: An Option for Hands-On Philanthropists
Private operating foundations may have distinct advantages over other types of 501(c)(3) tax-exempt organizations for philanthropists who want to have more direct involvement in guiding their philanthropic program and impact.[1] Philanthropists with access to the financial means to fund their foundation’s activities … read more