Running a non-profit organisation and own company at the same time

12 years ago

What you need to do is seek competent legal counsel who
can advise you on what is legal for non-profit organizations.

Sorry, but your post leads me to believe you don't know.

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If you knew what I know you'd be doing what I do...

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Booster

12 years ago

Originally Posted by Tsnyder

What you need to do is seek competent legal counsel who
can advise you on what is legal for non-profit organizations.

Sorry, but your post leads me to believe you don't know.

I have made my research, and in fact I can do everything I want with my non-profit (and social) company but I cannot pay myself any salary or income so it is fine. The purpose of the non-profit organisation is really social works.

Thanks

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Internet Undertaking

12 years ago

Hello Booster,

From your post, it sounds like you are not taking importance in the right thing.

Originally Posted by Booster

1) Run my software company and just give a percentage of the profit to my non-profit organisation.

2) Run the non-profit organisation as a software company independently to my own company.

It is much harder to develop two shell organizations/corporations like you are doing here because you are creating entities and then trying to make something out of them. In order to make a business entity or non profit organization successful you must give it a purpose that will allow it to flourish into a real business.

It does not matter right now if your software company gives to your non profit and vise versa. What matters, in my opinion, is developing something that brings in a substantial income stream that would justify you running something like a non-profit organization for social works. What do you mean by social works by the way? Is it philanthropy or just to look good and to build your social status?

There should be a purpose for your non profit organization. A non profit organization (for example) attempts to fund itself by organizing events to build capital for a cause. You would have to treat your non profit like a business. Be aware a non profit business model is very different than a for profit business model (i.e. a software company that develop software to sell it to businesses is a for-profit company).

1. Build your software company or whatever other for-profit business
2. Then worry about what to do with the money coming in, whether it be re-directed to a non-profit that you own or to your own bank account
3. Consult someone who has experience in non-profit organizations; possibly a lawyer who has experience in representing non-profits

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Booster

12 years ago

Originally Posted by Internet Undertaking

What do you mean by social works by the way? Is it philanthropy or just to look good and to build your social status?

I would like to organize free events and training/conferences but I do not have the fund yet: I expect to auto-fund through my own profit company.

Originally Posted by Internet Undertaking

There should be a purpose for your non profit organization. A non profit organization (for example) attempts to fund itself by organizing events to build capital for a cause. You would have to treat your non profit like a business.

This is exactly what I would like to do but I have to find the minimum fund for this purpose (for the first event).

Originally Posted by Internet Undertaking

Be aware a non profit business model is very different than a for profit business model (i.e. a software company that develop software to sell it to businesses is a for-profit company).

1. Build your software company or whatever other for-profit business
2. Then worry about what to do with the money coming in, whether it be re-directed to a non-profit that you own or to your own bank account
3. Consult someone who has experience in non-profit organizations; possibly a lawyer who has experience in representing non-profits

Definitively, I believe it is the best strategy.

Originally Posted by Internet Undertaking

Is it philanthropy or just to look good and to build your social status?

I would like to use for both but I am not sure that I am doing the right thing : for this non-profit organisation is a good on my linkedin profile to put that I am a ceo of the profit organisation AND an ambassador of the non-profit organisation, OR it is better to just say that I am I am a ceo of the profit organisation?

Thanks
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Internet Undertaking

12 years ago

Originally Posted by Booster

I would like to use for both but I am not sure that I am doing the right thing : for this non-profit organisation is a good on my linkedin profile to put that I am a ceo of the profit organisation AND an ambassador of the non-profit organisation, OR it is better to just say that I am I am a ceo of the profit organisation?

I would not put anything yet. If you start representing yourself as something you are not yet, you are going to get lost in the hype of it all. Technically you can be the CEO for a non-profit, but the non-profit is a shell right now. You are going to represent yourself in a way while being sort of empty handed. Focus on building your business, then develop your non-profit, and make taking action your main priority. Worry about the title when it becomes necessary to represent yourself as the CEO of the non profit. Until there is a demand for it I'm not sure it is important. Besides, titles are over-rated

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Booster

12 years ago

Originally Posted by Internet Undertaking

I would not put anything yet. If you start representing yourself as something you are not yet, you are going to get lost in the hype of it all. Technically you can be the CEO for a non-profit, but the non-profit is a shell right now. You are going to represent yourself in a way while being sort of empty handed. Focus on building your business, then develop your non-profit, and make taking action your main priority. Worry about the title when it becomes necessary to represent yourself as the CEO of the non profit. Until there is a demand for it I'm not sure it is important. Besides, titles are over-rated

Yes, I know 'ambassador' is over-rated but it is because I am a community ambassador and I do not really have the choice since the 'ambassador' title is linked to my cause (the non-profit organisation).

I do not have any problem in changing ceo in software engineer for example and putting the non-profit organisation as a volunteer work on linkedin but by keeping the title 'ambassador'.

PS : In fact I am trying through the non-profit organisation to make a government recognize the right to vote for his citizens in a certain area and for this purpose I have created this title of 'ambassador of thisarea' (I check it, legally there is no risk doing this). And if I do not keep it, it is sure someone else will recuperate it [in less than 3 months (they have already previously tried it)]. In fact, both titles fit properly with my profile/education (despite of the fact I am a bit poor at the moment).

Thanks

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Rose Anderson

12 years ago

Setting up and running a non-profit can be tricky. You need to talk to a lawyer about getting all the correct paperwork filed. I'm not sure how you legally mix a profit and non-profit organization. I would think you would need them to be two completely different entities. It seems that co-mingling funds could get you in a lot of trouble.

In other words -- talk to a lawyer.

Rose

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Booster

12 years ago

Originally Posted by Rose Anderson

Setting up and running a non-profit can be tricky. You need to talk to a lawyer about getting all the correct paperwork filed. I'm not sure how you legally mix a profit and non-profit organization. I would think you would need them to be two completely different entities. It seems that co-mingling funds could get you in a lot of trouble.

In other words -- talk to a lawyer.

Rose

I have my own company and created a non-profit organisation, also they are two different entities. And I talked to a lawyer about this : it is fine.

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SuperKC

12 years ago

My advice is to ditch the nonprofit... especially if your self funding it. Build your business and when you feel the need to compensate yourself to society do it within your own family for the people around you. You don't have to have a nonprofit to be a good person or for a title.

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Booster

12 years ago

Originally Posted by SuperKC

My advice is to ditch the nonprofit... especially if your self funding it. Build your business and when you feel the need to compensate yourself to society do it within your own family for the people around you. You don't have to have a nonprofit to be a good person or for a title.

Since I have already started, now it is too late...I have to stick with the two projects.

Thanks
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Joe Mobley

12 years ago

That's not true. It may be the way you internally justify this to yourself, but you could easily let the non-profit "sit" until the economics come around.

The idea of stocking someone else's cupboard when there is little food on your plate is... less than wise.

Joe Mobley

Originally Posted by Booster

Since I have already started, now it is too late...I have to stick with the two projects.

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Booster

12 years ago

Originally Posted by Joe Mobley

That's not true. It may be the way you internally justify this to yourself, but you could easily let the non-profit "sit" until the economics come around.

The idea of stocking someone else's cupboard when there is little food on your plate is... less than wise.

Joe Mobley

What do you mean exactly?What is not true? What do you mean by " you could easily let the non-profit "sit" until the economics come around."?

When I say to stick to the project, I mean I can focus for few months on my company in order to find some funds but that does not mean I will close the non-profit organisation.

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meepo

12 years ago

Booster are there any other nonprofit groups like yours?

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Booster 12 years ago

Originally Posted by meepo

Booster are there any other nonprofit groups like yours?

Not really. I know that you would like to advice me to join an existing non-profit organisation but all of those I contacted were very suspicious (thought I was planning to ask them some money, etc).
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meepo

12 years ago

Ok I was just curious if there were other groups that you could work with, and that way you could maintain your focus on the company side of things.

The other question is: do you need a Nonprofit group to create the change you want to see? Can you create a movement that exists outside the system? A grassroots movement?

Thanks
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Booster 12 years ago

Originally Posted by meepo

Ok I was just curious if there were other groups that you could work with, and that way you could maintain your focus on the company side of things.

I still trying to find a good partnership.

Originally Posted by meepo

The other question is: do you need a Nonprofit group to create the change you want to see?

There is no reliable group for this purpose.

Originally Posted by meepo

Can you create a movement that exists outside the system? A grassroots movement?

This is what I am trying to achieve and my method will be based on internet and social media.
- Thanks
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Booster

12 years ago

I think, I will use my twitter account for my non-profit organisation and linked for my profit one.

Thanks

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Running a non-profit organisation and own company at the same time

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