How can someone setup their own charity?

Q&A @Quora

Answer by Philanthropologist In-Chief:

Charities and nonprofit organizations are tax exempt corporations that reinvest revenue as opposed to dispersing profits to shareholders. To set up a charity, first and foremost, you’ll need to establish a corporation with designated leadership that will hold legal and fiduciary responsibility for the company.

The next step is to register for tax exempt status with the appropriate overseeing body. In the US, that’s the IRS. However, different states, provinces and nations have different regulatory offices and guidelines. Local attorneys and solicitors are excellent resources for guidance and compliance information.

An alternative would be to establish a public or private charitable foundation, or a trust. In this scenario, the charitable activity would be directed toward the public good (for example, hospitals, libraries, or research that benefits everyone); it may also serve as a supporting organization for one or more charitable causes via grants or endowments. Accountants and financial planners, and often financial institutions, are excellent resources for local guidance and requirements.

How can someone setup their own charity?

Advertisements

Published by

Philanthropologist in Chief

Building the Business of Benevolence & Bringing you the latest news in Society, Culture, Wealth & Philanthropy.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s