The Pros And Cons In A Non-Profit Organization
Creating a Nonprofit organization can be an exciting experience but maybe you think is complicated or that is not convenient, we give you details: pros and cons, hoping to clarify your ideas and it may help you decide if it is the correct time to do it or not.
1. Legal protection
As members of a nonprofit organization, employees and the alike will be protected from the responsibility of debts of such organization.2.
2. Benefits for the members of the nonprofit organization
Having a non-profit organization gives some benefits to the employees or members like life insurance, health insurance, pension plan3
3. Legal support
Like the nonprofit needs to be well organized and everything needs to be documented, there will always be legal support, this will make all run smoothly and without confusion about the members, with legal help which is a great benefit.
Not leaving behind the most important aspect, we remind you that nonprofit organization in the majority of the cases they do not pay taxes, which is a great benefit
Once the organization is constituted, the foundation will report the IRS that the organization is nonprofit in order to receive donations and grants. Those individuals that support the organization with donation can claim tax deductions to the IRS for the donations provided
The non-profit organization continues with or without the members. The fact the members are no longer part of the organization may appear appealing to the sponsor that may wish to extend sponsorships in a long term.
7. Low postal rates in large county
Regular all nonprofit organization has this benefit once they are active
8. Low prices for publicity
This can be at the time to make publicity in radio, television advertising free services to the public.
9. Not paying taxes on certain purchases
On behalf of the nonprofit organization, you can make purchases free of taxes
10. Help when purchasing real estate at a low cost
This is also possible.
All of this and more are favorable without counting the gratification of working in a non-profit organization and helping in the community.
Now the only contrast that we found is the large quantity of papers to run the organization, but with the correct professional assistant, this is minimum.
If you are thinking about creating an organization of this type, don’t think so much, the benefits are double and as a result, your effort and objective is also beneficial.
Fulton Abraham Sanchez, CPA, founder of FAS CPA & Consultants of Miami, FL, is a Certified Public Accountant specializing in Business Costing. You can email him to firstname.lastname@example.org or follow us on Facebook: FAS CPA & Consultants
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