About California Nonprofit Corporations
Companies and organizations that do not operate for profit - also known as nonprofit or not-for-profit organizations - are required to follow most of the same laws as other corporations. However, there are exceptions regarding the areas of taxes, profit, ownership and business dissolution. All laws regarding nonprofit corporations can be found in Division 2 of the California Corporations Code.
There are a few aspects about nonprofit organizations that are important to note. First of all, the name "nonprofit" does not mean that the company does not make money. Rather, it means that all profits are used toward the operation of the corporation, and any remaining balance must then be given to another nonprofit. Also, a not-for-profit company is not owned by its directors; rather, it is "owned" by the public whom it seeks to serve. This is evident in the dissolution process for nonprofits, where any remaining assets are not distributed to partners or directors, but must instead be distributed to other nonprofit organizations.
The Necessity of a Nonprofit Lawyer
When it comes to legal issues and nonprofit organizations, the only option is to hire a lawyer with knowledge of nonprofit laws, including employment law for such organizations. State laws and regulations regarding the formation, maintenance and dissolution of nonprofit organizations is constantly changing. Only a qualified attorney could ensure that you stay on top of these legal areas. At Clayson, Bainer & Saunders, PLC, we have the knowledge and skill to counsel and assist you in nonprofit law.
Corona Nonprofit Lawyer
Since 1910, our firm has provided the highest possible level of legal representation and services. Each client whose case we take on is given our full attention and cared for throughout their legal process. If you are looking to protect the success of your not-for-profit corporation or organization, consult with our firm today to learn how we could help.