Legal Services

The Law Firm for Non-Profits provides comprehensive legal services designed specifically for nonprofit organizations. Beyond the laws that apply to all businesses, nonprofits must navigate four distinct bodies of law unique to the sector. We help clients manage the complexities of tax exemption, nonprofit corporate law, board governance and liability, and compliant revenue generation so they can focus on advancing their mission.

Quick Launch℠ Service, our nationally renowned formation and tax-exemption package for new non-profits
Board Duties and Governance
Revenue Generation
Corporate Transactions and Strategic Growth
Private Foundations
Regulatory Oversight and IRS and Attorney General Audits
International Activities (including overseas grantmaking and programming)

Our Main areas of Service

Quick Launch℠ Service

For more than 20 years, The Law Firm for Non-Profits’ Quick Launch Service has assisted over 1,000 organizations in launching efficiently, strategically, and in full legal compliance. Our team brings extensive experience in state entity formation and federal and state tax-exempt filings, providing a streamlined and reliable path from concept to fully recognized nonprofit status.

If you plan to start and operate a nonprofit, keep in mind that:

Simply incorporating as a nonprofit corporation is not enough;
Most nonprofit corporations must apply for and obtain recognition of tax-exempt status from the Internal Revenue Service (IRS);
Most nonprofit corporations must comply with state registration requirements to hold, solicit, and receive charitable donations; and
After formation, you will need to know how to stay in good standing and ensure future legal compliance.

Our Quick Launch Service includes everything you’ll need to lay the legal groundwork for your organization.

You pay one fee for a comprehensive package to ensure your organization is set up to operate as a legal, tax-exempt entity for the long-term. Our Quick Launch Service is simple, fast and effective.

As your trusted advisors, we’ll establish your legal foundation so that you can focus on building your nonprofit into the successful organization you know it can be.

Based in California, The Law Firm for Non-Profits serves nonprofits across the U.S. and overseas. If you are starting a nonprofit, you owe it to yourself, your board of directors and your organization to do it right with our Quick Launch Service.

Board Duties and Governance

Board members of a nonprofit organization are legally responsible for its actions and must meet high standards set by state and federal law. Failure to uphold these fiduciary duties can lead to personal liability and other penalties, while those who act in good faith and with integrity are afforded legal protection.

At The Law Firm for Non-Profits, we are committed to helping board members fulfill their fiduciary duties with confidence and clarity. We provide practical training and equip them with the tools they need to lead effectively. One of the most important of these tools is a nonprofit’s bylaws. Well-drafted bylaws not only educate board members about their responsibilities but also serve as a clear guide for board governance and conduct. Over the years, we have helped thousands of nonprofits strengthen their understanding of and improve their bylaws to support strong, accountable leadership.

We support and guide boards and their members in the full range of their legal duties and accountability concerns, including:

Understanding and complying with board member duty and liability;
Addressing, as appropriate, potential self-dealing, conflicts of interest, and nonprofit insider transactions;
Updating and revising bylaws;
Complying with proper board procedures such as elections, notices of meetings, and the preparation of meeting minutes;
Establishing and complying with best practices;
Implementing a full range of board and corporate policies and procedures;
Addressing complaints filed against a board or individual directors;
Meeting legally mandated public disclosure requirements; and
Handling and resolving board disputes.

Revenue Generation

Earned income can play a vital role in sustaining a nonprofit’s work, especially when donations alone are not enough. At the same time, organizations must carefully navigate complex IRS rules to avoid paying income tax on activities that may be considered an unrelated trade or business. When those activities become substantial, they can even threaten a nonprofit’s tax-exempt status. We have extensive experience guiding nonprofits as they develop, expand, and maintain earned income initiatives in ways that minimize tax exposure while safeguarding their exempt status.

We support and guide non-profits to ensure compliance in a wide range of revenue-generating areas, including:

Exploiting intellectual property rights.
Generating royalty, rental, and program income.
Establishing for-profit subsidiaries.
Soliciting donations through auctions, raffles, sweepstakes, and gaming events such as “casino nights.”
Participating in public-private partnerships or joint ventures.

Corporate Transactions and Strategic Growth

We help our clients collaborate to scale and enhance services, outreach, and impact through strategic partnerships that foster judicious growth.

Many opportunities for nonprofits develop “organically” – that is, they arise naturally as the organization grows and achieves successes. These opportunities may take the form of new services, a social enterprise, or joint ventures with either nonprofit or for-profit organizations. Each requires compliance with multiple tax, corporation, and charity laws. At The Law Firm for Non-Profits, we provide our clients with compliance guidance every step of the way.

We provide counsel regarding transactions regulated by the IRS and states’ Attorneys General, including:

Consideration and approval of executive compensation arrangements and transactions with board members (all of which are deemed unlawful if not approved per statutory requirements);
Mergers (whether with nonprofits or for-profits);
Sales of assets;
Conversions of for-profits to nonprofits;
Establishment of for-profit subsidiaries;
Legally compliant joint ventures with for-profit businesses;
Corporate sponsorships;
Donor-advised funds;
Commercial co-ventures;
Fiscal sponsorships; and
Arranging and developing strategic alliances.

Private Foundations

Private foundations, whether operating or non-operating, are subject to an extensive framework of laws and regulations that govern nearly every aspect of their activities, including grantmaking. With deep knowledge of these complex requirements, we guide our clients in making informed and prudent decisions that advance their mission while avoiding common pitfalls such as self-dealing, taxable expenditures, insufficient qualifying distributions, jeopardizing investments, and related compliance risks.

We support and advise private foundations in a wide range of areas, including:

Grantmaking policies and procedures, both domestic and international.
Programming for private operating foundations.
Grantmaking to entities that are not public charities.
Program-related investments.
Excise penalties.
Lobbying.
Gift acceptance.
Scholarships, prizes, fellowships, and grants to individuals.

Regulatory Oversight and IRS and Attorney General Audits

Few experiences are more daunting for a nonprofit than an IRS or Attorney General audit. In many cases, however, the risk of an investigation can be reduced through sound legal guidance that helps boards and executives stay aligned with applicable laws and regulations. At The Law Firm for Non-Profits, we help clients navigate the complex regulatory landscape and implement practices that promote strong governance and compliance.

Simply put, we partner with nonprofits to model best practices and operate with confidence. And in the rare event that an organization is audited by a state or federal regulator, we step in to manage the process, ease the burden, and see it through to resolution. Over the past three decades, we have successfully handled dozens of audits and regulatory investigations on behalf of our clients.

We support and guide non-profits in a wide range of regulatory matters overseen by the IRS and states’ Attorneys General, including:

Audits;
Reviews of tax returns;
Dissolutions and insolvencies;
Property tax exemptions;
Charitable solicitation and fundraising registrations across the U.S.;
Meeting public support tests;
Corporate sponsorships; and
Permissible lobbying activity and political activity.

International Activities

U.S. nonprofit organizations that make grants or carry out programs outside the country are subject to additional requirements under federal law, including rules imposed by Congress and the IRS, as well as the laws of the countries in which they operate.

We have extensive experience advising private foundations and other non-profits engaged in international grantmaking and cross-border activities. Whether the work involves straightforward grants to non-U.S. organizations or establishing and operating programs abroad, we provide practical guidance to help ensure your international activities remain compliant and well structured.

We support and guide non-profits in a wide range of international areas, including:

Federal requirements for grantmaking to overseas organizations.
Fundraising and grantmaking by “Friends of” organizations that support foreign non-profits.
Expenditure responsibility and foreign equivalency requirements for foundations making grants to foreign charities.
Risk management for U.S. charities operating overseas.
Compliance with U.S. Treasury Department anti-terrorism guidelines.

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