Revenue Generation

While revenue-generating activities that result in earned income (as opposed to donated income) are often critical sources of support, nonprofits must comply with complex IRS regulations to avoid income tax on activities that may be deemed an “unrelated trade or business.” If such unrelated activities are substantial in nature, a nonprofit jeopardizes its tax-exempt status. We have extensive experience helping nonprofits implement, scale, and sustain earned income initiatives in ways that avoid or minimize taxable income.

We support and guide nonprofits 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.

Contact us to learn more about how we can help your nonprofit thrive.