It has long been recognized in the United States that an individual can, under certain circumstances, claim religious exemptions to certain laws because of a religious objection. This basic principle, based on the First Amendment’s Free Exercise clause, has also been extended to religious non-profit organizations, like churches and schools or charities run by religious institutions. However, in recent years a new question has come up: can a for-profit company claim a religious objection to a law, even when they’re not officially recognized as a religious organization? Continue reading “Can a For-Profit Corporation Claim a Religious Objection?”
Operating a nonprofit corporation can give you a lot of freedom compared to operating a for-profit corporation. For one, you can simply do whatever your organization was created to do, without worrying about whether you’re pleasing shareholders. For another, you can get a tax-exempt status that will protect you from the burden of the corporate income tax. However, that status isn’t absolute, and if you engage in any prohibited activities, your nonprofit status can be revoked. Continue reading “Prohibited Activities by Nonprofit Organizations”
When people think about corporations, a few names will spring to mind: Disney, McDonalds, Walmart, Coca-Cola, Apple, maybe even something like Comcast or Nintendo. And that’s because most people only really think about for-profit corporations. However, just about every major charity is also incorporated, as are many colleges and universities. The big difference is that these are nonprofit corporations, and depending on what you intend to do, a nonprofit corporation might be just what you need. Continue reading “Is a Nonprofit Corporation Right for You?”
If you choose to incorporate your business or organization, you may think the worst of it is filing the articles of incorporation (or, of course, filing your taxes). You may think your corporation protects you from financial and legal liability. However, corporations have additional requirements that other kinds of businesses don’t, and if you’re not diligent about fulfilling them, there can be serious legal consequences. Continue reading “The Obligations of Incorporation”
Some people have joked about the idea of corporations being people. It sounds like a ridiculous enough statement, and on its face, it is; a business is not a human being, no matter how generously you stretch the definition of either. However, legally speaking, it’s true that corporations are people (sort of), and if you’re running your own corporation, it can help to understand how corporate personhood works. Continue reading “Corporate Personhood, Explained”
When starting a business, incorporation can be an exciting step. But when taking this step, many individuals may ask whether incorporating in Delaware is more advantageous than New York. The real answer is “it depends.” Knowing the difference between the incorporation processes of the two states is important in making that decision. Businesses differ, so weighing the pros and cons of each state will help you find the right venue to register in.