Monthly Archives: December 2016

Unintended consequences: Is your nonprofit “profitable”?

Many believe that their nonprofit’s 501(c)(3) tax-exempt status automatically and perpetually renders their organization’s activity tax-exempt. However, this is not necessarily true. Certain tax-exempt organizations are liable for tax if they have what is referred to as unrelated business taxable income (UBTI). UBTI for a 501(c)(3) organization generally refers to any income earned by the

Deal or no deal?

You’ve been given an opportunity to partner with four other people in a growing venture. The venture is operated by a Manager-Managed LLC. You only know one of the members, who is not one of the appointed managers. If you put up $5,000 in cash, sweat equity drawing on your expertise and sign the operating