Starting and Managing a Nonprofit Organization: A Legal Guide

By Bruce R. Hopkins | Go to book overview

CHAPTER EIGHTEEN
Joint Venturing and Other
Partnering
One of the most important current phenomena involving tax-exempt organizations is their use of related organizations. There is nothing particularly revolutionary about this technique; for example, Chapter 17 explains how tax-exempt organizations use subsidiaries. What is fairly new and different is the willingness of tax-exempt organizations to simultaneously use so many different forms of related entities—for-profit or nonprofit, trust or corporation, taxable or nontaxable.Some observers ascribe this development to the economic pressures on taxexempt organizations that have resulted from the decline in government funding. Others trace it to tax law revision. There is ample cause in both of these sources, but they do not explain, for example, the trade association surrounded by a charitable foundation, a political action committee, and two for-profit business subsidiaries, one of which is a general partner in a real estate limited partnership. This typical cast of characters was not born of the mother-of-invention theory. It is attributable to another factor—sophistication. Tax-exempt organizations are better managed and better advised than ever before.This improvement in management is due in part to the transfer of chief executive officers from the for-profit business sector to the nonprofit sector. An article in the April 9, 2008, New York Times concerning this importation of management talent to a particular public charity, stated that an individual’s appointment as president of the charity “exemplifies a trend in the nonprofit sector to recruit successful business executives in the hope that their expertise will instill greater professionalism and financial acumen in the sector.”Exempt organizations have discovered that partnerships or limited liability companies are available to facilitate almost anything they would like to do. A partnership, or an LLC, is often, at heart, a financing technique.
REAL ESTATE ACQUISITIONS
Managers of tax-exempt organizations are more frequently concluding that their organizations should own real estate, usually for purposes of housing their offices. These are the financial advantages:
A preferable position economically if occupancy costs are fixed rather than subject to the vagaries of the rental market

-223-

Notes for this page

Add a new note
If you are trying to select text to create highlights or citations, remember that you must now click or tap on the first word, and then click or tap on the last word.
One moment ...
Default project is now your active project.
Project items
Notes
Cite this page

Cited page

Style
Citations are available only to our active members.
Buy instant access to cite pages or passages in MLA 8, MLA 7, APA and Chicago citation styles.

(Einhorn, 1992, p. 25)

(Einhorn 25)

(Einhorn 25)

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Note: primary sources have slightly different requirements for citation. Please see these guidelines for more information.

Cited page

Bookmark this page
Starting and Managing a Nonprofit Organization: A Legal Guide
Table of contents

Table of contents

Settings

Settings

Typeface
Text size Smaller Larger Reset View mode
Search within

Search within this book

Look up

Look up a word

  • Dictionary
  • Thesaurus
Please submit a word or phrase above.
Print this page

Print this page

Why can't I print more than one page at a time?

Help
Full screen
Items saved from this book
  • Bookmarks
  • Highlights & Notes
  • Citations
/ 368

matching results for page

    Questia reader help

    How to highlight and cite specific passages

    1. Click or tap the first word you want to select.
    2. Click or tap the last word you want to select, and you’ll see everything in between get selected.
    3. You’ll then get a menu of options like creating a highlight or a citation from that passage of text.

    OK, got it!

    Cited passage

    Style
    Citations are available only to our active members.
    Buy instant access to cite pages or passages in MLA 8, MLA 7, APA and Chicago citation styles.

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn, 1992, p. 25).

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences."1

    1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

    Cited passage

    Thanks for trying Questia!

    Please continue trying out our research tools, but please note, full functionality is available only to our active members.

    Your work will be lost once you leave this Web page.

    Buy instant access to save your work.

    Already a member? Log in now.

    Search by... Author
    Show... All Results Primary Sources Peer-reviewed

    Oops!

    An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.