Corporate Law Linking a for-profit with a non-profit

[cofergus]

We are seeking corporate structure legal counseling. Our question is about how to link a for-profit with a non-profit. Could the non-profit be the Senior Member of a LLC? Could the non-profit be a general member of a LLC? Should we switch to a C-Corp and have the non-profit buy shares? Also, from the source "Form a Partnership: The Complete Legal Guide" by Attorneys Denis Clifford and Ralph Warner, they say a LLC can form a Limited Partnership (LP) in order to sell "shares." This creates a passive relationship between members of the LLC and their investors. Could the nonprofit link with a LLC as a passive Limited Partner? What provides the most wiggle room, keeping the two organization interdependent, but independent?

 

[Michael Wechsler]

You're asking a question that creates more questions. I'm not sure why a non-profit would have an interest in a for-profit corporation or vice versa. Why would such a thing occur? You may need to speak to an attorney to get some expert advice if this is important since some of these details may require confidentiality and raise other local issues in addition to federal ones governing the 501(c) series of not for profit corporations.