Share your needs with us, get contacted by law firms.
Free. Takes 2 min.
Nonprofit and charitable organizations play a crucial role in Charleston, contributing to the community by addressing social, cultural, and environmental issues. These organizations operate primarily for the public good and are typically granted tax-exempt status under Section 501(c) of the Internal Revenue Code. While they enjoy certain benefits, they are also subject to state and federal regulations to ensure transparency, accountability, and alignment with their mission. Legal frameworks exist to facilitate their formation, management, and dissolution, ensuring they adhere to the law while pursuing their goals.
Legal assistance may be essential for several reasons when dealing with nonprofit and charitable organizations. Whether you're starting a nonprofit, managing an existing one, or navigating complex legal compliance issues, a lawyer skilled in nonprofit law can be invaluable. Here are some common scenarios where legal help might be needed:
1. Forming a Nonprofit: Guidance on incorporation, bylaws, and obtaining tax-exempt status.
2. Regulatory Compliance: Ensuring adherence to state and federal laws, including filing requirements and fundraising regulations.
3. Governance Issues: Assistance with board governance, conflict of interest policies, and leadership transitions.
4. Contractual Matters: Reviewing contracts and agreements related to employment, services, or collaborative projects.
5. Dispute Resolution: Resolving conflicts within the organization or with external parties.
Charleston operates within South Carolina's framework for nonprofit and charitable organizations. Key aspects of local laws include:
1. State Registration: Nonprofits doing business in South Carolina must register with the Secretary of State.
2. Fundraising Compliance: Organizations must adhere to specific guidelines and reporting requirements for fundraising activities.
3. Governance Requirements: South Carolina mandates certain governance standards, including holding regular board meetings and maintaining accurate records.
4. Annual Reporting: Nonprofits need to file annual reports to retain their good standing and tax-exempt status.
The first step is to develop a clear mission statement and business plan. After that, you should incorporate your entity and apply for tax-exempt status.
You need to file IRS Form 1023 or the streamlined Form 1023-EZ, depending on the size and scope of your organization, to receive tax-exempt status under 501(c)(3).
Yes, South Carolina has specific registration requirements and rules governing fundraising activities to ensure transparency and accountability.
Bylaws are your organization's internal rules and are mandatory. They guide how your nonprofit operates and makes decisions.
Yes, a nonprofit can pay reasonable salaries to its employees, including executives, as part of operational costs.
The board should include individuals with varied skills beneficial to the nonprofit's mission, ensuring diverse perspectives and effective governance.
Board members have three primary duties: the duty of care, the duty of loyalty, and the duty of obedience to ensure the nonprofit operates legally and ethically.
To dissolve a nonprofit, you must follow South Carolina's legal process, including board approval and filing appropriate paperwork with the state and IRS.
The Secretary of State oversees nonprofit registrations, maintains records, and ensures compliance with state charitable solicitation laws.
To amend your articles, adopt a resolution outlining the changes during a board meeting, and file the amendment with the appropriate state department.
1. South Carolina Secretary of State: Provides resources and requirements for nonprofit registration and compliance.
2. Internal Revenue Service (IRS): Offers guidance on federal tax-exempt status and filing requirements.
3. South Carolina Association of Nonprofit Organizations (SCANPO): A statewide network providing support and resources for nonprofits.
4. SCORE Charleston: Offers free mentoring and educational workshops for nonprofit management.
If you need legal assistance with your nonprofit organization, consider taking the following steps:
1. Consult with an Attorney: Seek a lawyer specializing in nonprofit law for personalized guidance.
2. Conduct Research: Familiarize yourself with state and federal nonprofit regulations and resources.
3. Network with Peers: Connect with other nonprofit leaders to share experiences and advice.
4. Utilize Pro Bono Services: Explore pro bono legal services, often available through local bar associations or nonprofit networks.
