Q: How do I structure a 501c3, when my plans are to grow to national and hyper-local chapters?
I am starting a non-profit corporation in the state of Florida, with the intention of applying for 501c3 status. My vision is to grow this non-profit into a nationwide organization, with responsibility for directing the activity of a “chapter” in each state overseeing a “chapter” in each county, creating a “franchise” or “umbrella” model. Obviously, structuring this the correct way from the start will make the growth process more manageable. What is the proper format for structuring a 501c3 with this intention? Is each “chapter” its own 501c3? Is there a contract needed to connect the “chapters”? Thank you!
A: I suggest that you hire a business attorney to work with you through this process and get specific one on one advice face to face. This is a large goal that you have which is great but you need to get an attorney on board now and build the structure as you go forward.
A: Given your goal each chapter would have to register in its own state and they would apply for a 501 (c)(3) as an affiliate or related entity to the parent group. You need a good local business attorney to assist you.
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