Mixing non-profit and for-profit activities

By Rick Colosimo / June 8, 2020 /

Somebody asked a question about forming two related entities, one for-profit and one nonprofit. The idea was that certain facilities that would be used by the nonprofit could be used in slack time by other businesses paying a market rate. The business model seemed to be that there would be grants for the nonprofit, which…

Read More

Another reason you need a board

By Rick Colosimo / April 12, 2016 /

The HBR recently shared the results of a study showing that an increase in the amount of flattery received by a CEO disproportionately increased the likelihood of the CEO being fired. “You look mahvelous” Flattering the CEO increases chance of getting [him] fired http://t.co/2odFtkwBW3 — rickcolosimo (@rickcolosimo) November 5, 2013 That link is dead: look…

Read More

Five-minute general counsel: what nonprofits want

By Rick Colosimo / October 15, 2010 /

Nancy Lublin’s column in Fast Company is always interesting, even moreso when I disagree with her. A column from February, “We Really Need to Talk,” (oddly renamed on the web as “Foundations’ Four Biggest Faux Pas”) is a little list of four points she’d make to foundations. To me, they boil down to versions of…

Read More

Five-minute general counsel: can a nonprofit change mission?

By Rick Colosimo / October 15, 2010 /

This LinkedIn question asked about mission drift for non-profits. There are a couple different layers of answer, depending on what’s going on and who’s asking. First, the fundamental concern: will the change of mission jeopardize nonprofit status (and that typically means jeopardize 501(c)(3) status, which means deductibility of donations by donors)? The answer depends on…

Read More