We help organizations become legally incorporated in Colorado as nonprofit corporations. We also provide ongoing corporate governance, contract, litigation, and other counsel as needed by nonprofit organizations.
Becoming a Nonprofit Corporation in Colorado
Colorado nonprofit organizations are formed by filing articles of incorporation with the Colorado Secretary of State. Filing these articles of incorporation is only one of the necessary steps to starting a nonprofit corporation; other critical steps that must take place include the following:
- Forming a board of directors,
- Adopting Bylaws,
- Ensuring that the purposes of the organization in the organizational documents (particularly the Articles of Incorporation) limit the primary purposes of the organization to those set forth in one of the subsections of Section 501(c) of the Internal Revenue Code, which governs tax-exempt organizations, and
- Registering with the State of Colorado if certain fundraising activities will take place.
It is important that a nonprofit organization be properly formed at the outset in order to receive tax-exempt status from the IRS, and that the organization be operated in accordance with the tax exempt provisions of the Internal Revenue Code so that tax-exempt status is not subsequently revoked.
The consequence of not receiving (or losing) tax-exempt status is significant – all revenue received by the organization will be taxable, and the contributions made by donors will not be tax deductible. We advise nonprofit clients on what steps should be taken to minimize these consequences from ever occurring.
If Your Organization Desires to Become a Nonprofit Organization, or If Your Nonprofit Organization Requires Legal Advice, Please Call Us
We can serve as your counsel in the formation of a nonprofit organization and can advise you and your organization as to what steps should be taken to preserve the organization’s tax-exempt status. After formation of a nonprofit organization, we can advise you as to any legal matters that the organization may need concerning its tax-exempt status, as well as any other general corporate legal needs that it may have (including corporate governance, contract, or litigation needs).