Build the legal framework: Legal logistics
Converting to a nonprofit is a legal change that affects how you handle assets from your for-profit and the ownership stake of owner-investors. Get legal advice early.
You’ll want to understand the issues for your particular news organization, and the requirements of your local state law on incorporation and fundraising, as well as federal laws.
INN cannot provide this legal advice, but on our INN.org legal resources page you can find referral links to some law firms we work with. You also can find nonprofit law specialists through state nonprofit associations. Find yours through the National Council of Nonprofits.
Owners who have converted have found legal help in a variety of ways, from asking contacts at existing nonprofit organizations in their community, to doing online searches for “nonprofit startups.”
The cost of setting up a new organization and managing the asset transfer depends on several variables, with the simplest asset transfer running about $5,000 to $15,000.
Here’s what an attorney is going to want from you in order to file the application for nonprofit status, called form 1023: