Charities & Not-for-Profits
We have nearly 20 years of experience dealing with not-for-profit organizations and charities, including one of Canada’s largest charity, The Salvation Army – Territorial Headquarters for Canada & Bermuda and various smaller “no-name” not-for-profits and charities.
Whether it be to start-up operations (including application for charitable status), ensure compliance with applicable regulations or assisting management with day-to-day operations and accountability reporting to stakeholders, our specialized experience in the not-for-profit area allows us to provide any required service whether dealing with the Charities Directorate , Canada Revenue Agency or others.
What is a Not-for-Profit Corporation?
A Not-for-Profit Organization or Corporation (NPO) is a corporation in which neither the directors, officers nor members "own" the corporation nor do they have any right of ownership to any particular asset of the corporation and the corporation may not be operated for the financial gain of its members, directors or officers.
In certain circumstance, a NPO may engage in activities that are revenue producing and that produce a "profit". Such activities must be incidental to the principal objects of the corporation and in furtherance of the principal objects. For example, a boys’ soccer club may hold a walk-a-ton to raise funds for new uniforms for the team. If, after paying the expenses, the walk-a-ton produces a "profit", the monies belong to the club and are to be used for the benefit of the club i.e. to purchase new uniforms for its team.
What is a charitable corporation?
Charities are a special kind of not-for-profit Corporation. In order to be a charity, a corporation must meet the general requirements for not-for-profit corporations and some additional requirements. In order words, all charities are NPOs but not all NPOs qualify to be charities.