"TMP: Business? Charity?" Topic

I've received some comments lately from people asking about our exact status here at TMP.

We're defined as a 'for-profit business with social purpose'.

That means that we're still a regular business, earning a profit, but that along the way we also try to do good. Similar to but much smaller than Ben & Jerry's.

What is our social purpose? In one sense, we are educating people about history and miniature wargaming. (I understand that HMGS is defined as a charity for this purpose.)

Our other social purpose is that for several years now, we have hired staffers from the Third World who could not easily find work otherwise.

Will TMP ever transition to a 'pure' charity, or perhaps spin-off a charity branch? I don't know enough yet to say, but it's an option worth exploring. If this is a field you know something about, I welcome your input, privately or publicly.

Depending on the laws, you may be able to make more money as a charity.

Wolfhag

In the UK many big charities pay very large salaries and give great benefits to their leaders. It is also a "cover" for schools for the rich.

Therefore, become a charity Bill and make much more money!

Are Ben and Jerry not owned by industrial giant Unilever.They really are a great charity??

Charité bien ordonnée commence par soi même. La Fontaine.

In the USA, 501c Non-profit corporations can pay their leaders decent salaries, but in the medical field, for example, they are capped. For churches, there seems to be no cap. Don't know enough about the tax code to say more. Sorry.

I created a non-profit corporation (requires a Board of Directors, who are not family related), back in 1997. We didn't have enough money to file for 501c status with the IRS -- too small, our budget was all of $4,000 USD/year… I still gained the Corporate Shield, which is all that really mattered (I was not personally liable -- they could only sue the corporation, not me). Donations were not tax-deductible, but I didn't care, as no one made donations anyway; it was a club, so everyone paid monthly dues, and occasional, required, fees. Those can't be deducted from taxes; they would only get money paid above and beyond normal, required fees, as a tax deduction.

There are other business models which provide a Corporate Shield, and they do not require a Board of Directors (BoD; can lead to problems, and even hostile take-over's!). I assisted my nephew in starting a business. I advised him to consult a lawyer to set up a Limited Liability Company (LLC), to shield himself, his house, and his family, from lawsuits; there is no BoD -- he is the sole owner. His business is for-profit, with a Corporate Shield.

Bill, your best option is to consult a lawyer who sets up different types of businesses, to see what you can do. A corporation with a BoD, can result in the BoD firing you… This is what happened to E. Gary Gygax: the BoD fired him from the TSR, even though he was a major shareholder, and he remained a member of the BoD. He lost the company he created. Steer clear of BoD's… Cheers!

Just rename tmp to church of tmp, no taxes lots of profits.
Depending on how low your morals are, your church could make you enough money for several private jets.

Churches are required to have BoD's… Not a good plan, unless you are able to control enough members of the BoD, such that they can't fire you. Cheers!

Ben and Jerrys started with two guys who were Deadheads, but interested in making ice cream. They did a Cherry Garcia and a Phish Food (UK won't know them but they were a Grateful Dead spin off basically, like Kula Shaker over here)

They sold out the business for billions. Even the hippest have their price. Editor, run TMP as a charity and then do the Facebook thing and sell it just as you see it about to go belly up…

yeah their Tonight Dough is too good.. In Australia charity muggers stalk you where-ever you go on the street, wanting you to believe they're volunteers and their bosses aren't setup in plush offices with company cars…it's total , I heard something like 70% of your donation goes to the payroll of the average charity in Aus.

If you want to get riich in the USA, start an anti-poverty agency. There is money to be made in being a nonprofit. Alternatively, be like the Wounded Warrior Project.

I support and fundraise for the Sentinels of Freedom:
sentinelsoffreedom.org

About 85% of their proceeds are used to help severely wounded vets and their families. However, you can run a "charity" where 90% goes to expenses, travel, entertainment, salaries and fundraising expenses. The laws are very loose.

Open up a 501c3 in San Francisco and become part of the Homeless Industrial Complex. The mayor has already earmarked $2 USDB to house 4,000+ homeless (estimates are over 10,000) and treat their mental illness and addictions. Salaries will be $175 USDK but you'll have to live on the street or commute to the East Bay as you'll be hard-pressed to afford a nice place even if you could find one. They are spending about $40 USDk/year/homeless person.

Try to get the needle and medical disposable supply contract. SF distributes over 400,000 needles a month and then pays $175 USD/year to people to pick them up. This is the new California Gold Rush if you know the right people.

link

You can rent my house in the East Bay for $4,000 USD/month as I'll be moving to Tennessee next year with no state income tax and no homeless problem. I'll be able to shoot my M1 off my front porch with the blessing of my neighbors who will be a half-mile away.

Wolfhag

Wolf +1 !

Nope no relationship between vets and homeless!

As the kids say, I feel you, Wolfhag. I am down in LA, but in the southern San Fernando Valley, so not as extreme a homeless situation as downtown or Santa Monica or up near you. I wish you much fun in the slightly less prevalent sun of Tennessee!

Mad Guru,
My wife is from Santa Monica and has seen a steady decline.

Regarding homeless Vets. We have many programs for them in N CA with a three day stand down every year where they check-in, get cleaned up, counseling, free cell phone, job interviews, etc. The VA's in the area are great too.

Wolfhag

Regarding salaries in charities. Who do people think do the charitable work? Volunteers? No. A lot of charities are providing services for people with desperate needs, and that needs professional care staff etc.

So please don't all get hung up on salaries. Here in the U.K. the charity sector is one of our biggest employers behind government

A wargaming website can be a charity? Bizarre. But it's 2020, I guess no kind of weirdness is off limits in this whacky year :)

Isn't HMGS a charity?

Wouldn't hiring some of the poorest people on the planet be considered a "good work"?

Why would you go charity? You can still be a for-prfit business and do charitable works.

Don't let some social-do gooders chastise you into changing just because they want you to.

"Wouldn't hiring some of the poorest people on the planet be considered a "good work"?"

Hmm, would that work for Nike? :)

A tongue in cheek answer, but in the UK at least there are quite specific legal requirements that must be met to achieve charitable status, as well as some fairly onerous oversight and regulatory requirements. If the US has similar laws you might well find the impact quite restrictive

Hmm, would that work for Nike? :)

I don't think Nike offers many home-based editorial positions.