Recent Legislation in Several States May Offer Opportunities for Investors to Partner with Tax-Exempt Private Foundations

Several states recently have created a new type of investment entity—a Low-Profit Limited Liability Company (or "L3C")—that may open the door to co-investments by tax-exempt private foundations and for-profit... (continued)

Taggedfoundationssocial enterprisecross-sector partnershipshybridprilegal-earned incomel3cearned income

Vermont's Social Hybrid Pioneers: Early Observation and Questions to Ponder

This article examines the experiences of those early adopters of the L3C business form. Through surveys, phone conversations, and examinations of web sites, I explored the reasons these entrepreneurs chose the L3C over alternatives such as a traditional LLC or a Section 501(c)(3)... (continued)

Taggedsocial entrepreneurearned incomesocial entreprisecross-sector partnershipshybridprogram-related investment

Proposed Philanthropic Facilitation Act

Proposed legislation from Americans for Community Development that would amend the tax code to provide for a rebuttable presumption that L3Cs qualify for program-related investments, hoping such a presumption would facilitate PRIs.

http://americansforcommunitydevelopment.org/downloads/PhilanthropicFacilitationAct2010.pdf

Taggedsocial enterprisecross-sector partnershipshybridlegal-earned incomel3cearned income