How to dissolve a non-profit corp and having a S-corp buy it?
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How to dissolve a non-profit corp and having a S-corp buy it?
The non-profit didn’t get the 501C3 status yet.The price of the non-profit will be close to zero. The assets of the corp are very minimum (books, brochures). The S-corp will use the name of the non-profit as its future DBA. Can I do this myself? Can I have a window of price how much it can cost to dissolve the non-profit and have the S-Corp buy it in AZ? If the cost of the non-profit is close to zero is there any tax considerations here?
Asked on November 14, 2010 under Business Law, Arizona
Answers:
M.T.G., Member, New York Bar / FreeAdvice Contributing Attorney
Answered 13 years ago | Contributor
This matter is way too complicated to discuss in this type of forum and you need the appropriate business planning to do what you intend. Generally, you can dissolve any corporation by filing the appropriate forms with your state's Department of Corporations. I am sure that if you go to their website they even have any area of help and guidance for you. Now, dissolving a corporation means it is gone so you can not then "buy" it. You would need to reapply for a corporation with the same name and not a "DBA", which I am leery of your doing here if the non-profit has been established in advertising or in a business sense. In other words, you so not want to commit a fraud in any way by people thinking that they are giving to a non-profit that is really an S-Corp. Get help please. Good luck.
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