A Jargon-Free Guide to Low-Profit Limited Liability Companies (L3C)
JUNE 1, 2017
An L3C, though, is a hybrid of an LLC and nonprofit business model, which is where an organization operates to benefit the general public without shareholders and without a profit motive. Other examples have included farmers’ markets, newspapers, law groups and art centers. Though L3Cs are socially conscious, they’re not tax-exempt , and donations and investments are not tax-deductible. And now the million dollar question: is this business model right for my organization?