Delaware Public Benefit Corporations are different than non-profit organizations in that non-profit organizations typically operate for a charitable purpose, and therefore qualify for tax-exempt status from the IRS.
Non-profit organizations do not have shareholders, and if there is a Board of Directors, the Board cannot seek or reap any private benefits from the activity of the company.
A Delaware Public Benefit Corporation, on the other hand, is expected and encouraged to earn profits; it is also owned by its shareholders and cannot apply for tax-exempt status.
Although Delaware Public Benefit Corporations have existed for less than eight years, there is already a small but impressive roster of Delaware Public Benefit Companies, including:
Since 1981, Harvard Business Services, Inc. has helped form 138,501 Delaware corporations and LLCs for people all over the world.
Harvard can provide assistance throughout the life of your company. These custom services are the most popular with our clients: