Our Business Law Attorneys have assisted in the formation and management of dozens of non-profit organizations. Minnesota not-for-profit organizations are governed under state and federal statutes, state and federal regulations (e.g. MN Dept. of Revenue and IRS), and various other legal authorities. Non-profit law in Minnesota (MN) requires careful legal compliance to protect an organization’s non-profit status or tax-exempt status. We represent non-profits of all sizes and types, and help their entity organize and maintain their non-profit organization.
on-profit organizations do not issue stock shares or distribute its surplus funds to owners or shareholders. Instead, they use the funds to help achieve its goals. Many non-profits include charitable organizations, public arts organizations and trade unions/associations. Non-profits are able to earn a profit (surplus) and those profits must be retained by the organization for its own self-preservation, expansion or plans.
Incorporating as a non-profit 501(c)3 organization provides an organization with considerable tax benefits.
Advantages of Setting up Your Business as a Non-Profit
- No taxes: Non-profits are eligible for state and federal exemptions from corporate income taxes
- Funding: Non-profits qualify for special grants, government funding and discounts.
- Ability to accept donations: The non-profit can fundraise from donors and Individual donors can claim personal federal income tax exemptions for those donations.
- Limited liability: Just as in a for-profit corporation, owners & directors are shielded from personal liability for business debts.
- Longevity: Like a corporation, a non-profit entity is separate from the individuals who manage it.
Disadvantages of Setting up Your Business as a Non-Profit
- Set-up expenses: application and qualification process more involved than typical business
- Regulatory requirements: numerous regulatory requirements including annual reports to federal and state agencies
- Limits on salaries: Managers may only be paid reasonable salaries, can’t divide profits equally
- Limits on Board of Directors: Board of directors may not be paid
- Issue on dissolution: On dissolution, must distribute to other non-profits
- Public scrutiny: Because a non-profit is dedicated to the public interest, its finances are open to public inspection.
Non-profit organizations are formed by filing bylaws or articles of incorporation. Incorporating creates a legal entity treated as a corporation, just as a for-profit corporation.
The two major types of non-profit organizations are membership and board-only. A membership organization elects the board, has regular meetings and has the power to amend the bylaws. A board-only organization typically has a self-selected board and a membership whose powers are limited to those delegated to it by the board.
Before setting up your business as a non-profit, there are several requirements for a non-profit to be exempt from federal income taxes the organization must meet the requirements set forth by the IRS. The IRS reviews applications to ensure the non-profit meets the conditions, such as appropriate purpose, limitations on spending and internal safeguards for a charity. At Klun, our Business Law Attorneyscan help you meet these formalities.
At Klun Law, our Business Law Attorneys believe that forming a business is a special challenge and we pride ourselves on helping entrepreneurs from start to finish.
One of the fundamental decisions facing any new business owner is choosing the form of the organization. Our attorneys will assist you in selecting the entity most suitable for your business needs.
We have helped small businesses form partnerships, limited liability partnerships (LLPs) and sole proprietorships. We assist larger businesses form C corporations, S corporations and traditional corporations.
Each business form has a different level of business owner liability, administrative and bookkeeping requirements and levels of taxation.
Our expert Business Law Attorneys at Klun Law can explain the differences and help you decide which business form is better for your situation.
We will help organize your new business in compliance with Federal, Minnesota and local laws.
At Klun Law, we are experienced working with businesses to support commercial and business development. In order to complete a mutually agreeable transaction we regularly draft agreements involving:
- Retail buildings
- Office buildings
- Manufacturing facilities
- Land with developmental potential
- Construction of commercial buildings
We can provide advice regarding
- Joint ventures
- Construction planning
- Development funding
- Loan and grant assistance
- Environmental issues
Commercial development typically includes the coordination of land developers, surveyors, building contracts, real estate agents and small businesses. Working with all these entities, we help facilitate property purchases, sale and leasing contracts. We can help facilitate contracts to build
- Business parks
- Office buildings
- Ports and water fronts
- Retail parks
- Shopping malls and centers
- Shopping streets and districts
We Want Your Business to Grow
Klun Law provides business development assistance to your business to support marketing, sales, attracting new customers and penetrating markets. We want to help you boost your business and maximize profitability. We do this by assisting you in fostering relationships with your customers and clients. Sometimes this may mean you need our sharp negotiation skills. Sometimes you might need us to review a contract for you. Either way, it is our objective to help you implement strategies for development to satisfy your clients.
We understand the businesses want to identify new business opportunities. Klun Law is here to support your business. Whether you are identifying new markets, new partnerships with other businesses, new ways to reach existing markets or new products/services to better meet the needs of existing markets, our job is to support your business. We can help you bring new opportunities you have identified to fruition. We can assist you in closing deals with organizations you want to develop business with.
We can help you by:
- Reviewing sales development strategies
- Negotiate new sales relationships to increase business volume
- Creating sales contracts
- Negotiating and closing real estate purchases and business deals
Business owners need to ensure that their business relationship is clearly defined and that they properly plan for their retirement and/or sale of their company. This can be accomplished through operating agreements, shareholder agreements, and many times most importantly, buy-sell agreements.
We can help your business prepare for “bumps” in the relationship between corporate owners and coordinate succession planning. Klun Law Firm has represented generations of owners throughout these types of transitions, we look forward to assisting your business and ensuring the success of your business in the future.
Unfortunately, some business relationships go sour and litigation is necessary. Our primary goals at Klun are to resolve your business matter efficiently and quickly and to do so with a minimum of cost. At Klun Law our Business Law Attorneys will help you avoid a lawsuit and try to negotiate a settlement of a dispute. However, if going to court is necessary, our business law attorneys are experience in business litigation.
Some typical business litigation issues that can arise include breach of contract, business torts, failure of client to pay, intellectual property infringement, payment disputes, deceptive trade practices and lease disputes.
Our goal is to resolve your business litigation issues with as much negotiation as possible. Most disputes regarding breach of contract can be resolved without going to court. Negotiation can include telephone calls, letters and hopefully will resolve an issue quickly and inexpensively. Many business disputes arise from a lack of communication and our attorneys have experience handling such matters and hopefully mending relationships for future business.
If we cannot resolve an issue through negotiation then, the next step is to file a lawsuit and begin litigation. Unfortunately, litigation is time consuming and expense, and our goal at Klun is to resolve the issue without having to go to trial. We will work tirelessly to try to arrange a settlement and avoid the costly expense of trial. If settlement is not possible, our talented litigators can take a case all the way through a judgment and file an appeal if necessary.
If your business is faced with the threat of a lawsuit or you are facing a dispute with a business, call Klun today for assistance.
Construction law deals with gathering permits and making sure that rules are being followed, whether you’re building a brand new commercial building or remodeling your home. Our Minnesota Real Estate Attorneys at Klun Law can assist you with permits, codes, construction and mechanic’s liens. We can help contractors who are having difficulty getting paid or help homeowners who have been the victim of a home repair scam.
At Klun, we have dedicated Labor and Employment Law Attorneys who can assist your business with labor and employment agreements.
A small sample of the types of agreements we draft and review include
- Employment contracts
- Independent contractor agreements
- Confidentiality agreements
- Severance packages
- Non-disclosure agreements
- Non-competition agreements
- Labor union grievances
- Director and Officer Indemnification agreements
- Director benefits plans
- Compensation agreements
- Stock option plans
- 401(k) administration
Employment agreements, when well written, should protect both the employer and the employee by making expectations and rules clear about what goes on in the workplace. We strive to create human resources manuals and agreements that are clear and complete.
While most employees are at-will, some employees in Minnesota belong to unions. These union employees are covered under a Collective Bargaining Agreement. Our office is experienced in labor union matters. We can help your business respond to a grievance and review the contracts that are in place. We can also sit and negotiate when bargaining a new contract comes up for renewal.