Nonprofit Bike Shop: Can I Do That?

Yesterday, AL.com reported that Marcus Fetch, a former nomadic traveler was opening Redemptive Cycles, a nonprofit bike shop.  The article explains, "The [shop's] nonprofit status allows the business to serve a charitable function, rebuilding, fixing and reselling used bikes at the cheapest price possible." 

How is it possible that a retail store, which provides goods and services in the selling and repair of bicycles, can be a nonprofit organization?  It seems so… commercial. 

Beginning with the End in Mind: Legal Entity Selection for Social Ventures

It can be daunting to decide whether to organize a new venture as a nonprofit, tax-exempt organization or as a for-profit, business entity. Sometime an organization could be organized and operated both in a manner that qualifies for tax-exemption under Internal Revenue Code Section 501 or as a taxable business entity.  Toss in a number of recently developed “hybrid” legal entities like the L3C and the social benefit corporation, and it is easy to quickly become misguided and/or confused in the options.  Founders should thus heed Stephen Covey’s wisdom and begin with the end in mind.