L3Cs and Private Foundations

Low-profit LLCs With the effectiveness of Public Act 96-126 on Jan. 1, 2010, low-profit limited liability companies, or L3Cs, have been introduced in Illinois. Among other changes, a new Section 1-26 was added to the Illinois Limited Liability Company Act. This new section reads: (805 ILCS 180/1-26) Sec. 1-26. Low-profit…

Blending profit with social good (see related article) has not yet come close to reaching the mainstream of current discussion. It may or may not ever because the term "free market" seems to be in conflict. There is no conflict, just misunderstanding. Pundits may name the new efforts combining profit and social good…

Hybrid profit/non-profit enterprises may be the new model for public/private enterprise. L3Cs For those of us in finance, accounting or law, the low profit, limited liability (“L3C”) corporation is the new method of corporate structuring and financing especially useful where private and public projects intersect. L3Cs and Benefit Corporations (a…

See, especially, examples 11-19, below. DEPARTMENT OF THE TREASURY Internal Revenue Service 26 CFR Part 53 RIN 1545-BK76   Examples of Program-Related Investments AGENCY:  Internal Revenue Service (IRS), Treasury. ACTION:  Notice of proposed rulemaking. SUMMARY:  This document contains proposed regulations that provide guidance to private foundations on program-related investments.  These…