Nonprofits, maybe.

Reply to this note

Please Login to reply.

Discussion

By nonprofit, if you mean a tax exempt organization, it could be difficult to raise funds in the US since the tax code is not favorable for donations in Bitcoin from a donor perspective. Again, I’m not familiar with other taxing authorities and I’m guilty of seeing everything in terms of US Tax Code/Law matters. In the USA, it’s really easy to create an LLC and file a few documents with the resident state office that licenses businesses. Also some states are friendlier Thant others about foreign LLC’s. I’d recommend anyone going down this road to start out with a single member LLC. Any payments to outside parties could be contract labor. At some point if a certain dev contributed in such a way that the owner of the LLC wanted to bring them in as a partner/member, it’s easy to convert the single member to a multi-member LLC. But when that happens, you file a separate tax return, which starts to complicate things for people not used to handling multiple return filings. Also it’s hard enough having a partnership with someone you know, so multiply the issue by 100 when you start to deal with people you really don’t know. As one heard more than once….your partner is your friend, until they not. If it’s your idea, make it your company and compensate the external contributors accordingly.