I wanted to know what it would take to start a community owned corporation?

Question

I would like to get my community together a start a corporation that will improve our area not push us out. Especially now we have developers coming in a buy up the area for cheap then developing. Which I think is fine, I after all believe that we are in a land of opportunity, but to do it in such a way that is pushes people out of there homes and community is wrong. I want to make sure we have a say in our community.

Answer 1

What you are talking about sounds like "sustainable development". Please see: http://www.colby.edu/~thtieten/sustain.h...

Starting a corporation is a great way top go because it gives a structure and resource for the community's voice.

You might want think about starting a not-for-profit corporation, since it sounds as though you would have a charitable purpose.

Donations could be tax deducible and you would be eligible for grants, even form those developers.  There are several ways that community based corporations can do this-some great methods of this have been established in the past 6-7 years.

I do not know where you are located, but establishing a not-for-profit corporation requires a minimum of initial incorporators (usually three). You do not require a lawyer to start one, but I would recommend at least a consultant who is experienced in this. You could consider a community development corporation or a local development corporation. You will want to work with someone who has experience in operating a not-for-profit corporation to be involved.

You do not have be a not-for-profit corporation, although in your situation, it seems best. You could start a for-profit, (LLC, Type C or Sub-Chapter S corporation).

If you going to start a corporation, you might find it helpful to contact your state’s Office of the Secretary of State.  While I have found the staff very helpful about the process of starting a corporation, remember they usually do not know anything about running a corporation or funding or management. You may also be required to register as a charity-if you’re establishing a not-for-profit corporation, depending on which state you are located. If you are establishing a not-for-profit, you might also want to take a look at the IRS Form 1023, which must be filed. DO not get worried or be overwhelmed. These methods and documents are really not as overwhelming as they can seem.  

Some resources that you might fond helpful are:

http://foundationcenter.org/getstarted/f...

http://www.goodjobsfirst.org/pdf/cba2005...

http://www.aecf.org/upload/PublicationFi...



I hope this has been helpful. Good luck.

Answer 2

Don Quixote fought the same type of wind mill, if you have read that story... meaning you have a looooooong road ahead. Unless you know exactly what you are doing that is a tough road to hoe.  Look up other such corporations and go speak to them.. I hope you do not lose your enthusiasm.