Look into the cooperative model, if you are looking to start some sort of incubator where profit is re-invested into the business, or distributed directly to the owners, I believe this is one of the best models. Note, that it is fairly complex to run a cooperative based on a decentralized and democratic organization. I looked A LOT into this model, and it has many pitfalls, but a lot of people make it work and thrive. I don’t believe that you can co-mingle non-profit and for profit business. Every state operates differently, so, it may be different in MN than CA. You might be able to create a holding company then create two independent “companies” underneath, or separate them completely, one being a non-profit to help support or loan money to your for profit center…I’m not exactly sure, but it seems like you are asking for a whole host of regulatory/tax trouble if you get something mixed up. I think your best bet, IMO, is to set up two completely different organizations.
Just an FYI, Sarah, Mike, Christina and I just set up a 501c3 to help support orphanages in Nepal, called the Hari Pokharel Foundation. I can walk you through that process, as it’s not super complicated. Website is in the works, and if you want to get involved, and onto the board when you are back, just let me know…we’d love to have your help.
Glad to see you are doing well. Can we connect sometime via phone?