Form of Business

Notes

CO-OP AS A NON-PROFIT SHELL FOR COMMERCIAL GROWERS
  • favorable property tax assessment?? — look to zoning or easements — non-profit status of owner won’t be enough to reduce assessed value
  • examples of best practices

One thought on “Form of Business

  1. Nate

    Perhaps worth emphasizing that for-profit businesses routinely use shells and connected entities for various purposes, whether to reduce liability, get favorable tax treatment, harvest subsidies, etc. This because I just came out of a meeting where I heard someone say the line that it’s important to prove that there is an economically sustainable for-profit urban farming business model that works, and then you can get into social enterprise stuff, if you have that. Sure, but the idea that going for-profit without using all the tricks that for-profit businesses use to reduce taxes/costs/liabilities, and get low cost money (loans, subsidies, whatever) is to commit to competing with one hand tied behind the back. So maybe framing as various types of shells are just how for-profits do their thing…

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