New post: SUTI Inc. 31 mins
MORE ANSWERS FOR THE QUESTIONS THAT I RECEIVED:
PBS Holding Inc
6 mins ·
FYI, Just a few answers to help clear up all the misinformation and ignorance!
Q: Can a Public company own a NON Profit< and how does it report the revenues and etc..?
A: YES, and it will report revenues and profits of the NON PROFIT.
Q: can a non profit MAKE profit and/or revenues?
A: A non profit, just like any other corporation, CAN and does make profit. The difference is that a NON profit has to distribute, spend or re invest its profits. Minus cost of doing business and overhead and operating the company.
Q: Can a non profit attract new investors and why?
A: High net-worth individuals, celebrities, and money managers as well as wealth managers and consultants
like the tax benefits, altruistic aspects, feel good, and notoriety that is usually associated with a NON Profit, especially like ours that has a host of athletes and celebrities already "ON BOARD" with the company.
Q: can a company such as PBHG benefit from owning a non profit company?
A Yes, besides obvious tax and other financial benefits, the celebrity status, attractions and promotional aspects are very beneficial to public companies such as PBHG.
Q: can a non profit re invest, and or buy assets with its PROFIT distribution?
A: The non profit has to re invest, distribute and or donate the "profit" that it made by year end.
Q: Does the IRS have any beneficial rules and/or regulations that can benefit or enhance the OWNERS of the non profit?
A: The IRS codes are actually VERY favorable for the non profits, and especially with high end individuals, investors and high end inventories and items.
For example: much like with some stocks and bonds, art and collectibles share a huge benefit that is designed and its part of the IRS codes, and the US tax law. If a person acquired an art or collectible item, say for $ 1,000, and that person holds the item for 13 months, then his/hers DONATION benefit and write off is not the actual purchase amount, but rather what is the recent appraised value. And at that point, an IRS has to accept that appraised value, with no objections, as per their IRS code. ( Why do all the wealthy "donate" their art and collectibles to museums? A man buys a painting in 1970 for $ 100K , today its appraised at $ 10 million, his estate gets $10 million benefit, not $ 100k).
Here is an example: When someone such as Warren Buffet who moved all his money and assets to a NON profit foundation, selects his son as a new CEO for his NON profit foundation and leaves him no money in his will. Why? because their estate will not be taxed, and his son gets to spend 100% of all his money, rather than less than 50% (if he had to pay estate, death and other taxes).
An Example: a for profit co. makes $ 1,000 , pays $ 500 for taxes, and gets to spend $ 500 on growth, re investments or distribution. On the other hand: a NON Profit makes $ 1,000, pays no taxes, Keeps and spends, or re invests $ 1,000.
