Worker cooperative in association with a non-profit

[Santiago Leon <sgleon@mindspring.com>]

A local non-profit social service organization (about 20 employees) has 
decided to consider reorganizing itself along the following lines:  the 
non-profit (501(c)(3)) would continue to exist, but the employees would 
become the owners of a worker cooperative which would contract with the 
non-profit to perform the services (which consist generally of outreach and 
advocacy).  The non-profit currently acts, along with its ongoing 
functions,  as a sort of  "incubator" for new organizations:  for a 
transitional period it acts as fiscal agent for the organization in 
formation, and the employees of the new organization become employees of 
the non-profit; and then eventually the new organization goes off on its 
own.  A committee of which I am a member has been asked to come back with a 
more detailed plan by the end of the year.  Can you give us any help, or 
recommend anyone that might be able to do so?

Santiago G. Leon
Home phone (305)666-7361, fax (305) 661-2127
Office phone (305) 577-4270, fax (305) 577-3502
Office email sleon@answerrisk.com