Our experts at Private Membership Associations see the advantages of forming a private association are apparent when you watch the news. Special interest groups, religious and racial fanatics, gangs and large corporations terrorize decent people and make their lives miserable without any consequences. You can get angry and accept it as part of life -- or you can do something about it and protect your own rights.
This is one of the major reasons for the current trend in forming private clubs and associations. We will help you form either a club or an association. But between the two you actually have more rights under a Private Membership Association. For example:
1. Law enforcement agencies unofficially consider all "clubs" to be illegal prostitution and gambling organizations
2. Prosecutors will harass club members charged with anything in order to force them into a position where they are willing to "tell the truth" about the club.
3. Club members facing prosecution spend a lot of money defending themselves and eventually give up when they run out of money, desire to win or both. The prosecutors suffer no consequences.
4. Religious zealots seem to be attracted to clubs. They follow members home or discover their address and harass them. This harassment can become hazardous or violent if you interact with these groups.
5. Street gangs, racial and other fanatic groups do the same thing.
Private Membership Associations do not have the same problem. It's all about public perception. And at this time the public has a jaundiced viewpoint of clubs in general. Associations are seen in a more positive light.
Incorporating Your Association
You have the option of legalizing your business as a sole proprietorship, partnership, limited liability company, and for a profit or nonprofit corporation in any state of your choosing.
You are personally liable for any losses suffered in a sole proprietorship or partnership whether you're the culpable person or not. Limited liability companies limit but do not eliminate your personal exposure to losses suffered by the company. We suggest you avoid these options.
Incorporating as a nonprofit education association is usually your best option. As a non-profit you may pay your employees or contract laborers and all other expenses exactly as you do now. You may pay yourself as an employee or contract laborer as well. As long as you follow the guidelines set forth in your association papers, the left-over will be tax exempt.
As part of your fee, IPX Services will incorporate your private association as a North Carolina nonprofit association. You still run your business according to prudent business operations, and in the same manner you currently run your business, but you have the additional benefit of being a nonprofit corporation.
The Advantages of Incorporating in North Carolina:
No annual fees - Nonprofit corporations in North Carolina pay a one-time incorporation fee and are not required to pay an annual renewal fee.
No annual corporate business reports - You keep a record of your board meetings and financial affairs but you do not need to report these things to the State of North Carolina. You may avoid reporting this information to your own state by staying incorporated in North Carolina.
Registered Agent - IPX Services -- your North Carolina registered agent -- will forward all legal documents and other important mail to you at the address you stipulate and re-mail or discard all spam letters and cards at your option. Their fee is $25.00 a year.
Employer Identification Number - IPX Services -- your registered agent -- will obtain an employer identification number which you can use to open your checking and savings accounts and pay expenses including yourself, independent contractors and/or employees.
IRS Reporting - IPX Services -- your registered agent -- will notify you three months in advance of any IRS reports you need to file for your association.
Forming an Association:
Associations and members of that association have more rights under the law than other groups and individuals. The 1st, 9th, 10th and 14th amendments to the United States Constitution guarantee you those rights. Unfortunately, and to be bluntly honest about it, you need a very good attorney to create your association in the right way to incorporate those rights into your business.
There are probably less than a hundred attorneys in America who know how to create Private Membership Associations that protect the members and practices in the federal court system. Our company is widely considered by association experts to be one of the best groups forming private associations in the country.
There's a maxim in law that states: "Do it right from the beginning and you will have the best legal protection available under the law." If you don't do it right from the very beginning you have less than the best protection. Having less than the best protection is dangerous in our litigious society and unpredictable legal system. Whatever you do, we encourage you to do it right from the very beginning.
How To Manage Your Association
When you're speaking with a member of your association you can use words like diagnose, analysis, treat, treatment, prescription, tell them to do something, counsel and advise them in an attempt to help them be cured. While you could do these things under the umbrella of your association, we strongly recommend you don't.
For your own protection and the protection of your members we recommend you use the following words in discussing any health issue with your association members and the public:
Teacher, teach or teaching
Training or train
Demonstrating or demonstrate
Coach or Coaching
When people ask you for a diagnosis, the best approach is to ask them: "What do you think is wrong with you?" Another way is to explain that they are the best person in the world to diagnose their own condition -- and research findings support this statement. Give them an assignment to research their own symptoms and then tell you what they think is wrong and what they think they should do about it.
If what they say sounds reasonable then support them. If not, then tell them you're not sure that's a good assessment and encourage them to continue their research. Remember that you are a teacher and can assist them in finding answers for themselves.
When people ask you to prescribe something to help them or ask you what they should take, teach them what you can and coach them to research their symptoms and remedies for themselves.
The best way to avoid practicing any licensed profession without a license is to teach, demonstrate and coach. Empower your members to diagnose their own ills and prescribe their own remedies.
Encourage your clients to do what they indicate when they make good decisions. Encourage them to join discussion groups and to continue their research when they don't.
The more you teach, train, demonstrate and coach your clients, the safer you all are under the umbrella of your association. But when you feel you must act and act now for the benefit of your members, do what you feel you must do. Your association will give you the best legal protection available under the circumstances.
