Non-Profit Corporations (NPCs) are much like their for-profit cousins in that they are considered to be a separate legal entity from their members and directors and they provide limited liability protection. The primary difference between the two corporate structures is that NPCs are formed for purposes other than generating profits for their shareholders.
There are two types of NPC: Membership Corporations and Charitable Corporations. If charity is your primary goal, you most likely want to assume charitable status. In order to acquire charitable status, you must apply to the Canada Revenue Agency and qualify as a charity under the Income Tax Act.
To register as a NPC in Saskatchewan, you must be mentally competent and over the age of 18. Additionally, you must not be in a state of bankruptcy. If you meet these requirements, your next steps are to:
- Conduct a name search;
- Complete Articles of Incorporation; and
- Submit the required documentation and payment to Information Services Corporation (ISC)
