Blogroll Archives - Page 8 of 9 - Bushore Church Real Estate

What is a Letter of Intent?

BlogrollDeveloper, first right of refusal, letters of intent, LOI, Negotiation, non-binding, your intent to be bound

Looking to sell your property? Whether or not your property is on the open market, your church may receive a Letter of Intent from a prospective buyer. Simply put, a Letter of Intent is nothing more than one party putting into writing their intent to perform a specific act. In the real estate world, this usually means that a potential buyer has provided you with the basic terms in which they intend to purchase your property. But should you sign it? Nearly every single Letter of Intent we have seen has […]

Choosing the Right Entity

BlogrollArticles of Incorporation, bylaws, constitution, Corporation, Entity, Formation, Limited Liability Company, LLC, Nonprofit Corporation, Secretary of State, Tax Exemption

What Type of Business Entity is Right for your Church? Although this article will focus on the formation of a corporation, it is important to understand all the different types of business entities and how they will affect your church. Entity Type: Unincorporated Association An association is formed once two or more individuals mutually agree to act for a common lawful purpose, whether for profit or not. An unincorporated association can act and conduct business in the same manner as the other entities listed below, including holding ownership of real […]

Cell Towers at Churches

BlogrollCell Tower, Cell Tower Lease, Church Cell Tower, Easement, first right of refusal, Mechanic Lien, Negotiation

Are Cell Towers and churches a good fit? This article does not focus on the negotiations involved with leasing your property for cell towers at your church; which can be challenging. Rather, the intent of this article is to provide a resource for churches to use when considering whether or not to permit a cell tower at their location; in no particular order. Risk vs. Reward: If you’re like most churches, your primary concern is in the amount of monthly income you will receive in rent. In short, is the […]

Preventing Mechanic’s Liens

Blogrollcontractor, Mechanic Lien, Mechanic's Lien, Notice of Completion, Notice of Non-responsibility, Preliminary Notice

Preventing Mechanic’s LiensNot all churches have tenants, and those that do, may not have tenants that desire to make some sort of capital improvement to the church property. However, this article is not limited to churches with tenant(s) but rather all churches and preventing mechanic’s liens. At some point or another, all buildings require some sort of repair or maintenance. What comes to mind in a new roof, but this article also applies to any repairs commenced of the property from the roof all the way down to the getting […]

First Right of Refusal

BlogrollAppraiser, bona fide offer, Church appraiser, Developer, Fair market value, first right of refusal, Lease

First Right of Refusal; those magic words: On occasion, during the negotiation process with a tenant in church owned property, the tenant may request that the agreement contain those four magic words, First Right of Refusal. On its face, the words appear harmless enough; if the property owner decides to sell the real property, the tenant will be the first in line to be the buyer. However, what those magic words don’t tell is the price the property is to be purchased at, or how it is to be calculated. […]

Towing Vehicles From Private Property

BlogrollAbandoned Vehicle, California Vehicle Code, Illegally parked, Parking Lot Liability, Private Property, Tow, Towing

Can You Tow a Vehicle from Your Church? To tow or not to tow? Over the years of managing church properties, it sometimes becomes necessary to tow or remove vehicles from a parking lot. On one occasion, I even authorized the tow of a boat that had been gutted and left abandoned; luckily it was still on its trailer. The following is some basic information that will assist in removing vehicles from private property in California. Allowing them to remain presents an issue of liability. Although this brief summation of […]

Deductible Donations For Congregation Members

Blogroll501(c)(3), Church donation, deductible donation, Franchise Tax Board, Internal Revenue Code, Qualified Organizations, Tax Deduction

Of Course, I can deduct my donation; right? Most attendees make donations to their church or other organization for one reason or another. They usually claim their donations, be it monetary, property, labor, or goods on their annual tax return as a deduction. However, what most don’t realize is that if the organization to which they contribute is not a recognized qualified organization by the IRS, that contribution may not be tax deductible. Whether or not a contribution is deductible depends on whom it is given to, when it was […]

Corporations in Suspension

BlogrollActive, Corporate Suspension, Corporation, Franchise Tax Board, Good Standing, Revival, Secretary of State

Just forming a Corporation is not enough… In California, all corporations, regardless of whether they are formed for profit or not, may be created for any lawful purpose. Unless in suspension, the corporation is recognized by the State and granted certain rights and privileges. In addition to granting, so too can the State take them away. In maintaining a corporation in Active and Good Standing with the State of California requires certain steps be taken, some annual and others biannual. Should a corporation fail to comply with the laws that […]

Churches and Unrelated Business Income Tax

BlogrollBingo, Church for Rent, Church for Sale, Church income tax, Church Lese, Church Market, Church property, Church Rental, Nonprofit Corporation, Property Management, Real Estate, religious property, Religious use, Tax Exemption, UBIT, Unrelated Business Income Tax, Unrelated Income Tax

Churches and Income Tax This article briefly describes how Unrelated Business Income Tax (UBIT) affects churches, although much of what follows generally applies to all tax-exempt organization. Defined: According to the IRS, Unrelated Business Income is income from a trade or business, regularly carried on, that is not substantially related to the exempt purpose that is the basis of the organization’s exemption. An exempt organization that has $1,000 or more of gross income from an unrelated business must file with the IRS and must pay estimated tax if it expects […]

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