How to Register A Non Profit Organization in Namibia

What is a Non Profit Organization?

A nonprofit organization, also known as a non-business entity, not-for-profit organization, or nonprofit institution, is a legal entity organized and operated for a collective, public or social benefit, in contrast with an entity that operates as a business aiming to generate a profit for its owners.

Where and how to Register A Non Profit Organization in Namibia

These are the procedures to register a non profit organization;

• Memorandum and article of Association in triplicate of forms CM3, CM4, CM44B and CM44C.
• Copy of approved name on CM5
• Notice of postal and registered address on CM22
• List of Directors, Auditors and public Officers on CM29
• Appointment of an Auditor on CM31
• Application of Certificate of Registration of memorandum of External Company CM46
• Request for submission of additional Copies on CM51.

Frequently Asked Questions

Does a not for profit Organisation need to be registered in Namibia?

Organisations which are established for not-for-profit making purposes can be exempt from registration. A not-for-profit organisation can make a profit for its own purposes, which are usually charitable or social, but the profit should not be used to enrich others.

How much does it cost to start a nonprofit business in Namibia?

The filing fee for nonprofit articles of incorporation is $30. All of these forms contain instructions. You will also need to file a Statement of Information (Form SI-100 or Form SI-CID) within 90 days of filing the Articles of Incorporation.

What is a non-profit organization and how does it work in Namibia?

A not-for-profit organization does not earn any profits for its owners. Instead, the organization donates the money it receives to help fund the organization’s objectives and goals. A not-for-profit might also use received donations to stay up and running.

How does a non-profit make money in Namibia?

Non-profit charities get revenue from donations, grants, and memberships. They may also get revenue from selling branded products. A non-profit organization’s expenses may include: Rent or mortgage payments.

Can a single person start a nonprofit in Namibia?

No one person or group of people can own a nonprofit organization. Ownership is the major difference between a for-profit business and a nonprofit organization. For-profit businesses can be privately owned and can distribute earnings to employees or shareholders.

What do nonprofits need most in Namibia?

What nonprofits need most is to keep their community-oriented services viable. To do that, they need to develop an organizational structure that supports financial sustainability. They also have to be ready to embrace change.

Does a nonprofit have to spend all its money in Namibia?

This is a difficult question, as all nonprofits are different. In fact, any surpluses i.e. (“profits”) are needed by all nonprofits to even out their cash flows. The obvious way to build a reserve fund is to operate with an annual surplus, generating net revenue that can then be added to reserves.

What happens if a non profit makes money in Namibia?

Tax-exempt nonprofits often make money as a result of their activities and use it to cover expenses. … As long as a nonprofit’s activities are associated with the nonprofit’s purpose, any profit made from them isn’t taxable as “income.”

What is the difference between a nonprofit and a 501c3?

These terms are often used interchangeably, but they all mean different things. Nonprofit means the entity, usually a corporation, is organized for a nonprofit purpose. 501(c)(3) means a nonprofit organization that has been recognized by the IRS as being tax-exempt by virtue of its charitable programs.

How many types of non-profit organization are there in Namibia?

Technically under the IRS’s 501(c) code, there are two main types of nonprofits: nonprofit organization (NPO) and not-for-profit organization (NFPO). NPO’s serve the public via goods and services while a not-for-profit organization (NFPO) may serve just a group of members.

Can you get rich running a nonprofit in Namibia?

While a nonprofit organization itself cannot earn a taxable profit, the people who run it can receive a taxable salary. The IRS expects that you’ll pay yourself reasonable compensation for the services you provide—and it judges reasonableness on the basis of comparable salaries for comparable organizations.

How do I start a nonprofit with no money in Namibia?

• Create your core values.
• Research costs and create a budget.
• Start fundraising for startup costs.
• Incorporate your new nonprofit.
• File for a tax-exempt status.

Do I have to pay taxes if I work for a nonprofit in Namibia?

Nonprofit organizations may include religious, educational, or charitable organizations and may not be required to pay federal taxes. When an organization does not participate, it does not withhold Social Security or Medicare taxes from your wages or pay the matching share of those taxes like other employers.

Why do nonprofit CEOs make so much in Namibia?

Geography influences the top executive’s salary: CEO salaries at nonprofits reflect the regional variation in the cost of living. The bigger the charity’s budget, the bigger the CEO’s wallet: Not surprisingly, the higher the charity’s total expenses, the more likely it is that the CEO will earn higher compensation.

How long does it take to start a nonprofit in Namibia?

If you file online for your Articles of Incorporation and Initial Report, the process takes 1-3 days. Your tax-exempt status with the IRS will take the longest to arrive. You can expect a determination letter anywhere from one to six months after filing.