How Global LEAD Works

 

Global LEAD was founded in July 2008 as a nonprofit organization focused on its mission:  to transform the trajectory of individuals’ lives through leadership, service and personal development.  At the time, we knew we wanted to impact the world, but we didn’t have an idea where the path may lead.  As our travels and dreams led us through Africa and into Europe, we more clearly defined our goals, infrastructure and business model.

 

We were confident in our mission and our desire to continue impacting university students, yet we decided to evolve our legal structure in October 2010 to include both a non-profit organization as well as a for-profit company.  The decision was motivated by both internal and external reasons, but in the end, we continue to be a socially responsible and purpose-driven organization.

 

This new structure provides the best of both worlds to each company.  The nonprofit is able to harness the advantages of the legal structure such as:

 

1.     Tax-exempt status

     By qualifying as a 501(c)3 tax-exempt organization, Global L.E.A.D. Program, Inc. is not required to pay taxes.

2.     Access to grants

     There are many opportunities to be awarded grants for specific nonprofit activities.

3.     Grant deductibility to contributions

     Those who contribute to Global L.E.A.D. Program, Inc. are able to deduct their contribution from their taxes.

 

In the same way, the for-profit structure provides Global LEAD, LLC other advantages:

 

1.     Control of our own destiny

     We are a purpose-driven organization who understands where we want to go and how to get there.  By removing nonprofit restrictions, we are able chart our own course while staying true to our mission.

2.     Recruiting and retaining talent

     Our industry is competitive and to be successful, we need the ability to compete for talent without the restrictions placed on nonprofit organizations.

3.     Access to capital

     In order to grow, we want the option to raise capital.

4.     Less paperwork, requiring less time

     Nonprofits are subject to extreme scrutiny, and by transitioning certain aspects of the company to a for-profit structure; we were able to eliminate many of the most intensive reporting functions.

 

The government may define companies by a check box on an IRS tax form; however, we believe our true identity is much greater to those we serve.  We will continue transforming the trajectory of individuals as we grow and do our best to create change for a better world.