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Oregon Public House: first non-profit pub under construction in Portland, OR

Discussion in 'Beer News' started by guajolote, Aug 18, 2012.

  1. guajolote

    guajolote Member

    Location:
    Oregon
    Full-article and video:
    http://www.ksdk.com/news/article/332978/28/First-non-profit-pub-under-construction-in-Portland
    danybrew and muchloveforhops3 like this.
  2. Eriktheipaman

    Eriktheipaman Member

    Location:
    California
    Sounds pretty awesome. Makes me that much more pumped to be moving there next year.
  3. Bluecane

    Bluecane Member

    Location:
    New York
    This shouldn't qualify as an actual nonprofit organization, but they can certainly donate profits to charity all they'd like.
    danybrew likes this.
  4. mcaulifww

    mcaulifww Member

    Location:
    Virginia

    Why would this not qualify as a not for profit?
  5. Bluecane

    Bluecane Member

    Location:
    New York
    It doesn't fit under any of the 501 definitions. It isn't operating for an exempt purpose, and I don't see how it would otherwise qualify. You can't just donate any profits to unrelated charities and thereby become a nonprofit organization and get the attendant benefits, I.e. tax deductible donations.
  6. mcaulifww

    mcaulifww Member

    Location:
    Virginia
    you don't think they could get approval as a social club 501 c 7?
  7. danybrew

    danybrew Member

    Location:
    Belgium
    very nice idea !!! hope it will be working so !!!
  8. digita7693

    digita7693 Member

    Location:
    Germany
    Actually I think they could.
    Many larger charities take donations or do events for charities and let you choose the charities, it does not have to only be for one charity.

    More importantly, who cares about technicalities, they are trying to do something positive to help people in need. I am all for it!

    cheers
    Don
    DrAwkward82 likes this.
  9. Bluecane

    Bluecane Member

    Location:
    New York
    Don, it's an awesome idea.

    That said, your example neglects that the "larger charity" is already a charity.

    The example given to me by my professor was that a gas station owner who promises to donate all profits to the local Little League can certainly do so, but that nevertheless doesn't qualify the gas station to be a nonprofit.
  10. Bluecane

    Bluecane Member

    Location:
    New York
  11. MADhombrewer

    MADhombrewer Member

    Location:
    Oregon
    I was kind of surprise when I saw this in the paper (?). Hasn't it been open for awhile?
  12. digita7693

    digita7693 Member

    Location:
    Germany
    Ill have to look through my papers on setting up a 501c again, I have done it twice now, but I thought one might be able to swing this. However, even if it is not technically a non-profit, it could still probably call itself that. Though it would be a pity for it to miss out on the tax benefits.

    Doesnt the organization have to be simply organized exclusively for charity? I know of restaurants that act as schools for at-risk-youth, give them jobs, training etc...
    Is the only distinction you are seeing as problematic that they are offering multiple charities? Couldn't they simply set themselves up to say we are a non-profit that will donate all profits (after operating costs) to charities x, y and z?

    Ill look into it a bit more later, I am sure the oraganization knows what it is doing, time to go enjoy some more Icelandic brews at Micro Bar:)

    cheers
    Don
    mcaulifww likes this.
  13. mcaulifww

    mcaulifww Member

    Location:
    Virginia

    That's my understanding. If the businesses sole purpose is to send its profits to another entity and would therefore only be making revenue (Which can include salaries, nice ones too ;)) Then regardless of what their selling I think it's legit
  14. Bluecane

    Bluecane Member

    Location:
    New York
    The organization must be organized for exempt purposes. Making beer is not an exempt purpose.

    http://www.irs.gov/charities/charitable/article/0,,id=175418,00.html

    Otherwise, it needs to fit into one of the other categories, for example a social club, but I don't see it fitting into any of those, either.
  15. Azzy

    Azzy Member

    Location:
    Texas
  16. MacNCheese

    MacNCheese Member

    Location:
    California
    Firehouse Brewing did the same thing in San Diego.

    Except they conviently never turned a 'profit' as they were underselling their kegs. Never gave a dime to the Firehouses they 'supported', then went bankrupt adn screwed their investors. Ironically, the same guy is now running Poor Man's Brewing. Not brewing yet, but illegally selling 'guest' beers out of the brewery. That guy apparently has no idea how to run a business.

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