The idea of creating, running and growing a successful nonprofit organization appeals to a lot of entrepreneurs and business leaders. That makes sense, since those who hold leadership roles tend to value the notion of improving conditions for underserved communities or want to advance environmental and social causes important to them. However, it can also present a minefield of potential traps for the unwary to navigate. That's why it’s important to identify the following potential obstacles before you undertake the arduous process of securing 501(c)(3) status from the Internal Revenue Service.
