Establishing a non-profit organization in Georgia offers a powerful legal framework to pursue charitable, educational, human rights, environmental, or other public-benefit missions. The correct legal structure for such an entity is a Non-entrepreneurial (Non-commercial) Legal Entity, commonly abbreviated as N(N)LE. The defining principle of an N(N)LE, as stipulated by the Civil Code of Georgia, is that its core activities are not aimed at generating profit for distribution among its founders, members, or management. While an N(N)LE is legally permitted to engage in auxiliary entrepreneurial activities, any resulting income must be exclusively channeled back into achieving the organization’s declared statutory objectives. This fundamental distinction is vital for maintaining the non-profit status and is a prerequisite for seeking beneficial tax statuses.
The cornerstone of a resilient and effective NGO is a meticulously drafted Charter. This document is far more than a procedural formality; it is the constitution of your organization, legally binding and essential for its governance and operations. A professionally prepared Charter must clearly articulate the organization's official name, legal address in Georgia, and its specific, non-profit objectives. Critically, it must also establish a clear and functional governance structure, defining the powers and duties of management bodies such as a Board of Directors or a Chairperson, the process for appointing and dismissing them, and the rules for decision-making. By detailing these elements with precision, the Charter acts as a preemptive tool against future internal conflicts and operational ambiguities, ensuring your organization has a solid legal footing from day one.
At Legal Sandbox Georgia, we provide a comprehensive, end-to-end legal service for NGO formation, transforming a complex procedure into a streamlined process for our clients. The journey begins with a strategic consultation to fully grasp your mission, allowing us to advise on the optimal governance model tailored to your specific goals and scale of operations. Following this, our legal experts draft all requisite documentation, including a bespoke Charter and the founding decision or minutes of the inaugural meeting. We ensure every clause is robust, compliant, and reflective of your vision. We then manage all administrative steps, including the notarization of required signatures and the submission of the complete application package to the National Agency of Public Registry (NAPR), guaranteeing adherence to all procedural requirements for a successful registration.
Upon successful completion of the registration process with the NAPR, your NGO is officially established as a legal entity under Georgian law. This grants it the full legal capacity to open bank accounts, enter into contracts, hire employees, and crucially, apply for local and international grants. Our support extends beyond the initial registration. We assist clients with post-formation necessities, such as registering with the Revenue Service to obtain a tax identification number. Furthermore, we provide expert counsel on the separate but vital process of acquiring "Charitable Organization" status. Obtaining this status can provide significant tax advantages, including exemptions from profit tax on grants and donations, thereby maximizing the financial resources available to advance your cause. Entrusting us with your NGO formation ensures a legally impeccable and strategically sound foundation, empowering you to focus entirely on your impactful mission.
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