Daniel Bachhuber of Publish2 and CoPress linked this on October 27, 2009 at 12:48AM EDT
Daniel said: The new Chicago News Cooperative will be a nonprofit to begin with, but will change to an L3C after January 1st. It will be a useful proof of concept to watch for those interested in the model. Quote:
Speculation and interest in the L3C model in journalism has run high. Some have looked to the L3C model as a solution for newspapers because it allows a corporation to take on investors who are willing to accept varying rates of return - or possibly none at all. Foundations would be assured that their investment would qualify as a program-related investment - a crucial distinction under tax law - while socially responsible investors might be willing to settle for, say, a 3 percent return.