Running a 501(c)(3) alongside a 501(c)(4) doubles the finance work and adds rules neither entity has alone. Lei Advisory handles it as routine work.
A documented basis for splitting staff time, rent, and systems between the entities.
Intercompany accounts reconciled on both sides and settled on a schedule.
Activity measured against the 501(c)(3)'s limits, including organizations with a 501(h) election.
Restricted gifts stay where donors intended, and both returns tell the same story.
Many dual-entity organizations find the allocation was never written down, or that one entity has been quietly funding the other. A finance assessment maps where things stand and what to fix first.
A nonprofit with an affiliated 501(c)(4). Revenue had been recorded in the wrong entity for much of the year, and the cost-sharing arrangement between the two needed rebuilding. Lei Advisory rebuilt both sets of books, documented the allocation, reconciled the balances between the entities, and prepared both entities' annual filings.
Lei Advisory works with a limited number of organizations at a time. If disciplined reporting and experienced oversight would help your team, reach out. The first conversation is a straightforward consultation.