The L3C (low-profit limited liability company) construct has been getting a ton of virtual ink lately. As a way of establishing my dubious credentials, I’ll note that I was among the first in our field to note the arrival of the L3C, and I’ve written and debated about it quite a bit since then. Fractured Atlas formed an L3C subsidiary for our insurance program back in 2008.
All of that is just to establish why I’m having trouble thinking of something new and inspiring to say about the L3C. I suppose it also explains why I’m interviewed on the subject frequently enough that I can confidently lump the questioners into two categories: (1) big thinkers – often grad students or consultants – who see tremendous potential in the L3C but have only a vague concept of its real legal and financial contours, and (2) jaded skeptics – often professors or attorneys – who know just enough about the L3C to have serious doubts about its applicability to the arts. Read the rest of this entry »