From Cobblestones to Pavement: The Legal Road Forward for the Creation of Hybrid Social Organizations

The U.S. legal system largely divides organizations into two categories: for-profit and nonprofit. The overarching problem service organizations confront in the current binary system – in which social organizations are forced into one of two legal categories – is one of access to capital. As the nonprofit capital market is less disciplined than the for-profit capital market, a hybrid structure could address this problem by encouraging capital to flow more readily between like-minded organizations.

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