Schaffer Law Firm successfully converted a for-profit toffee company, Divine Art Toffee, into a nonprofit 501(c)(3) organization. Divine Art Toffee now includes toffee making and a full-service café in East Nashville that provides training and employment for disabled adults, the elderly and those on the various roads to recovery.
We met Paula Hock, owner of Divine Art Toffee, at the Nashville Entrepreneur Center in 2011. Paula had a clear goal: She wanted to take the forprofit Scorporation she had been operating for 10 years and turn it into a social enterprise. Specifically, she wanted to help women in recovery by employing them in her candy kitchen, and one day, in her café. Paula had met with several other attorneys who told her to simply donate money to charities, but Paula was driven by faith and the unshakeable desire to turn her business into a social enterprise. Even more, she wanted someone who also saw her vision.
How We Helped
Using our knowledge in forming nonprofit corporations and converting for-profit businesses into nonprofits, we were able to:
- Convert the Tennessee Scorporation into a Tennessee nonprofit corporation
- Assist Paula in putting together a board of directors
- Conduct the first board meeting, whereby the bylaws and conflict of interest policy were adopted by the board
- Prepare the paperwork to file the Internal Revenue Service Form 1023
- Prepare and file the Tennessee charitable solicitations permit
What’s Happening Now
On August 7, 2014, Divine Art Toffee was awarded 501(c)(3) status from the IRS. In early 2015, Divine Art Toffee signed a lease for a candy kitchen and café space in East Nashville. On June 15, 2015, Divine Art Café officially opened its doors to the public. Divine Art currently employs four women who have successfully completed recovery programs.