White Paper

4 Pages
  • 4 Pages

Dissolving a Nonprofit Organization


Understand what is involved in dissolving a nonprofit organization.

The decision to dissolve a nonprofit organization may be made for several reasons. An organization may choose to voluntarily dissolve because it has fulfilled its mission or is no longer able to raise sufficient funds to carry out its programs and activities. The organization may be merging with another organization that is better equipped to fulfill its mission and will dissolve as part of the merger process. A nonprofit organization may also be subject to an involuntary dissolution initiated by the state attorney general following an investigation into wrongdoing by the organization. Dissolving a nonprofit organization is a long and sometimes difficult and emotional process, but there are steps that can be taken to ensure that the process of winding down a nonprofit is as smooth as possible. This white paper will cover the role of the board of directors and key staff, a breakdown of the dissolution process, and key legal and compliance considerations at each step in the process.



Carly Leinheiser

Carly Leinheiser

Perlman+Perlman LLP

  • Partner with Bromberger Law, PLLC
  • Practice covers a wide range of matters, including corporate formation and governance, financing arrangements, charitable solicitation and cause-marketing, tax-exempt compliance, grant making, impact investing, and corporate philanthropy
  • Spent the last decade practicing corporate and tax law with a particular focus on advising nonprofit organizations and mission-driven businesses
  • Her advice is rooted in a deep understanding of the unique legal and business needs of organizations and companies that seek to maximize both social impact and financial returns
  • Currently serves as the board chair of Figment Project, a nonprofit arts organization that produces free participatory art events in public spaces around the world; also served as a member of the New York City Bar Committee on Nonprofit Organizations, 2011-2014 and 2016-2019; and was selected as a Super Lawyers’ Rising Stars, 2015 - 2019
  • An active member of Social Venture Circle, a membership network that equips entrepreneurs, impact investors, and capacity-builders with connections, money, and expertise in order to build businesses that drive the “NEXT economy,” one that is regenerative, equitable and prosperous for all
  • Member, American Bar Association and New York City Bar Association; board chair, Figment Project Inc.
  • J.D. degree, New York University School of Law; B.A. degree, magna cum laude, Washington University in St. Louis

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