Turn this thing into a non-profit.

[adunkman]

Let’s do this perhaps.

[kalimar]

From JC's father-in-law (accountant)

After you set up the organization, you have to apply with the IRS for tax exempt status. The application makes you explain the set up, purpose, projected income, etc. of your organization. It can sometimes take months to get an approval. The IRS fee to grant an application is between $400-$800 depending on the amount of projected income.

[adunkman]

I’m not sure if anyone else knows more about this than I do, but here’s what I’ve found googling — primarily from bos.virginia.gov.

Forming an LLC in Virginia seems to be pretty straightforward, sccefile.scc.virginia.gov seems to be basically a wizard for filling out the required paperwork.

• The name of the business must contain the words "Limited Liability Company" or "Limited Company" or the abbreviations "LLC," "LC," "L.L.C.," or "L.C."
• It must be unique — check for uniqueness at https://sccefile.scc.virginia.gov/NameAvailability.
• There is a $100 filing fee.

Sounds like we’ll also need an EIN:

• If your LLC has more than one member, it must obtain its own IRS Employer Identification Number (EIN), even if it has no employees.
• It’s free and instantaneous to get one at irs.gov.
• The IRS warns: If you’re filing for tax-exempt status (we are), it’s best to be sure your organization is formed legally before you apply for an EIN. Nearly all organizations are subject to automatic revocation of their tax-exempt status if they fail to file a required return or notice for three consecutive years. When you apply for an EIN, we presume you’re legally formed and the clock starts running on this three-year period.

Next up, tax exempt status. Looking primarily at tax.virginia.gov:

• Based on irs.gov, it sounds like we’ll need to file Form 1023 to register as a 501(c)(3).
• We need to comply with the Virginia Solicitation of Contributions Law. It was long, I didn’t read it.
• We can register online for tax-exempt status in Virginia at tax.virginia.gov.

Of course, I’m no expert and certainly don’t qualify to give legal advice, but this seems to be what’s up after googling!