What is an L3C?


A low-profit limited liability company, also known as an L3C, is a new kind of limited liability company (LLC) that combines the financial advantages of the traditional LLC form of business with the social benefits of a non-profit entity. In addition, as a variety of LLC, the L3C generally shields its owners from the debts of the enterprise.


An L3C is a for-profit limited liability company which is specifically organized to further one or more charitable or educational purposes within the meaning of the Internal Revenue Code (IRC).1 L3Cs may be formed as free-standing businesses with social purposes. They may also be created by nonprofit organizations as for-profit subsidiaries with social welfare goals.


An L3C can earn income and see its property appreciate in value, but the production of income or the appreciation of property cannot be a significant purpose of the company. In addition, L3Cs are prohibited from pursuing political or legislative purposes within the meaning of the IRC.


[Excerpted from a Basic L3C Primer]

Here's the latest L3C Tally (updated quarterly) as of:
June 5, 2020


PLEASE NOTE: These are L3Cs that are showing as ACTIVE by the various Secretaries of State. This tally does NOT include L3Cs that have been organized at one time in their respective states and are now inactive, administratively dissolved, expired or no longer recognized by the state in which they were organized.

interSector created this ORIGINAL L3C tally and has been updating this count since the Fall of 2009.

Have you read our two L3C white papers yet?

Click here for more...

Looking for L3C Resources...have a look here!
Have questions about the L3C?
Best way to reach us is to use the short form below. Rick will get back to you as soon as he can...always within a couple of days.
You're welcome to call as well. However, due to ongoing client work, it may take up to a week to receive a return phone call!

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© 2009-2020 interSector Partners, L3C | All Rights Reserved. | Legal

interSector Partners, L3C
A socially purposed limited liability company since 2009
4218 Arezzo Drive
Longmont, CO  80503-4159
Please give us a call:

Caryn Capriccioso

caryn at interSectorL3C dawt com

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Rick Zwetsch


rick at interSectorL3C dawt com

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