• “Like” Us!

    Fraternals on Facebook
  • Follow me!

  • Twitter Updates

    • Join 823 other followers

    • Archives

    • Refreshed & Revived

    • Categories

    Re-born Fraternals

    In the last couple of months, the Alliance has been approached by several groups interested in creating a new fraternal benefit society – something that hasn’t been done (at least in the U.S.) in nearly 50 years. A few of these groups are simply tire-kicking – they don’t have the commitment, common bond, or capital to even consider forming a new society. But at least a couple of them combine those “three Cs” characteristics into what could be the spark that ignites a new golden age of fraternals.

    CCC blog1

    In discussions with the leaders of these groups and legal experts on the fraternal business model we’ve realized two key factors:

    1) Creating a new society out of whole cloth won’t be easy. Even groups with the three C’s may have a difficult time convincing the IRS (which has exactly zero employees who worked there when the last U.S. society was created) to charter a new society.

    2) There are a handful of current fraternals that are facing extinction unless they come up with a bold way to re-invent their societies.

    So why not marry these two groups? The result could be that instead of waiting years for the IRS to act on request that it may ultimately deny, a “new” society could be “re-born” from the embers of a fading one. What a wonderful way to rejuvenate the fraternal system and demonstrate that a business model some may have given up for dead is still alive and well.

    Anyone interested?

    Comments? Here is the place to share them. Or send me a personal email at jannotti@fraternalalliance.org.

    One Response

    1. Well…as always the details are fuzzy….and some regulators are more receptive than others. Someone has to be brave and patient enough to work through the details. Personally I like the concept, but recognize the challenge.

    Leave a Reply

    Fill in your details below or click an icon to log in:

    WordPress.com Logo

    You are commenting using your WordPress.com account. Log Out / Change )

    Twitter picture

    You are commenting using your Twitter account. Log Out / Change )

    Facebook photo

    You are commenting using your Facebook account. Log Out / Change )

    Google+ photo

    You are commenting using your Google+ account. Log Out / Change )

    Connecting to %s

    %d bloggers like this: