We are a thriving silk shawl weaving business in Kabul, Afghanistan, and we want to register as an NGO. However, we expect that funding will be quite cumbersome and time-consuming, so we are considering establishing a corporation under the umbrella of an NGO. Can you advise whether this is a common practice?—name of questioner withheld by request
Questions about registering as an NGO and establishing a corporation are best answered by an attorney licensed to practice in the country where the organization is located. I'm not an attorney, so I can't give an authoritative answer to your question, but I have some questions for you. I recommend that you answer the following before you contact an attorney. Having the answers will help you provide the attorney with a clearer sense of your objectives and constraints.
Question 1: Why do you want to register as an NGO? What do you think NGO status will do for your shawl weaving business? Is it because you want to solicit contributions from government agencies or foundations?
Question 2: What makes you expect that your funding will be quite cumbersome and time-consuming? Why do you think establishing a corporation under the umbrella of an NGO will help you deal with the problem of cumbersome and time-consuming funding?
Question 3: Since NGOs are typically nonprofit corporations, why do you want to establish another corporation under the umbrella of an NGO? Is it because you want the shawl weaving business to be a for-profit corporation? If the primary purpose of your NGO will be to operate a for-profit corporation then you may not be able to qualify as an NGO.
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