U.S.-based international nonprofits are rushing to register sister organizations overseas as they face an unpredictable political environment at home.
Charity lawyers in Canada and the United Kingdom told Devex they are experiencing a surge of inquiries from U.S. nonprofits looking to establish overseas offices or entities. One Canadian law firm said it had seen a tenfold increase in demand compared to previous years, while a U.K. law firm with expertise in the charity sector said it had seen a fivefold increase in inquiries.
U.S.-based charities and foundations, including those working in the global development and humanitarian space, are on edge amid a slew of actions and proposals from the White House that are affecting or could affect their work. That includes funding cuts, but also reports that Trump has considered banning overseas grantmaking, might strip some organizations of their tax-exempt status, or that groups could be disbanded entirely amid spurious accusations that some nonprofits are supporting terrorism. Already, one foundation — the Open Society Foundations — has been threatened with investigation, according to media reports.