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Benefits of Club Membership
Equity Non-Equity
Member-owned clubs. Non member-owned clubs.
The members own the assets, • Own by individuals, partnership or
they have rights to the club’s corporation.
equity, like shareholders. • Typically owned by real estate
developers, corporations,
individuals or investment firms.
Governed by a board of directors Members have no equity interest or
(typically 10 to 12), but some are as low actual control over its operation.
as 4 and as large as 50 directors.
Tax exempt. Income is taxable.
Organized for pleasure, recreation For profit status.
and other non-profit purposes.
Most of the old established clubs are Some developer clubs revert to
of this format. member owned when a certain
number of homes are sold.
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