[TheThinkTank] question about starting a bike co-op

Hi, My name is Kale and I am involved in starting a bike collective in New Haven, CT. The group was wondering how other collectives have navigated the issues of liability and non-profit status. How many people have opted for 501c3 or c4 status, and what has been your experience? If you haven't opted for this, why? Also, how have people addressed the issue of safety in the shop, as far as insurance or legal risk for people injuring themselves in the shop or on bikes made or repaired in the shop? Any advice will be much appreciated! Thanks, Kale