Even though they have status as being non profit they make profit for someone, and cost the members money. This defeats the social purpose.
2007-06-21 14:46:23 · 7 answers · asked by Anonymous in Arts & Humanities ➔ Philosophy
Yep. Welcome to reality. No good deed goes unpunished.
2007-06-21 14:52:14 · answer #1 · answered by justme 6 · 1⤊ 1⤋
Nonprofit organizations do not make money for any one individual or group of individuals. If a nonprofit does come up in the green at the end of the fiscal year, those funds are put back into providing services to the community or project(s)that the organization supports. Being a nonprofit doesn't mean that they cannot bring in any monies. How would they support the services that they provide if they had a negative balance? And yes, nonprofits do have to pay for insurance, lawyers, and operational costs. Those expenses ad up fast, which has caused some nonprofit to need to charge fee for service. However, unlike the private sector, which ensures that fees cover any and all costs, nonprofits don't always break even. They also have to work hard to fund-raise and support social services that the government and the local communities don't always support, like disability related programing and youth services.
2007-06-21 22:15:03 · answer #2 · answered by A 2 · 0⤊ 0⤋
insurance and lawyers are expenses, all that stuff is paid first, then what is left over is profit, but for a non profit group, it goes back to the group. something like that i think
2007-06-21 21:55:40 · answer #3 · answered by hippie chick 3 · 1⤊ 0⤋
Although they are 'non profit', they receive donations from different sources, i.e. businesses. The true non profits use any donations strictly for operation purposes such as utility bills, building maintenance, and money towards their cause.
2007-06-21 21:57:51 · answer #4 · answered by Erin P 1 · 1⤊ 0⤋
because they don't take in any profits. like, they don't use it to pay salaries. and if there are any salaries that need to be payed, its not that large of a salary. most of the money goes to the things that they believe in, like helping people.
2007-06-21 21:55:22 · answer #5 · answered by dex 2 · 0⤊ 0⤋
I think we use the term 'non-profit' or 'not for profit' quite differently.
2007-06-21 23:33:15 · answer #6 · answered by guru 7 · 0⤊ 0⤋
By hiring smart lawyers to keep them out of trouble.
2007-06-21 23:07:55 · answer #7 · answered by canron4peace 6 · 1⤊ 0⤋