how do you make money if it’s a non-profit organization?
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I ran a US nonprofit for about 3 decades. Most people have very wrong ideas about what that means. The legal difference between a for profit and and nonprofit is ownership. For profit companies are privately held or owned by stockholders. A nonprofit is not owned, but has a Board of Directors who are unpaid and voluntary.
The owners “own“ the profit in a for profit. Nonprofits have no technical “profits“. Any retained proceeds are called “net assets”. When I retired, my $35m company had about $5m in net assets.
You have to have retained earnings in order to do business. Often bills are paid before income is received. Banks have to approve of your financial ratios or they won’t lend you money for projects.
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