Nonprofit vs For-profit

“When anyone¬†starts a business, it is for the financial benefit of its owners and/or shareholders. Profit is the goal and the organization pays taxes on that profit. A nonprofit organization has a mission that benefits the “greater good” of the community, society, and or the world. It does not pay taxes, but it also cannot use its revenue for anything other than the mission for which it was created. Some Nonprofit organizations can and do make a surplus, but that surplus must be used solely for the operation of the organization. In regards to CCCF, all Board members are uncompensated. They basically donate their time and services to the Flushing community. Finally, when a for-profit organization goes out of business, its assets can be liquidated and the proceeds distributed to the owner(s) or the shareholders. When a nonprofit organization goes out of business, its remaining assets must be given to another nonprofit organization.”