What is a non-profit? • It is a tax exempt organization that serves the public interest. • Purpose of a non-profit must be: • Charitable • Educational • Scientific • Religious • Literacy
Cont. • Non-profits do not declare a profit • Public may make donations • Uses what revenue it makes for operating expenses.
Starting a non-profit • Organization must file articles of incorporation with the state in which it resides. • Non-profit organizations are given tax-exempt status (they do not pay federal corporate income tax) • Usually they do not have to pay local and state taxes either.
Non-profit employees • Non-profits have both paid and volunteer staff members. • Salaries are usually low for non-profit employees.
Examples of Non-profits • American Breast Cancer Foundation • American Cancer Society • American Red Cross • Child Find of America • Habitat for Humanity • March of Dimes • http://www.charitywatch.org/azlist.html