Nonprofit organization

A nonprofit organization (NPO), also known as a nonbusiness entity, nonprofit institution, not-for-profit organization, or simply a nonprofit, is a non-governmental legal entity that operates for a collective, public, or social benefit, rather than to generate profit for private owners. Nonprofit organisations are subject to a non-distribution constraint, meaning that any revenue exceeding expenses must be used to further the organization’s purpose. Depending on local laws, nonprofits may include charities, political organizations, schools, hospitals, business associations, churches, foundations, social clubs, and cooperatives. Some nonprofit entities obtain tax-exempt status and may also qualify to receive tax-deductible contributions; however, an organization can still be a nonprofit without having tax exemption.

Source: Wikipedia

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