You would believe It's not wrong to say that there is a thin line between not-for-profit and nonprofit organizations and they are often used interchangeably, they are different.
Nonprofit: They operate for the purpose of benefiting the public or a certain cause such as religious groups, non-profit organizations, schools and charitable institutions. They generate income but then reinvest it within the organization in order to fund the work that they do. They do not issue profits to the owners or the shareholders of the company.
Not-for-profit: These groups involve itself in activities for its members, for instance, sport teams, or interest groups. All the earnings are characteristically utilised for the purpose of the group and not for individual’s gains.
So while nonprofit organization assists the public, not-for-profit organization assists its members. None of these establishment the primary goal of making money as a business, but they all have distinct goals and purposes for their funds.
Nonprofit: They operate for the purpose of benefiting the public or a certain cause such as religious groups, non-profit organizations, schools and charitable institutions. They generate income but then reinvest it within the organization in order to fund the work that they do. They do not issue profits to the owners or the shareholders of the company.
Not-for-profit: These groups involve itself in activities for its members, for instance, sport teams, or interest groups. All the earnings are characteristically utilised for the purpose of the group and not for individual’s gains.
So while nonprofit organization assists the public, not-for-profit organization assists its members. None of these establishment the primary goal of making money as a business, but they all have distinct goals and purposes for their funds.