The Definition Of A Non Profit Organization

Many of you have heard of a non profit organizations but do you really know what it is? The definition of a non profit organization is an organization that uses its surplus revenues to further achieve its purpose or mission, rather than distributing its surplus income to the organization's shareholders as a profit. This means that instead of the organization's profit going into their pocket it goes towards the benefit of the general public for the cause that the organization has dedicated itself to. An example of this would be if the St Jude's Children Hospital ( a nonprofit organization ) was to make a profit of 10,000 dollars the money would not go into the pockets organization's shareholders but would go into helping the children in need