How do non profit companies make money and pay there employees?
There are a lot of ways that nonprofit companies make money and pay their employees. The actual definition of non-profit is “not conducted or maintained for the purpose of making a profit” (according to Webster). But in reality, a non-profit just can’t earn money at the end of the year. There are multi-million dollar nonprofit hospitals and other types of corporations. There are also small nonprofit organizations that most people are familiar with. The simple answer to your question is that nonprofits get federal and state grants, donations, foundation funding, and in the case of some, they sell a product or service (i.e. a hospital). The United States government gives away more than $2 billion dollars a year in federal grants just to religious groups alone!http://www.getting-grants.com . Once the nonprofit gets their money they spend it for employee salaries and other cost necessary to operate. The nonprofit just can’t make a
