Nonprofit organization facts for kids
A nonprofit organization (often called an NPO) is a special kind of group or company. Unlike regular businesses, it doesn't aim to make money for owners or investors. Instead, any extra money it earns goes back into helping it achieve its main goal or mission.
Governments often support nonprofits because they do work that helps the community. This can also mean they get special tax benefits. In places like England, these groups are often called "not-for-profit" organizations.
How Nonprofits Work
Nonprofit organizations can pay their workers, just like other companies. However, many people who work for nonprofits are volunteers. This means they give their time and effort without getting paid.
What Do Nonprofits Do?
Nonprofits work on many different causes. Some might help people start their own small businesses. Others provide basic needs like food, clothing, or a safe place to live.
Many nonprofits focus on protecting the environment or saving animals that are at risk. They can be small local groups, like a neighborhood association. Or they can be very large and well-known, such as universities, trade unions, or religious organizations. These larger groups often have many paid staff and lots of assets.
Nonprofits and Global Issues
When a nonprofit organization deals with big world issues or politics, it's often called a non-governmental organization (or NGO).
A famous example of a nonprofit is the Wikimedia Foundation. This organization runs Wikipedia, the free online encyclopedia you might use. The Wikimedia Foundation is based in Florida, United States, and is a not-for-profit corporation.
See also
In Spanish: Organización sin ánimo de lucro para niños
