Yet the words "not for profit" are merely a designation in the tax code and these entities often produce very real profits...for those running them and for those on their boards.
Take New York Roadrunners, the not for profit that holds the Marathon in NYC that was cancelled due to Sandy.
Roadrunners took in $54M last year in revenue and paid less than half a million to charity....and half of that was to its own in-house childrens charity. Meanwhile the groups CEO was paid just over half a million dollars a year.
Marathon Czarina Mary Wittenberg...She's the Profit in "Not for Profit"
When we talk about the Marathon, the discussion is all about what a great "community event" it is and how many people if attracts. It's a "family" event benefitting "charity."
I have long ago lost my fascination with the words "not for profit" as it is more often than not a very profitable thing for those wrapping themselves in the moniker.
In my book the Salvation Army (at the local level) is a not for profit. Beyond that, I am suspicious every time I here the words.
New York Road Runners, organizers of New York City Marathon, paid only $494,000 to charity last year - NYPOST.com