Quote Originally Posted by greenworks
â??Non-profitâ?ť in the classic sense is not having any profits on the books at the end of the fiscal year.
Yes non-profits make profits all the time and no they do not have to disperse it all in salaries or other means in a year. It is that it is not distributed to investors. You must remember that a Non-Profit is a corporation.

To think that any business model spends all of it income/donations in a fiscal year would be foolish. Every business has to plan for cash for or should I say the lack there of.

Here is a better definition do not get caught up in the NON part of NON-Profit.

A non-profit is an organization that does not distribute its surplus funds to owners or shareholders, but instead uses them to help pursue its goals.


Just thought I should clarify as I see way to many people with this mis-understanding.

Now I must agree with Cool as I am still crunching numbers scenarios ect in this pursuit. One day I am yes the next I am like no. However to think I am doing this merely for my fellow man would be lying to you me and God himself.

Yes I believe in the cause and the fact that it helps people. However if there was no money in it I would not even contemplate it. Hence for me it is a salary and if I am getting something then a patient/member should get something as well.

However do not miss-understand me I am not offering the doctor I have as a requirement anything. He is merely doing it for the cause. Yet the margins are to small to offer to much to any one and the risk is all on me.

So I was thinking probably as Cool says some merchandise as a tester is fair. Realize that in a best case scenario in a sea of green with 95 plants your only producing a pound every two weeks. That may be a lack of experience projections and I hope for more but I do not think that is realistic to plan on. Remember shit happens like bugs, root rot, and other crop failures.

That is two pounds a month that does not leave a lot left over when you talk about paying electric, rent, a salary for all the work to produce, insurance, and yes sales tax on the product.

In my conversations with the state you still have to pay sales tax it is just not at 25% it is a what the city your in and the state charge. City tax varies from city to city while the state tax is constant.

This is a business and I can tell there are a lot of people who are not business people here with mis-conceptions about non-profit status and the taxes that will be paid. So I hope I have helped clear this up.