Today is National Nonprofit Day! Our company, Celebrate EDU, is a nonprofit organization so we thought we’d share a little bit about what being a nonprofit means. Choosing to register a company as a nonprofit is not for everyone, but it can have many benefits. Here are some answers to common questions:
What is a nonprofit?
A nonprofit is a company that is formed to provide ‘public benefit’. In other words, nonprofits are organizations that help others.
At Celebrate EDU, we help others by teaching business and entrepreneurship to self-advocates with disabilities.
Who can be a nonprofit?
Many different types of businesses can be classified as nonprofits. This can include companies in arts, education, animals, healthcare, and more.
Celebrate EDU is a nonprofit that helps people through education. Some other examples of nonprofits you may have heard of include Goodwill, The Arc, The Humane Society, American Red Cross, and more.
How does a company become a nonprofit?
A company becomes a nonprofit by registering with the Internal Revenue Service (also called the IRS). You may have heard of a nonprofit being called a 501(c)(3). This is based on the nonprofit registration code.
If you’re thinking of starting your own company, you will have to decide what type of business to become. If what you read in this article seems like it describes your business, maybe becoming a nonprofit is right for you. Stay tuned for more resources from us on different types of businesses. You can also talk about this with your support people, teachers, or anyone else who is helping you with your business idea.