| Title: | Market Investing |
| Moderator: | 2155::michaud |
| Created: | Thu Jan 23 1992 |
| Last Modified: | Thu Jun 05 1997 |
| Last Successful Update: | Fri Jun 06 1997 |
| Number of topics: | 1060 |
| Total number of notes: | 10477 |
I did a title search and could not find a note on non-profit
organizations. I have a few questions.
Can a non-profit company sell stock to the public? Would the share
holders realize any kind of return? What would the revenue flow be
of a non-profit company? What does the company do if it has a surplus
of revenue at the end of the year?
Any help would be appreciated.
Thanks
KK
| T.R | Title | User | Personal Name | Date | Lines |
|---|---|---|---|---|---|
| 875.1 | Hmmmmmm | MARIN::DODGE | Wed Jun 14 1995 19:33 | 24 | |
There are lots of *Non-Profit* companies that are public. Up until
recently Digital was a non-profit company.
I assume you mean companies who make no attempt at a profit and are
classified as non profit. I don't know for sure if they can go public
or not. I can't think of any examples.
However, Non Profits can organize as a corporation. Corporations have
owners. Owners could potenially be stockholders. Non profits can
accumulate huge assets, they just can't make a profit. So, there may
be someone somewhere who wants to buy a share in a non profit for the
asset play.
An example just came to mind. One of the Investor newsletter
organizations, I think it is AAII, was set up as a non profit in order
to qualify for the very low postal rates offered to non profits.
The non profit pays HUGE mangement fees to a separate FOR profit
corporation. I think the non profit owns the newsletter and the
mailing list, etc. There is a lot of value there, but very few ways
to get at it.
Interesting question..... I never stopped to think about it.
Don
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| 875.2 | HDLITE::SCHAFER | Mark Schafer, Alpha Developer's support | Fri Jun 16 1995 16:41 | 4 | |
"a surplus of revenue" How do you show this on a balance sheet? I
don't have an annual report from a non-profit handy.
Mark
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