For profit vs non profit clubs

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NoCalPoloDad
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For profit vs non profit clubs

Postby NoCalPoloDad » Fri Feb 03, 2023 6:41 pm

We're still fairly new to water polo. Initially, I thought that most, if not all the clubs were non profits. That doesn't appear to be the case. What percentage are actually non profits and is there a benefit to either model ( for the kids, I mean ).

sbdad
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Re: For profit vs non profit clubs

Postby sbdad » Fri Feb 03, 2023 7:29 pm

taxes?

Balicious
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Re: For profit vs non profit clubs

Postby Balicious » Sat Feb 04, 2023 9:36 am

There is no benefit for the kids.

Non profit is for the use of the facilities. Non profit pay the lowest amount of fees for facilites, while for profit pay the most for using public facilities.

Non profit can ask for a tax deductible donations while for profit can ask for donation, just not tax deductible.

Nonprofit still can make money, just has to be spent or keep
Some in reserves.
Can’t sell a nonprofit has to be dissolved or reassigned to someone else. Monies have to be donated to another non profit or spent.

oldtimer
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Re: For profit vs non profit clubs

Postby oldtimer » Tue Feb 07, 2023 11:35 pm

Balicious wrote:There is no benefit for the kids.

Non profit is for the use of the facilities. Non profit pay the lowest amount of fees for facilites, while for profit pay the most for using public facilities.

Non profit can ask for a tax deductible donations while for profit can ask for donation, just not tax deductible.

Nonprofit still can make money, just has to be spent or keep
Some in reserves.
Can’t sell a nonprofit has to be dissolved or reassigned to someone else. Monies have to be donated to another non profit or spent.
What Balicious said is mostly true. The benefit is preferential treatment by public entities such as schools for facilities use. However, a non-profit actually can make a profit and in fact the most profitable companies in the United States are non-profits. The rules however do not let them distribute those profits to owners like a for-profit can. They can hold on to money and have huge cash Reserves but they can only spend it on salaries, equipment, buildings, etc. There is a reason you'll see Health Care nonprofits building Hospital after Hospital and medical centers upon Medical centers. Their officers and employees can be exceptionally well paid as well.

So as was stated, that has no bearing on the athletes themselves. It may have an impact on how much the club has to charge in order to remain solvent

Justafan22
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Re: For profit vs non profit clubs

Postby Justafan22 » Wed Feb 08, 2023 9:50 pm

oldtimer wrote:
Balicious wrote:There is no benefit for the kids.

Non profit is for the use of the facilities. Non profit pay the lowest amount of fees for facilites, while for profit pay the most for using public facilities.

Non profit can ask for a tax deductible donations while for profit can ask for donation, just not tax deductible.

Nonprofit still can make money, just has to be spent or keep
Some in reserves.
Can’t sell a nonprofit has to be dissolved or reassigned to someone else. Monies have to be donated to another non profit or spent.
What Balicious said is mostly true. The benefit is preferential treatment by public entities such as schools for facilities use. However, a non-profit actually can make a profit and in fact the most profitable companies in the United States are non-profits. The rules however do not let them distribute those profits to owners like a for-profit can. They can hold on to money and have huge cash Reserves but they can only spend it on salaries, equipment, buildings, etc. There is a reason you'll see Health Care nonprofits building Hospital after Hospital and medical centers upon Medical centers. Their officers and employees can be exceptionally well paid as well.

So as was stated, that has no bearing on the athletes themselves. It may have an impact on how much the club has to charge in order to remain solvent
So in a way, sort of like a church :lol:

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