An LA/Chicago Timesarticle about the "nonprofit" medical marijuanadispensaries suggests that nonprofits shouldn't generate profits. Actually, just like any other business, a nonprofit goes out of business if it consistently fails to generate profits. The difference is that the profits do not accrue to individuals, but rather must be used in support of the organization's mission. The article does raise the question as to who really "profits" from these dispensaries but that should be the sole message of this article.
In today's economics I believe nonprofits should indeed pursue opportunities where they can generate revenues which in turn generate profits. Those opportunities can be mission related or not (with the latter possibly requiring the payment of taxes) but generating reliable revenues that can offset the dependency on charitable giving is a sound sustainability strategy. Foundation, corporate and government support are not dependable and while individual is affected by current economic conditions.
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