Even though non-profits operate a lot like for-profits, many people typically view them as diametrically opposed. For-profits are the largest economic agents in an economy. In contrast, non-profits aren’t as significant and mainly improve their communities and help the disenfranchised.
That view is incorrect because non-profits occupy a sizeable amount of the American economy. There are about 1.6 million non-profits in the country, employing about 10% of the American workforce. That makes them the third-largest employer in the country. However, the view is correct about non-profits bettering their communities. Here are some of the ways they do that.
Essential Services
Many essential service providers, such as hospitals and schools, are non-profits. Listing down the industries is a cumbrous task, but consider hospitals and schools. The former address life-threatening injuries, debilitating conditions, parturition, and much more. In fact, you may have been born in a non-profit hospital. The latter is indispensable to a child’s emotional, intellectual, character, and physical development.
Non-profits provide many of these essential services and at affordable rates. As a result, they grant access to these resources to people who typically can’t afford them. On top of that, education helps children develop their civic sense, which leads them to give back to their communities.
Employment
Non-profits also provide employment to their communities, thereby functioning as a means of living for many people. Additionally, if they’re located in minority or discriminated communities, they engage in affirmative action by providing employments to those groups. Lastly, employment improves the living conditions of these communities by stimulating their local economies through the multiplier effect.
Community Relationships
Education helps people develop their civic sense, but schools do more than educate students; they’re also social spaces where people form friendships. All non-profits, insofar as people work in, volunteer to work, or attend them, develop these community relationships. Social science research organizations, for instance, typically work with communities to understand their research’s subject. Other non-profits employ people from their communities or render services to them, which fosters relationships between people.
As a result, non-profits extend economic and social benefits to their communities by improving their living conditions and developing relationships. Non-profits also give their communities a voice in government discussions. Since they’re intimately acquainted with their communities, they help guide governments in improving them too.
If you need help setting up a non-profit, writing business plans, or applying for a grant, get in touch with us at A2Z Filings. We can guide you through the 501(c)(3) application process and set up your non-profit.