There is a rising trend, especially among Gen Y and Gen X entrepreneurs, toward building their business models around social causes.  Should these enterprises be structured as for profit, not-for-profit, or is there some other way?

Marci Alboher wrote in the New York Times: "It used to be that people who wanted to solve a social problem — like lack of access to clean water or inadequate housing for the poor — created a charity. Today, many start a company instead."  You can read her entire article here: NY TIMES ARTICLE.

The bottom-line is this - some organizations are better fit as for profits, and others are not.  But there is a blurring line in our ever-changing society between the two ends of the spectrum - maximize shareholder value vs. benefit the public.

For more information on whether your organization is better fit as for profit other than non-Profit, contact our Part-Time CFO's