Earlier quoted context omitted.
https://en.wikipedia.org/wiki/Nonprofit_organization "A nonprofit organization, also known as a non-business entity,[1] not-for-profit organization,[2] or nonprofit institution,[3] is dedicated to furthering a particular social cause or advocating for a shared point of view. In economic terms, it is an organization that uses its surplus of the revenues to further achieve its ultimate objective, rather than distributi…
That's still very confusing. Surplus sounds like anything beyond hosting costs to run the service, but the hosting costs is likely no where near 5 million dollars so a majority of it is surplus. Does that mean no one gets a salary or is a salary part of the costs to run the business instead of being a "member"? If salaries are included who dictates what the income tax exempt salary is? I'm not trolling either. What y…
Everything else operates the same. People have jobs and get salaries. The company sells things and makes revenue. It can make profits if it makes more than it spends. Nonprofits can have millions sitting in their account but that money doesn't belong to any person because there's no ownership, and usually the bylaws and govt regulations mandate they reinvest it into the business aggressively.