Monthly Archives: February 2014

Not for Profit may not mean what it seems

I learnt a few days ago that we were unsuccessful in a bid for a local government contract.

Oh well, I thought, never mind. We learn by our experiences.

Out of curiosity I looked up the winning bidder, to find that they were vastly more experienced in working with local government, and had worked with this authority before. No surprise that we were not the preferred bidder.

They are a not-for-profit limited company.

I told my wife, and she said “Oh well, you lost to a charity….”

No. Not for profit doesn’t mean a great deal, really. If the company makes a surplus, that surplus should be put to the good cause the company supports.

Long before the company makes a surplus, it has to pay for its staff, its directors, its expenses….

I am not for a moment implying that there is anything underhand in this, or any other case.

Just be aware that not for profit ≠ charity