Also known as a non-business entity, a not-for-profit organization is a legal entity organized and operated for a collective, public or social benefit, in contrast with an entity that functions as a business aiming to generate a profit for its owners.

Non-profit entities may seek government approval to be tax exempt, and some may qualify to receive tax-deductible contributions. However, an entity may incorporate as a non-profit without securing tax-exempt status.

The critical aspects of nonprofits are accountability, trustworthiness, honesty, and openness to every person who has invested time, money, and faith into the organization. Non-profit organizations are accountable to donors, funders, volunteers, program recipients, and the public community.