A nonprofit organization
, also known as a non-business entity
) is an organization
whose purposes are other than making a profit. A nonprofit organization is often dedicated to furthering a particular social cause
or advocating for a particular point of view. In economic terms, a nonprofit organization uses its surplus revenues
to further achieve its purpose or mission, rather than distributing its surplus income to the organization's shareholders (or equivalents) as profit or dividends
. This is known as the distribution constraint. The decision to adopt a nonprofit legal structure is one that will often have taxation implications, particularly where the nonprofit seeks income tax exemption, charitable status and so on.