The dirty secret about non-profits is slowly seeping into the West Michigan community: non-profits need to be run like businesses. The changing economy and less discretionary income for individuals to donate has left many non-profit organizations struggling to make ends meet. But non-profits don’t make anything, don’t sell anything, and don’t really have owners that make money. They provide education, religion and services to those that need help. So what is the deal with them having to be run like a traditional business?
Let’s get one thing out on the table: these are non-profit corporations. Despite the distinction, at their heart these entities are corporations. They just have a different look to them. Businesses provide services in exchange for income. Non-profits are no different. They derive income in order to benefit individuals or other non-profits. Just because there is someone other than an owner benefiting from the income derived by the non-profit does not mean that a non-profit is that much different than a traditional business.
Every small business owner loves the idea of expanding their business. Whether they are increasing operations, expanding to a new location or just taking on larger orders, expanding is directly associated with success. While these times can be very exciting and gratifying, there needs to be some considerations before plowing forward with your business’ plans to get bigger.
New Holland Brewery has scaled back its plans to expand from just its Holland location to a second spot in Downtown Grand Rapids. Michigan’s third largest microbrewery is delaying the move because they want to find the right situation before pulling the trigger. New Holland president Brett VanderKamp said that finding the right location and the state’s liquor code, which specifies that microbreweries producing more than 30,000 barrels per year are limited in the number of taprooms they can have, are the two biggest factors. New Holland’s current location is currently trying to complete an expansion and it will be right about that 30,000 barrel mark once complete.