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by Andrew Connery

Making a profit is not a sin - September 2010

The rise and rise of 'Not for Profits'

Is small business in this country on the nose because it seems the only types of organisations prospering these days are presumably not interested in pursuing the dirty lucre?

I say ‘presumably’ because it is their official name, but I have been reliably informed that they should more accurately be called Not for Dividend, i.e. they do actually want to make a profit – but they just don’t want to hand it over (to grasping shareholders, or the tax man for that matter – my words).

This more accurate description does seem to fit my personal experience dealing with these organisations and you only have to think about trying to find free parking in the CBD, at university or even visiting a hospital to see what I mean.

Paradoxically, if you went to visit a business, a suburban shopping mall or large retailer you would likely get free parking, notwithstanding they are the ones usually being accused of chasing your hard earned dollars.

The internet seems to be blamed for most of our 21st century ills so perhaps I can also lay this malady at its feet.

On the net users have for some inexplicable reason come to expect they are not required to pay for services like professional journalism or search results and particularly not for participating on social networks such as Facebook or blog sites like the ubiquitous Twitter.

Of course, someone always has to pay; it’s just that the person providing the service usually charges someone else – normally an advertiser - but sometimes a hopeful venture capitalist.

I am not a particular fan of the ‘user pay’ catch cry but I must concede that in the case of Not for Profits its absence can lead to some pretty bizarre results.

Take parking in the Wollongong CBD for instance.

If you go to any local N4P you will usually find all the senior staff have granted themselves free parking (please let me know if you don’t agree) while all the ratepayers/users/customers have to pay.

In a number of cases the local council have provided public land to the N4P who has promptly put up parking meters to effectively charge the people who originally owned the land (ratepayers) for the privilege of occupying the same space temporarily.

This situation is also aggravated by the State Government building major infrastructure such as the Entertainment Centre (only one example) without providing the requisite parking – which, incidentally, their own planning laws insist private developers do.

Visitors to the WEC either have to walk up to several kilometres or risk a large fine to attend fixtures which usually already have a fairly hefty price tag.  It’s hardly the way to attract visitors to the city centre or to build up attendances for local events.

It does seem ironic that hapless users can effectively be fined by the people who caused the problem in the first place, and you could understand a frustrated ratepayer sending their parking tickets to the council in protest.

But, you know what they say: if you can’t beat them etc… Perhaps I could start my own N4P - or even a new age religion would be nice!

 

Andrew Connery is the publisher of this e-magazine and (anyone will tell you) loves to share his views on the world in general. You can phone Andrew on 9516 2000/(02) 4254 0200 or email him on andrewc@youronlinecommunity.com.au - he'd appreciate hearing your opinion on anything raised in this column.

 

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Updated 20-09-2010

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