What is a nonprofit hospital?

[ZZTopRN, BSN, RN]

I see very wealthy hospitals building and adding equipment and still floating bonds. Why are they called nonprofit when they have the best of everything?

Dum Dum

[HappyJaxRN]

I see very wealthy hospitals building and adding equipment and still floating bonds. Why are they called nonprofit when they have the best of everything?

Dum Dum

Grants, donations....???

[Tweety, BSN, RN]

They still make money. They use it for day to day operations, but also in investments such as building, etc. I work for a not-for-profit that is like that, we're currently construction a million dollar project to expand the OR. They've always invested in their future like that with their money.

But like Jax said above, they do so with a lot of grants. We have a major fundraiser not to long ago, where staff, doctors and community leaders donated bundles of money.

You sound a bit critical, but that's better than some fat cat profiting off of people's suffering. :)

[Nancy2]

Not for profit hospitals still make money, they just don't pay out dividends to stock holders, instead they reinvest the "profit" back into healthcare and the community. They still have a board of directors that approve business decisions like that of a for profit hospital