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[quote=Anonymous][quote] 
Post 01/27/2022 12:11     Subject: Jen Hatmaker
It’s very clear that most of the posters here do not have any actual nonprofit or charity experience. It costs money to run those organizations. You need staff. You need benefits to attract and keep good staff. There’s overhead. Depending on how you set up the organization and where it’s located, you may have to pay taxes on certain things. LOTS of nonprofits and charities invest a portion of their funds so that the money continues to grow even if donations are down. There’s fundraising and marketing costs. You need money to pay independent auditors. The list goes on.

You may not want to hear this, but nonprofits and charities are businesses too; the only difference is where the profit goes at the end of the day. People who complain that not enough of their dollar is going to the mission or that a nonprofit CEO is getting paid too much don’t understand this. Business is all about money. It costs to money make money. It’s the exact same in nonprofits. [/quote]

So, I do have charity experience. I've worked for one for a number of years in the past, and both my parents have worked for one for decades. Obviously, when the service charities provide is non-monetary value, they have to be compensated for that value (ie. Habitat pays their contractors to provide the service of building a house).

The difference with LC is that they're just a middleman. Unless a person really believes that they aren't capable of deciding for themselves where they should donate their money, LC isn't providing any value. The inherent "business plan" of being a middleman between donors and the actual charities themselves is suspect.

So I think people's discussion of LC's finances isn't stemming from a misunderstanding of what costs legitimate charities incur, it's questioning what value LC is claiming to provide for the "service" they are providing, and whether that's ethical. [/quote]

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