> How do they pay for salaries, operating expenses, building rent, vehicle purchases, electricity, marketing, etc? > They take a percentage of their income and

> How do they pay for salaries, operating expenses, building rent, vehicle purchases, electricity, marketing, etc? > They take a percentage of their income and use it to cover these expenses. Right? > Well, this is semantics. A conventional business does exactly the same thing. They take a percentage of their income and use it to cover the cost of doing business. Yes, and in neither the case of the charity nor of the conventional business is that profit. That is operating costs, and gets deducted from revenue before tax is paid on what's left precisely because it is not profit.