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Wikimedia is a non-profit that operates like a for-profit when the yearly round of donations comes around. They literally hoard money[0]. I will get downvoted

Wikimedia is a non-profit that operates like a for-profit when the yearly round of donations comes around. They literally hoard money[0]. I will get downvoted for this, but it's my perception. -- [0]: https://www.makeuseof.com/tag/wikipedia-millions-bank-beg/ https://www.makeuseof.com/tag/wikipedia-millions-bank-beg/

_Algernon_ 3y ago
>I will get downvoted for this, but it's my perception. I will always downvote a comment when someone writes something like this. It is irrelevant to the conversation and screams insecurity.
- njharman 3y ago
  100%
- SantalBlush 3y ago
  It's also tinged with a "People can't handle the based truth I'm laying down" attitude, which is annoying to read.
  - deleted 3y ago
    [deleted]
- gn4d 3y ago
  Based. It is r*ddit-tier passive aggression. This place is not much better, but we should still resist this type of crap when we can.
- coldtea 3y ago
  Downvoted your comment immediately, as unnecessary and hostile. Parent just made a comment that knew would be unpopular and expressed that.
- egberts1 3y ago
  That's so Reddit, this here is Hacker News.
seadan83 3y ago
Interesting reference. Non profits cannot hoard money. I believe it becomes taxable and they can lose their non profit status (i am not an expert) Though, hoarding seems like a mischaracterization. Per the article linked, the cash burn rate is on the order of $100M/yr, having $150M in the bank is 18 months worth of funding. The biggest gripe I read in the article is the "high" expenditure rate and how necessary it is. It seems like reasonable people may disagree on whether that spend rate is excessive. If the expenditure rate were lower, I'd agree it would be hoarding.
- deleted 3y ago
  [deleted]
- fallingknife 3y ago
  I guess I can't see the reasonable argument that it is necessary when you look at the growth rate of their spending. https://en.m.wikipedia.org/wiki/User:Guy_Macon/Wikipedia_has_Cancer https://en.m.wikipedia.org/wiki/User:Guy_Macon/Wikipedia_has... If they kept expenditures low and hoarded, I would actually be fine with that and happy to contribute. I see nothing wrong with forming a large endowment for a project like Wikipedia.
- lupire 3y ago
  Citation needed for your claim about hoarding money, which is refuted by simple observation of the many, many endowments that exist.
  - seadan83 3y ago
    I was confused about another situation - I was quite sure about this - and was incorrect. This speaks to the benefits of speaking from data and not just what you think the data was. Thank you for calling me out here, it was merited and the info was bad.
- HillRat 3y ago
  There are no limits on a nonprofit's ability to raise and maintain cash reserves; there are limits on how and to whom funds can be disbursed and (to a lesser extent) the kinds of activities that can be used to generate funds. But a nonprofit can sit on an endlessly-growing hoard of cash if that's what they (and their donors) want to do.
rospaya 3y ago
I'm fine with that.
FireBeyond 3y ago
> the yearly round of donations comes around The what? I cannot visit Wikipedia without seeing a donate bar, even when I close it every time. "Year-round" maybe.
Karellen 3y ago
One person's hoard is another person's endowment. To-mah-to, to-may-to. https://en.wikipedia.org/wiki/Financial_endowment https://en.wikipedia.org/wiki/Financial_endowment

_Algernon_ 3y ago

>I will get downvoted for this, but it's my perception. I will always downvote a comment when someone writes something like this. It is irrelevant to the conversation and screams insecurity.

njharman 3y ago
100%
SantalBlush 3y ago
It's also tinged with a "People can't handle the based truth I'm laying down" attitude, which is annoying to read.
- deleted 3y ago
  [deleted]
gn4d 3y ago
Based. It is r*ddit-tier passive aggression. This place is not much better, but we should still resist this type of crap when we can.
coldtea 3y ago
Downvoted your comment immediately, as unnecessary and hostile. Parent just made a comment that knew would be unpopular and expressed that.
egberts1 3y ago
That's so Reddit, this here is Hacker News.

seadan83 3y ago

Interesting reference. Non profits cannot hoard money. I believe it becomes taxable and they can lose their non profit status (i am not an expert) Though, hoarding seems like a mischaracterization. Per the article linked, the cash burn rate is on the order of $100M/yr, having $150M in the bank is 18 months worth of funding. The biggest gripe I read in the article is the "high" expenditure rate and how necessary it is. It seems like reasonable people may disagree on whether that spend rate is excessive. If the expenditure rate were lower, I'd agree it would be hoarding.

deleted 3y ago
[deleted]
fallingknife 3y ago
I guess I can't see the reasonable argument that it is necessary when you look at the growth rate of their spending. https://en.m.wikipedia.org/wiki/User:Guy_Macon/Wikipedia_has_Cancer https://en.m.wikipedia.org/wiki/User:Guy_Macon/Wikipedia_has... If they kept expenditures low and hoarded, I would actually be fine with that and happy to contribute. I see nothing wrong with forming a large endowment for a project like Wikipedia.
lupire 3y ago
Citation needed for your claim about hoarding money, which is refuted by simple observation of the many, many endowments that exist.
- seadan83 3y ago
  I was confused about another situation - I was quite sure about this - and was incorrect. This speaks to the benefits of speaking from data and not just what you think the data was. Thank you for calling me out here, it was merited and the info was bad.
HillRat 3y ago
There are no limits on a nonprofit's ability to raise and maintain cash reserves; there are limits on how and to whom funds can be disbursed and (to a lesser extent) the kinds of activities that can be used to generate funds. But a nonprofit can sit on an endlessly-growing hoard of cash if that's what they (and their donors) want to do.

rospaya 3y ago

I'm fine with that.

FireBeyond 3y ago

> the yearly round of donations comes around The what? I cannot visit Wikipedia without seeing a donate bar, even when I close it every time. "Year-round" maybe.

Karellen 3y ago

One person's hoard is another person's endowment. To-mah-to, to-may-to. https://en.wikipedia.org/wiki/Financial_endowment https://en.wikipedia.org/wiki/Financial_endowment