The Conscious Company Glossary

Hybrid Organization

A business that operates under a combination of nonprofit and for-profit principles, and often legal structures, in order to maximize the advantages of both models — for example, a nonprofit’s ability to accept tax-exempt donations and a for-profit’s ability to accept investment in exchange for equity. The nonprofit and for-profit arms can relate to each other in a variety of ways; for example, a nonprofit can own equity in a related for-profit subsidiary.

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