Non-profit needs to bear the responsibility of ensuring the public welfare of commercial activities. Excess profits can't be kept for yourself, but can only be invested in the development and construction of the cause. When the organization terminates its operation, it shall not distribute the remaining property to the investors, founders or members.
Non-profit private educational institutions mean that the organizers are not allowed to obtain school income, and all the school balances are used for running schools. Therefore, the organizer only needs to apply for a school license in the education department or the people's insurance department, and then apply for a non-citizen registration certificate in the Civil Affairs Bureau to complete the handling of school qualification materials.
Non-profit doesn't mean no fees, nor does it mean low fees. The key to distinguish for-profit and non-profit private schools lies in whether the school founders participate in dividends.
According to the decision of the National People's Congress, if an existing private school chooses to register as a non-profit private school, and can properly arrange students, teaching staff and standardize relevant work when it is terminated in the future, according to the application of the investor, the licensing authority and relevant functional departments will comprehensively consider the factors such as its capital contribution before September 20 17/KLOC-0, as well as the reasonable return and school-running benefits, and give the investor corresponding compensation from the remaining property after the school is legally paid off.