Management buy out?

Question

What is the point with a not for profit company?

Answer 1

Good question.  Maybe for all the same reasons as a for-profit company (i.e. synergies, more flexible financing), except without the financial windfall involved for management.

Or maybe a management group that has a few for-profits in their portfolio might want a non-profit to funnel profits to, in order to reduce their tax liability.  I'm pretty sure that's money laundering though...