Not-for-profit businessThe not-for-profit business that I have chosen to research about is the NHS (National Health Service). The name NHS is used for each of the four public health services in the United Kingdom. They were established together in 1948 as one of the major social reforms.
The NHS is a charitable company and their charitable aims are the ‘relief of sickness and the preservation and protection of public health’. Since the NHS is a not-for-profit business it does not make any profit. The way that it receives money is from funds. The data shows that the NHS receives 98.8% funds from tax and National Insurance and it receives 1.2% funds from patient charges (see Appendix 1) The disadvantage of getting funds from tax and National Insurance is that if tax and National Insurance decreases then the NHS would receive less funds then before which can impact them in a negative way. An example of an issue due to this is that the NHS might not have enough funds to help charities and upgrade the building for a better and easy access for the patients.
Currently ,in 2017/2018, the Autumn Budget shows that £124.7 billion will be funded towards the Total department of health. In 2018/2019 the money that is anticipated to be funded towards the Health Department is £127.2 billion which is an increase from the last year. This would benefit the NHS because the more funds they receive the more they can use to upgrade the facilities, get more medicine to prescribe to the patients and the public and to buy equipment to carry out operations and other important things.