Final answer:
Non-profit organizations are set up for charitable, religious, or educational purposes. Advantages include benefiting a cause, attracting supporters, and no tax liability. Disadvantages include less profit potential, compliance difficulties, and tax liability risks.
Step-by-step explanation:
A non-profit organization is a business entity whose primary mission is not making a profit. Instead, non-profit organizations are generally set up to provide charitable, religious, or educational purposes. The advantages of non-profit organizations include being set up to benefit a cause that the founder has a strong passion for, the ability to bring in others with an interest in supporting the same cause, and no tax liability. On the other hand, the disadvantages of non-profit organizations include no profit potential for individuals, the difficulty of complying with requirements for non-profits, and the need to legally set up the organization to avoid tax liability.