Paul GrahamVerified account

The most surprising thing I've learned from being involved with nonprofits is that they are a magnet for sociopaths. One's naive reaction is "Why would nonprofits attract them? Nonprofits do good!" But the defining quality of nonprofits is to make no profit, not to do good.

Having to make a profit is pretty constraining. You have to satisfy customers or you go out of business. With a nonprofit, there's no intrinsic accountability. If you're a good scammer, the scam need never end. And seeming virtuous is easy when donors already want to believe it.