The 2 things are, I think, inextricably intertwined. Without the low
overhead afforded by its non-profit status ["free" facility, volunteer
labor, discounts on everything from bank fees to corporate filing fees to
advertising, etc.], AOS would be losing money, rather than making any, on
the plants it is selling.

In answer to Gene: of course non-profits can sell products. Every
non-profit entity has to raise funds somehow. The Girl Scouts have a cookie
drive once a year [in which, as you noted, they're not exactly undercutting
Sara Lee G]; schools do a magazine-sales blitz to fund their proms;
churches sometimes hold annual "flea market," craft or bake sales; local
orchid societies have their shows, raffles, auctions, etc. In fact, the
Tropical Orchid Society has a "members plant table" at each of its 2 annual
workshops where its members sell their own plants in competition with the
vendors at the same event [the OS gets a commission]. I'm one of those
vendors, and I don't particularly mind -- this is the type of "collection
reducing" activity mentioned in a previous post, and an "occasional"
fundraiser, not an ongoing business activity.

But there has to be some kind of line between a non-profit doing the
occasional fund-raiser and a full-time business operation, and it looks to
me like the AOS has become the latter. It isn't reducing its collection or
having occasional fundraisers, it's buying in plants specifically for
re-sale on a daily, year-round basis. If AOS' current operations qualify it
as a 501(c)(3) non-profit, then I should apply for that status for my own
nursery! I spend lots of time teaching people about orchids ...


--
Kenni Judd
Juno Beach Orchids

http://www.jborchids.com

"Andrew" wrote in message
om...
Being largely unaffected by all this (not a member, not not an
American) I'll chime in on the discussion. I think problem has more to
do with the conflict of interest regarding a tax-exempt not-for-profit
organisation setting up what may appear to be a commercial endevour. I
can't say the gripe regarding low prices would have any legal bearing
but the alleged abuse of a tax exempt status may cause problems for
the society should an auditor disagree with their practices.