A nonprofit can organize membership drives in order to raise funds. Instead of having shareholders, each member becomes a limited stakeholder in the organization. Decisions about how members will be treated are usually first addressed in the bylaws and articles of incorporation and then modified over time as the character and desires of the membership becomes apparent.
Membership Criteria
Many organizations limit their membership to the particular segment of the population they serve. Some NPOs require that members be adults or residents of the same city, county or state. However, an NPO may not use demographic data as criteria to deny membership.
Members may be separated into two or more tiers of membership. Such designations are often determined by how much one gives the organization as a membership contribution.
