Oh its not that simple. Let me put it this way- Consider a layman and an experienced professional. Will the results they both bring with say 50 lacs in money be the same? That's the difference. Its not a simple salary split that matters.
Now consider this. A professional will tune the organization into processes, efficiency, scalability and build models that can be replicated so that what they learnt can be constantly added used at scale. In India no one understands these things. The logic is if my money is going into a charity and they pay someone or he has a car, the reaction is -OMG he used my money to buy a car. Its a sad state of affairs.
No one buys a merc in the name of the NGO. The NGO will give them salary seeing their worth and the value they add. They will buy it themselves. Just cause you donated a few pennies you wont control their lives. Now if someone does buy on nGO money thats a whole difference case.
You're thereotically right, but practically it doesn't work like that.
It doesn't matter whether I donate few pennies or few lakhs, I'm not buying the stake in the organization. I'm trusting their commitment towards the cause and nothing else.
First scenario : if you own the NGO
You'll need to pay yourself a salary above 3 lakh pm as a founder or professional running a non profit organization to buy a basic Merc (Ferrari is too far to comprehend). You're a individual who's getting profited by running a non profit organization. If you're worth the price of 3 lakh pm out side; you'd probably buy Merc on your own & don't enter NGO for making money.
For eg ; if Bhai does a fundraiser show for Being Human & charges couple of crores as his professional fee.. Will you still consider donating him? It's mainly practiced to convert the Black to White.
It's like begger giving the leftover to charity...
Second scenario :
Where in an NGO needs to hire a professional say lawyer, scientists, engineers etc where they'll have to pay the professional fee, depending upon the project and that's very well justified. You won't call it a charity from the professional, will you?
The third scenario :
Where you are a professional organization working for NGO type of causes. Where you charge a hefty fee for taking up the cause and getting the desired results, your customers could be anyone with vested interests. You're no more a non profit organization but a profitable business. This is More so practiced in West where a Merc or Ferrari is easily justified.
This is where the Ford foundation & it's ban will be discussed. Unfortunately even NGOs funding terrorist groups & Hawala transfer will be in this group.
Scenario 4: Where you're genuinely interested in the cause and leave everything else to achieve your goal. Where you'd think of saving money by traveling in public transport or tata indicas instead of buying a luxurious Merc since it serves the purpose equally well.
Mr Kailash, Medha will be in this group.
I know the assumption which is partially wrong is clubbing charity, NGO & non profit organization in a interchangeable way. It's wrong from a technical perspective but 90% population perceives it in this way. Even when you differentiate them you can't account for a Merc anyway.
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