For-profit university

[MarkDallas]

http://www.espn.com/mens-college-ba...ofit-team-division-is-building-monster-desert

Did anyone else read this ESPN article?

Interesting approach. We sort of take non-profit schools for granted, but GCU is proving it's not the only model. I for one have no problem with it. If they can educate people and field competitive teams without taking taxpayer money, then more power to them.

Also: they have a pool in every dorm. Seems like they are able to provide a better experience for less expense (tuition has been frozen for 10 years).

Seems like the main problem people have is the "profit" stigma.

 

[tired]

How can it become nonprofit if the investors still exist? They want profit.

 

[Crazy Cotton]

They take an immense amount of taxpayer money - 79% of their students are on fed student loans. Article doesn't give their 5 year grad rate, but it did say they have 70,000 (!) online students. My guess is that upwards of 60% of those students never finish the degree, and a significant minority of those default, so you and I get to foot that bill. On the other hand, the feds cracked down on for profit diploma mills for bad default rates about 5 years ago and pretty much put them out of business (university of Phoenix saw a 70% drop in revenue, for example), so the fact that their still going tells me they must be doing something different. Sounds like they are trying to build a "Club Ed" type campus and convince students to come for 4 years of fun and sun. Bet they are doing that with cash, which means they probably aren't putting dick for resources into the actual education part of things. I hate these kinds of schools.

 

[Wizard of bulldogery]

I'm not a huge fan of them because some are like pyramid schemes and can take advantage of 18 year old kids without guidance. I'm not really opposed to shutting them down either as long as they aren't getting tax subsidized student loans and are providing some kind of education. There are plenty other "for profit" education type systems in the professional workforce Kaplan, Pearson Vue, S&P, Moody's... i'm sure there are some kind of engineering and other occupations that have similar programs. all those are for profit and are for educational purposes. Let's not forget the book business either that is a racket... the 8th edition of Corporate finance is no different than the 3rd edition

 

[tbaydog]

Trying to be vary careful with this statement: Fed Ex and UPS versus United States Post Office. VA Hospitals versus Private. They all get some form of government money.

 

[SLUdog]

Non-profits have legal status

but still in many ways function as a 'for-profit' business.

 

[FQDawg]

This. Just about every single bowl game in the country is technically set up as a non-profit.

 

[MarkDallas]

They may take taxpayer money in the form of tuition grants and loans, but all universities do that. Very few pay corporate or property tax though, so they are putting money back into the system.

As far as the education side, they still have to be accredited.

 

[mstateglfr]

Well they are regionally accredited, so they have that goin for them. Basically every other for profit university is nationally accredited, which is worthless for all intents and purposes.

 

[MarkDallas]

Speaking of accreditation, remember when Auburn almost lost theirs? That was glorious.

http://www.wsfa.com/story/1557500/auburn-university-placed-on-probation

 

[bbqbully]

And we all know GCU’s most distinguished alum. Our very own Ron Polk.

 

[HotMop]

[h=4]College Career[/h][h=5]Grand Canyon College (1965)[/h]• B.S.
[h=5]University of Arizona (1966)[/h]• M.A.
[h=5]University of New Mexico (1967)[/h]• Ph.D.