Business model

Lambda Chi Alpha is a nonprofit organization under federal tax law. As such, we are subject to tax rules that ensure that the money we receive from members is spent to achieve our mission, so we budget each year to spend the amount received from dues on programming and support. Unlike for-profit-businesses, the General Fraternity does not store away profits, as any excess at the end of the year, if it exists, must be reinvested to support our mission.


Unbeknown to most Collegiate Brothers, our Alumni Brothers pay for much of the undergraduate Lambda Chi Alpha experience. Membership dues are not sufficient to cover educational programming needs, so donations to the Educational Foundation from our 220,000 Alumni Brothers are necessary. As an example, we are currently, working with Alumni Brothers to raise $2,000,000 in Seed Capital to create the Lambda Chi Academy and move educational programming and chapter support tools to a digital format accessible through smartphones. Planned revenue percentages of the General Fraternity as allocated in its 2021 budget are below:


Most expenses of the General Fraternity are for programming, which includes educational programs, chapter support, health and wellness programs, or conferences. Other expenses include Innovation, Marketing, IT, Insurance Premiums, and General Administration. The Office of Administration team cultivates partnerships designed to add value to the member experience, works with third-party subject matter experts to create effective programming and creates internal content to support chapter operations. In addition, the Office of Administration pays for each chapter Zoom license, underwrites the cost of ChapterBuilder and the Lambda Chi Academy for every chapter, and annually invests in an international marketing campaign designed to aid membership recruitment by generating qualified prospects. Planned expenditure percentages of the General Fraternity as allocated in its 2021 budget are below: