Non-profit online colleges exist to fulfill an educational mission, rather than to generate a profit. They cannot distribute earnings to owners by law, but instead have to re-invest money back into the school. They are exempt from federal corporate income taxes and may receive direct public funding or have charitable endowments. As a result, they may offer lower tuition and/or more types of financial aid.
Since the profit generated from the college is partly distributed among the trusties and partly reinvested in the college itself, SRM University cannot be called a Non-Profit University.