In that case it's probably smart he's doing this as a non-profit rather than a business. A business might go under if the sargassum stops, a non-profit can just wait or just go to other localities where they are getting sargassum and help them build homes there instead.
A non-profit is still...a business...its just a non-profit business. I don't think being non-profit exempts a business from staying alive without funding, wherever that comes from. I'm not saying your last point isn't valid though.