No idea what to do, please help me

Hey guys. I have the original white Macbook from 2006. It is running 10.6.8. I'm having a big problem here. There are a lot of things I cannot do because my Macbook tells me that I need to have at least 10.7 Lion. Every time I try to download a newer operating system it doesn't seem to work. Is my Macbook too old to run anything newer than 10.6.8? Please help me out, can't really afford to buy a newer Macbook but I need a newer operating system if my Macbook can run it. Please let me know, this has been driving me crazy for a while now.

Computer Compatibility - Lion                       Lion 

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