Non Government Organisations

A nonprofit organization, also called a not-for profit organization, a charitable organization, or not-profit organization, is an legal entity created and operated for the benefit of its members, public or community, compared to an entity which acts as a private commercial enterprise aiming to make a profit to its owners alone. In general, a not-for profit entity has its own financial structure developed to maximize the income or output obtained from its services, products, projects or activities, while a for-profit entity tends to seek to profit from its projects or activities, with the possible exception of those activities conducted within its official capacity. A not-for profit organization may engage in any lawful activity, be it directly social, economical, cultural, educational, scientific or political in nature.

The most popular examples of not-for profit organizations are churches, universities, schools, hospitals, fraternities, professional organizations, nonprofit foundations and other similar groups. Non-profit organizations can also be incorporated to form limited liability companies (LLCs), in order to avoid double taxation on profits. Similarly, the state allows for non profit corporations, partnerships and cooperatives. Other types of not profit organizations are community service organizations, volunteer organizations, and political action committees.

small business

Not-for profit and nonprofit organizations can be classified further. Indirectly owned and controlled associations are one category of organizations. Examples of indirect nonprofits are cooperatives, foundations, schools, worker cooperatives, civic organizations, museums, political clubs, sports clubs, fraternal organizations, religious groups, Indian tribes, and similar organizations. A more detailed classification is categorized as incorporated associations, which include non profit institutions chartered for the purpose of carrying on specific activities, including some proprietary ones. The most famous example of a non-profit incorporated association is the Association of United States Corporations, representing thousands of businesses, corporations, LLCs, corporations, trusts, and similar forms of organizations.

What Are Non Profit Or Non Government Organisations?

Charitable associations are another example of a non-profit association. They are sometimes incorporated directly as schools, museums, etc., or indirectly through an intermediary like a governing board. A few well-known examples of charitable associations are the YWCA, American Cancer Society, MS Society, and Catholic charities. Charitable enterprises such as environmental organizations, animal welfare organizations, humanitarian groups, and the like, are also examples of not-for profit organizations. A few well-known examples of nonprofit organizations include: La Fortuna de San Diego, Friends of the Earth, Goodwill Industries, and the Red Cross.

Not-for profit and non-commercial organizations have several advantages. For starters, the tax benefits can significantly reduce the financial burden for most people. This is especially important for people from low-income families, students, senior citizens, and so on. The chances of organizations like this becoming a large-scale charity, or even a national organization, are slim to none. Also, the government often provides support for these organizations.

There are several types of organizations that fall into the categories of not-for profit or commercial organizations. One’s perception of these various types of organizations will help one determine the best choice. One should be aware of what exactly the organization does, how it operates, how it pays its officers and staff, and other relevant facts. A good source for information on various types of not-for profit and non-governmental organizations is “The Association of Non Professed Organizations.”