Any organizations are divided into non-profit and commercial structures. The goals of creating both groups are their main differences. This difference can already be understood by common notation: commercial and non-profit organizations. Examples of both will be given in this article. Non-profit, of course, will get more attention, since the article is dedicated to them. For comparison, we first focus on another group.
Commercial organizations
People who create a certain community and pursue the goal of making a profit from their activities are united in commercial organizations. According to the main legal and organizational forms, they are divided into the following varieties:
- open joint stock companies, or OAO;
- Closed type companies - CJSC;
- limited liability company, or LLC.
Nonprofit organizations: examples and characteristics
Making and sharing profits is far from the main goal of such communities.
By law, doing business is not prohibited, but they are obliged to use the profits for the organization’s main goals, and not for personal enrichment. For example, non-profit scientific organizations acquire equipment, raw materials and invest in the development of new projects. Medical societies are expanding the range of services for the population.
Non-profit organizations can appear at any of the levels, from local to international, on the initiative of citizens who come together to express and protect their interests.
Their mission is charity, the provision of social assistance, the satisfaction of the spiritual needs of citizens, the protection of health, the development of sports, culture, and the provision of legal services. This is what nonprofit organizations do. Examples of their activities are described below.
National public organizations
1. One of the world's largest wildlife conservation charities is WWF. It operates in more than 130 countries. Since 1988, the World Wildlife Fund began to promote its projects in Russia. In 1994, a WWF representative office was opened in our country.
2. Meet FCEM - The Global Association of Women Entrepreneurs. This organization helps to find contacts in the business environment, holds exhibitions, round tables, seminars, and does charity work.
3. MKKK is the International Committee of the Red Cross. Another independent humanitarian organization operating around the world. Its mission is to provide assistance to those who have suffered in armed conflicts.
Examples of non-profit organizations in Russia
1. Russian Library Association. It was created in order to increase the prestige of these institutions in society. RBA maintains and develops library business in our country and establishes contacts with professionals from abroad.
2. The largest charity movement is the Russian Aid Fund. In abbreviated form - Rusfond. This organization provides targeted assistance to those in need: large families, people with disabilities, foster children, orphanages, hospitals.
Socially-oriented non-profit organizations
On April 5, 2010, amendments were made to the main federal law adopted in 1966 and called "On Non-Profit Organizations". A documented list of activities has enabled these organizations to become socially oriented.
Such communities involve receiving assistance from the state. These can be various benefits, for example, on tax payments. Support is being provided for retraining and advanced training. Orders for the supply of goods and the provision of services are placed.
Non-profit organizations - examples of socially oriented communities - are included in a special register and systematized.
In addition to financial support, they can provide non-residential premises for long-term use free of charge or with a big discount.
The new reality of Russian society is becoming socially oriented non-profit organizations. You can see examples of them everywhere.
Forms of Nonprofit Organizations
From a wide list we will consider some of them.
The most common form is autonomous non-profit organizations. Examples - Occupational Safety Centers. Such organizations exist in any field, and they are engaged in the provision of services for employers. They instruct labor protection specialists. Teach fire safety, accident relief.
Autonomous non-profit organizations are examples of communities in which there is no membership of either legal entities or citizens. Supervision of the activity lies with the founders who use the services of the organization on an equal footing with others.
Equally popular are foundations as non-profit organizations. Examples are the well-known Give Life charity. This foundation was established by actress Chulpan Khamatova and her colleague Dina Korzun. Many of their comrades in the creative workshop (artists, musicians) participate in charity events, helping children with cancer.
The funds also do not have membership, respectively, no mandatory contributions are paid. Only voluntary investments are possible. Foundations are also allowed to engage in entrepreneurial activities.
The responsibility of such organizations is the annual report on the used property.
Consumer cooperatives are another example of nonprofit organizations. Citizens unite voluntarily. Upon entry and during membership fees are paid.