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Nonprofit organization

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Nonprofit organization

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Nonprofit organization

  1. 1. Topic: Third Sector, social enterprise, Non profit organization Asmaalsadat mousavinia „A‟ Section , „A1‟ Batch M.com, CM112016 Manasagangotri
  2. 2. Introduction of NPO  Meaning of NPO  Key characteristics of Npo  Third sector  Social enterprises  Difference between social enterprises and NPO  Conclusion 
  3. 3. Definition: An organization in which no owner, stockholder or trustee shares in profits and losses, and which exists not to earn revenue but to promote a mission that enhances the public welfare. These organizations are often eligible for taxexempt status and some, but not all, can receive tax deductible contributions.
  4. 4.  Nonprofit refers to groups whose purposes are to benefit the public. A nonprofit is exempt from income tax under Sections 501(c)(3) or 501(c)(4) of the federal Internal Revenue Code. There are actually 20 categores of tax-exampt organizations under Section 501 of the tax code. All of these are considered "nonprofit" organizations.
  5. 5.           Charities are classified as 501(c)(3) tax-exempt organizations. These include organizations whose purposes are: charitable religious educational scientific literary testing for public safety fostering national or international amateur athletic competition preventing cruelty to children or animals. Furthermore, "charitable purposes" are defined as activities beneficial to the public interest and serving an open class of people, not a limited number of identified people.
  6. 6.  01. purpose  02. ownership  03. control  04. accountability
  7. 7.  The voluntary sector or community sector (also non-profit sector or "not-forprofit" sector) is the sphere of social activity undertaken by organizations that are not for profit[1] and non-governmental. This sector is also called the third sector, in reference to the public sectorand the private sector. Civic sector is another term for the sector, emphasizing the sector's relationship to civil society.
  8. 8.   The Cabinet Office defined the „Third Sector‟ as “the place between State and (the) private sector”.[1] In India this sector is commonly called the "joint sector", and includes the industries run in partnership by the state and Private Sector. In a wider sense the initial investment is made by the state and later the handling is done by the private sector.
  9. 9. A Social Enterprise has been defined by the UK government as: „a business or service with primarily social objectives whose surpluses are principally reinvested for that purpose in the community, rather than being driven by the need to maximise profit for shareholders and owners.‟
  10. 10. Social enterprises Non profit Can have for profit, non profit or a hybrid of the two models Strictly non frofit model Driven by social and finacial goals Driven only by social goals Rely primarily on their earned income making it-self sustainable Rely primarily on individuals donors,charitable contributions Recruit employees like other business Mostly depend on paid or unpaid volunteers Markets itself using commercial Markets the social cause to and social adv publicise and advertise itself Income makes it sustainable Increasing the risk of non sustainability Ex :Grameen bank , Aravind eye care Akshara foundation, help age
  11. 11.  Nonprofit organizations serve the public, providing a wide range of services to improve the quality of life of individuals or communities. They are often heavily staffed with volunteers or temporary workers with diverse skill sets, who are strongly motivated by altruism,The transient nature of personnel and short-term inconsistent funding, contribute to nonprofits‟ general lack of ability to provide for long term technology plans

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