Many institutions (as well as some smaller NGOs) may receive government subsidiesto help pay for their services to the community or nation. Donors who believe in an organization’s cause may give large sums of money, and volunteers invest their time. Organizations may also hold fund-raisers or charge membership fees to generate additional income to purchase buildings or supplies, pay expenses and administrative salaries (unless the entire staff is volunteers), or to support their cause.
Most organizations have a governing document like a charter or constitution that gives guidelines for their operation and states the principal purpose for which they exist. The charter also sets parameters that define and limit the activities they will pursue, avoiding apparent or actual incompatible purposes.
Governments may also regulate non-profits. In the U.S. this is done principally using the tax code. If organizations violate government guidelines they may lose their tax-free non-profit status. One set of these guidelines forbids discrimination on the basis of sex, race, or several other factors. For instance, American organizations may not arbitrarily exclude all men or all women simply because of their sex, nor may they deny membership to people based on sexual orientation, race, or national origin.
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Bonjour,
Many institutions (as well as some smaller NGOs) may receive government subsidies to help pay for their services to the community or nation. Donors who believe in an organization’s cause may give large sums of money, and volunteers invest their time. Organizations may also hold fund-raisers or charge membership fees to generate additional income to purchase buildings or supplies, pay expenses and administrative salaries (unless the entire staff is volunteers), or to support their cause.
Most organizations have a governing document like a charter or constitution that gives guidelines for their operation and states the principal purpose for which they exist. The charter also sets parameters that define and limit the activities they will pursue, avoiding apparent or actual incompatible purposes.
Governments may also regulate non-profits. In the U.S. this is done principally using the tax code. If organizations violate government guidelines they may lose their tax-free non-profit status. One set of these guidelines forbids discrimination on the basis of sex, race, or several other factors. For instance, American organizations may not arbitrarily exclude all men or all women simply because of their sex, nor may they deny membership to people based on sexual orientation, race, or national origin.
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