Foundations and other non-profit organisations: A quick definition 

Non-profit organisations (NPOS) vary in mission, status, origin, structure, and funding arrangements. They can have:

  • An advocacy or “expressive” function (human rights; cultural expression, community organising, environmental protection)
  • A service delivery or provision function to provide their members or clients services such as health care, social, training & education services, information or support
  • A mutual aid or self-help function – typically formed by groups of individuals with some common interest or need in order to provide mutual help, support and cooperation
  • A resource or coordination function – those NPOs - known as intermediary bodies - coordinate the activities of or provide information and support to organisations working in a particular field or to the third sector in general

NPOs however share common features: They are private, self-governed, non-profit distributing bodies and must be active to some degree in the public arena; while their activity must be aimed at least in part at contributing to the public good.

Public benefit foundations can be defined as separately-constituted non-profit bodies with their own established and reliable source of income (usually, but not exclusively) from an endowment or capital. These bodies have their own governing board. They distribute their financial resources for educational, cultural, religious, social or other public benefit purposes, either by supporting associations, charities, educational institutions or individuals, or by operating their own programmes.

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