How non-profit associations work

Types of non-profit organizations
Social cooperatives, on the other hand, have as their goal the general pursuit of the community for human promotion and social integration of citizens, including social and health services and educational services for disadvantaged people.

Then there are the NGOs (non-governmental organization) that very often carry out activities of support in the missionary world or more generally they deal with cooperation with European, national and international institutions.

With regard to social promotion associations, it can be defined as associations in which individuals associate to pursue a common purpose not of a commercial nature.

Finally the Foundations of civil law and of banking origin and the social enterprises that deal with are to be mentionedsocial assistance , health, social health, education, education, environmental protection and cultural heritage, university and extracurricular training and social tourism (according to l.118 / 05 made organic by legislative decree 155/06 ).

How non-profits are formed
The bodies that make up the non-profit world, therefore, differ substantially in their structure, distinguishing themselves by type and legal status . From a fiscal point of view they can then be divided into non-commercial entities, commercial entities and non-profit organizations.
Interesting is the data according to which today, in Italy, non-profit companies are up by 28% compared to 2001 data. The staff of any non-profit association and organization is made up of the President, the Board of Directors and the Shareholders’ Meeting.
The former is responsible for the management of the organization and the activities planned and voted for by the Board of Directors or by the shareholders’ meeting, but cannot make any decision alone; the president can be defined asa legal representative body of the association.

How non-profit organizations operate
To actually manage and manage the association is the Executive Council which not only promotes activities but represents the executive body with real decision-making power. It is usually, but not always, made up of three members: the President, the Vice President and the Secretary.

The most important task of the Board of Directors is the care of economic affairs, through the management of the association c. Last but not least, there is the Shareholders ‘Meeting formed by all the member members registered in the special members’ register and in good standing with the payment of the insurance fee; they always have the right to participate in the decisions of the institution, at least once a year when not extraordinarily requested, in a special Assembly convened by the Board of Directors.

The Assembly also has the power to decide on the election of the Board of Directors, to manage the destination of the surplus or deficit , to approve the annual program of activities and the accounting statement.

Accounting and account management of non-profit organizations
For non-profit organizations, account management is therefore of vital importance for their survival and development. Due to the difficulty of management , in recent times, non-profit organizations are increasingly relying on expense management tools : among these, there are prepaid cards. This type of card allows each member of the association to make payments and make purchases on behalf of the organization based on its savings fund.

In this way, not only are transactions facilitatedbut it is easier for the non-profit organization to keep all expenses under control, perhaps even assigning a prepaid card to each different mission so as to be able to manage the budget in a completely personalized manner.
This tool is also easy to manage, because the card can be quickly recharged by transferring the funds through special recharges made manually or set as periodic and automatic.

The possibility of exporting the data of expenses and transactions in the most common formats means that even the management of the accounting of the non-profit organization is fast, efficient and always monitored.

Non-profit organizations: what are they and how do they work?

Today it is not uncommon to hear about non-profit organizations or associations .

The expression refers immediately to the term profit ; but is it really possible to think that someone works and is committed without gaining the ultimate goal ?

Not only is it possible but it happens often and in various forms.

In Italy, today, non-profit companies have increased by 28% compared to 2001 , so much so as to induce a real reform of the third sector this year .

Therefore, in recent years, the non-profit sector has undergone a strong impulse which must, however, necessarily correspond to a qualitative growth of its services.

What are non-profit organizations?
It is not easy to provide an exhaustive definition of what non-profit organizations are.

First of all, it should be specified that non-profit organizations are part of the Third sector , that is, of that sector to which institutions and organizations belong, which are located in an intermediate position between the market and the State.

The not-for-profit name has Anglo-American origins and derives from the union of ” non ” with the name ” profit ” and is therefore used to indicate those organizations that operate without profit , that is profit and that are characterized by having as their objective the common good .

This does not mean that the entity does not generate any financial gain in any way: even the non-profit association can produce an asset, but the substantial difference with the other entities is that this gain does not translate into profit, that is , it is not distributed among the members of the association itself.

Therefore, the money raised is set aside and reinvested to finance the activities of the same body, to achieve its primary objectives .

Most of these are entities that pursue altruistic intentions and are dedicated to activities of public utility and relevant in various sectors such as cultural, scientific, welfare, research or environmental.

How many types of non-profit organizations exist?
It must be specified that different types of non-profit associations can be traced . We will try to clarify, taking into consideration two of the main subdivisions.