non-profit organizations. Non-profit enterprise

Institution (non-profit organization)

Kinds

Depending on the owner allocate

• State institutions - founders are various government bodies
• Municipal institutions - founders are various municipalities
• Private founding institutions are commercial organizations .

State or municipal institution

• budgetary
• autonomous

Features of functioning

Generally, most institutions are state or municipal, i.e. their founders are various state bodies and municipalities.

Not only the state represented by its bodies, but also other participants in civil circulation, including commercial organizations, can create institutions. Institutions are organizations of culture and education, healthcare and sports, social protection agencies, law enforcement agencies and many others.

Since the range of institutions is quite wide, their legal status is determined by many laws and other legal acts. It does not establish legislation and uniform requirements for the constituent documents of institutions. Some institutions operate on the basis of the charter, others - on the basis of a model regulation on this type of organization, and some - in accordance with the provisions approved by the owner (founder).

Institutions, unlike other types of non-profit organizations, do not own their property. The owner of the institution's property is its founder. Institutions have a limited right to the property transferred to them - the right of operational management. Institutions that have property under the right of operational management, own, use and dispose of it within the limits established by law, in accordance with the goals of their activities and the tasks of the owner, as well as in accordance with the purpose of the property.

Notes

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See what "Institution (non-profit organization)" is in other dictionaries:

- (NPO) an organization that does not have as the main goal of its activity the extraction of profit and does not distribute the profit received among the participants. Non-profit organizations can be created to achieve social, charitable ... Wikipedia

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ESTABLISHMENT OF NON-PROFIT ORGANIZATIONS- an institution is a non-profit organization created by the owner to carry out managerial, socio-cultural or other functions of a non-profit nature and financed in full or in part by this owner. Property… … Big Economic Dictionary

institution- 1. An institution is a non-profit organization created by the owner to carry out managerial, socio-cultural or other functions of a non-profit nature ...

A non-profit organization is an organization that does not have profit making as the main goal of its activities and does not distribute the profit received among its participants. This is the fundamental difference between non-profit organizations and commercial organizations.

Non-profit organizations can be created to achieve social, charitable, cultural, educational, scientific and managerial goals, to protect the health of citizens, develop physical culture and sports, meet the spiritual and other non-material needs of citizens, protect the rights, legitimate interests of citizens and organizations, resolve disputes and conflicts, providing legal assistance, as well as for other purposes aimed at achieving public benefits.

3. Citizens with the necessary experience, knowledge and equipment decided to create a driving school in order to teach driving to future motorists. In this situation, as a rule, a non-state educational institution or an autonomous non-profit organization is created.

4. Several lawyers, information about whom is included in one regional register of lawyers, for the purpose of joint practice of advocacy, may register a non-profit organization in the form of a bar association. In accordance with the Federal Law “On Advocacy and Advocacy in the Russian Federation”, the bar association operates not only on the basis of the charter approved by its founders, but also on the basis of the founding agreement concluded by them.

Our society is governed by the laws of the state. Any organization must have a legal status in accordance with the Civil Code of the Russian Federation. But what if you decide to organize a society not for profit, but for patriotic or good intentions? Such an organization is also needed. How non-profit organizations differ from commercial entrepreneurship, what are the goals of creation and characteristics, as well as examples - we will consider all this in more detail below.

Concept and forms

Not every reader understands what an NGO is and what its members do.

More than ten legal forms are classified as NGOs. Here are some of the most popular:

1. . It is created from voluntarily entered legal entities or citizens. The purpose of creation: satisfaction of material and other needs of each member of the cooperative. A consumer or fellow cooperative may have some signs of a production cooperative, but the main difference is its non-commercial interest. Example: the housing cooperative "Best Way" in St. Petersburg, where each family is a member of the organization and contributes a share of the price of the future property on a monthly basis. Once a year, real estate is purchased for several members of the cooperative. Purpose: to purchase housing in installments in a shorter period of time.
2. Organizations associated with religion or social causes. These are persons who united voluntarily, the main purpose of which is the satisfaction of spiritual or non-material interests. For example: Novosibirsk city public organization "Christian Broadcasting". The purpose of its creation is to support and unite Christian families.
3. Funds. According to Art. 123.17 of the Civil Code of the Russian Federation, a group of legal entities or citizens who, on a voluntary basis, contribute a certain amount to a common “purse” for charitable use for social, cultural and other needs, can be considered a fund. For example: Fund for helping children with oncological, hematological and other serious diseases “Give Life”. Purpose of creation: fundraising to help sick children.
4. institutions. These are NGOs, the purpose of which is management in the socio-cultural or other sphere. The owner partially or fully finances the project. For example: non-profit cultural institution "Silver Wolf". Volunteer squad in Moscow. Main tasks: maintaining order and culture on the streets of the city.
5. Unions or associations of legal entities. They are created to coordinate business or other activities or to protect the interests of society. For example: Alpine Wind Advisory Group. The purpose of creation: association of lawyers to provide services to the population in the field of legal issues.

The main goals of the formation of NCOs are regulated by the law of the Russian Federation No. 7-FZ. The goals may be different, but the main thing is the creation without material benefit in the future for members of NPOs and social orientation. It means , that the founders of the company must have a common idea and pursue one goal that will not bring them income.

The goals may be different, but the main difference from commercial companies is the creation without material benefits in the future for members of the NPO and the social orientation.

How non-profit companies work

NCOs are formed only in certain forms, which are regulated by the law of the Russian Federation. Therefore, the possibilities of a non-profit company are not unlimited. NCOs function independently, as legally independent entities, but have their own characteristics.

There is a material and economic part on the company's balance sheet, but the fixed capital is formed from, or. An NPO, just like a commercial organization, is responsible for its obligations, which is its property. But the features of functioning differ from their commercial organizations. Owners do not try to benefit for personal benefits. All functions are performed for an ideological, religious or social purpose.

The NPO expresses the objectives of its activities through program projects. The software project of a non-profit company is aimed at the implementation of a specific mission or social goal. The main requirements for NCOs are that the profit received by the company must be directed to the intended purpose. For example: if funds are raised to treat children for cancer, the money should be directed to the accounts of clinics where small patients are treated, or to pay for medicines.

Not always the profit of a non-profit organization is not divided among its owners. Exceptions include consumer cooperatives. They can share the profits according to the plan, for example, the contributors contribute a certain amount per month, the total contribution is divided among the families that are first in line to purchase a home. Therefore, according to paragraph 3 of Art. 1 of the Federal Law on NGOs, this requirement does not apply to them.

But the activities of such organizations are carried out in accordance with special documents, for example, Law No. 193-FZ on agricultural cooperation.

Non-profit organizations are allowed to engage if the proceeds go to the general fund and are directed to the goals that are indicated in the program projects. Many NGOs are forced to engage in entrepreneurship, as the money raised keeps them afloat. If it is necessary to expand commercial activities, then NPOs have the right to participate in business companies, even if the goals of your company and the HO do not coincide.

Non-profit organizations are allowed to engage in entrepreneurship if the proceeds go to the general fund and are directed to the goals that are indicated in the program projects.

Unlike commercial companies, some forms of NPOs can carry out their work without registration. In this case, the NPO is not an independent legal entity. That is, it has no property and is not entitled to conduct transactions on its own behalf, to participate in litigation.

Not all forms of NCOs, unlike commercial companies, can be applied. This is regulated by the Federal Law of October 26, 2002 "On insolvent bankruptcy". Upon liquidation, the property of an NPO is not divided among all participants.

NPOs can be created both for an indefinite period and for a period of time until the planned goal is achieved. The rest of the functions of an NPO does not differ from a commercial company. Some activities also require a license.

Documentation and funding

Control of internal funds of NPOs is carried out in accordance with. This is the main and most important document for a non-profit company. It is approved by the higher authorities, they can also make changes to it. Estimates are prepared for individual projects, which are reflected in the financial plan. The most common form of a financial plan is a budget. A non-profit organization cannot go beyond the budget.

In practice, NGOs use several types of budget:

1. Current. The plan reflects the expenses and incomes planned for the current year, combined projects and estimates for them.
2. Applications for contracts and grants. The budget is drawn up for one project, there may be several sources of funding.
3. Accounting for cash. This is a short-term budget, which is drawn up for a short period of time. It takes into account the movement of cash: salaries, payment of bills.
4. Planning. This budget reflects funds that do not have a target title. It is used for large expenses, for example, when acquiring property.

The budget is compiled by the accountant and the NPO and approved by the general council. This is the main management document of the NPO. Just like in a commercial company, an NPO is drawn up, which spells out the rights and obligations of all project participants (). The charter of the NPO and the financial plan are required when registering the NPO. Unlike commercial organizations, the participants of the company do not receive profit, therefore, it is rented out in the form of an estimate, where income covers expenses.

Reporting documentation is submitted in the form of an estimate, where income covers expenses.

Who is funding the project?

Sources of financing for a non-profit company can be the following injections:

• Contributions from the founders (one-time or permanent).
• Contributions and donations from NGO members.
• Profit from entrepreneurial activity (provision of services, goods, works).
• Interest on deposits is dividends.
• Any other financial injections not prohibited by the laws of the Russian Federation.

Most often, financial receipts are formed at the expense of membership fees of NPO participants or in the form of voluntary donations. The amount of membership fees must be indicated in the founding documents of the NPO. Large sums from the founders can be contributed to certain projects or to achieve a specific goal. Non-earmarked contributions are also allowed.

Donations differ from voluntary contributions in that any interested citizen can contribute the amount, and not just NPO members. Not only money is considered a donation, but also the transfer of things and other forms of ownership from citizens to NGOs. The state does not limit the types of donations.

For example, the famous singer Alexander Malinin donated an apartment in Moscow to the Podari Zhizn foundation. The property has become the property of an NGO and is being used as free temporary housing for parents from other cities whose children are being treated at a Moscow oncology center.

The NPO must spend 80% of the funds received for the planned purposes. This is written into the company's articles of association. An estimate is made at the end of the year.

Conclusion

It is not difficult to organize an NPO, since some forms do not need to be registered. But, if you decide to create a company that will be a legal entity and have its rights and obligations, it is worth collecting documents. For registration, you need to prepare a charter, a list of founders, passports and a financial plan for your company. Profits from your activities should go to expenses that are aimed at achieving a social or religious goal. indicated in the estimate, which is attached to the income statement.

In this article, we will try to tell you as much as possible about what NCOs are and what they do.

NGOs- These are non-profit cooperative organizations that are opened at a special meeting by the founders. At this event, they approve all the provisions of the charter and determine the governing bodies. All property is the personal property of this association.

What non-profit organizations (NPOs) do

What is the decoding of NKO is already clear. Now we will tell you what these organizations do.

The main function of this association is the formation of various benefits for society through the redistribution of material values. In terms of other functional characteristics, NCOs are similar to entrepreneurs. But in comparison with commercial organizations, they cannot be attributed to full-fledged participants in property relations. In this regard, the state has established a target legal capacity. And this means that the use of the property that is their property is possible only in a targeted manner. An NPO can conduct business activities if this is consistent with its main goals, in accordance with the Civil Code, Article 50. Based on this, it will be more relevant to explain what an NPO is.

Public service? In a single whole, they will be united by the main features in the conduct of this activity. In this case, this is the lowest income, unlike commercial companies. This activity is not aimed at generating income, but at organizational measures related to supporting people. In addition, the activity is a regulated type of work. If, for example, we consider educational companies, they have the right to provide paid services in additional education that are not provided for by the SES. This type of activity cannot act as an entrepreneurial one, in the case when the profit received by the NGO is spent to conduct the main activity at the official level. Members of this organization do not have the right to engage in the distribution of profits in a different way.

Liquidation of NGOs

Having told a little above what an NPO is, it is also necessary to consider in detail the reasons for its liquidation. In this case, the process of paying off the existing mortgage on loans must first take place. Further, the property that remains can be used for the purposes specified in the documentation, or for charitable purposes. All NCOs can be declared bankrupt, except for institutions, religious or political organizations.

The main role of NGOs in the Russian Federation

Let's find out what is an NGO in Russia. Despite the fact that these associations do not have the right to engage in commercial gain and conduct activities related to improving the lives of the population, things often happen differently in Russia. For this reason, it is possible to answer the question - what is an NPO - ambiguously. Most of them are engaged in political activities that are directed against our country, and hide behind socially useful goals. As a rule, these companies are financed by Western countries, for example, the American fund USAID, which began to operate in the early 60s of the last century. Under beautiful slogans screaming about international development assistance, this fund hides other goals: manipulation of people's minds, making more favorable adjustments for America in the policies of countries, with the ability to weaken their entire state system. These organizations work not only in Russia. They also operate in Georgia, Ukraine and Serbia. It was thanks to their activities that color revolutions happened in these countries. Based on this, those NGOs that are financed by foreign funds and work in our country must obtain the status of a foreign agent without fail.

Constructive and destructive NGOs

Of course, many non-profit organizations are working and developing well, the main tasks of which are to solve issues related to socially significant aspects: finding funds for the treatment of fatal diseases, fighting corruption, improving the living standards of the unprotected segment of the population, etc. They are also engaged in the protection of the rights and freedoms of citizens, the formation of a healthy lifestyle. The main significance of NGOs is that these organizations act as intermediaries between the people and the state. In our country, these are various foundations, associations and unions, partner and budgetary organizations. According to statistics, their number exceeds half a million. Of this number, about 200 companies are financed by foreign countries: Italy, America, Germany, England, Canada. Many associations are financed by citizens, but their main budget is still funded by grants. In recent years, due to the occurrence of events in foreign policy, the activities of NGOs funded by foreign countries are completely under the control of the state.

For those people who know the answer to the question - what is an NPO, the issue that concerns healthcare is important. In the field of medicine, they have the right to offer and provide paid services, produce medical equipment, or engage in research activities. The main activities of NCOs are fully supported by Russian legislation by reducing taxes, providing orders, etc.

Main sources of income for NGOs

As for the profits of these organizations, one should understand from what specific sources they appear, and what is an NGO in the medical field:

• Participant funds.
• Voluntary contributions to health insurance.
• Various donations.
• Profits from doing business.
• State budget funds.
• Grants that allow you to purchase the necessary equipment, organize projects, and improve your skills.
• On the part of the authorities, NGOs have the right to provide assistance as subsidies for the implementation of targeted expenses. Funding will be provided free of charge.

Expenses

All expenses of this organization are divided into the following types:

• Funds for wages.
• Travel funds.
• Funds intended for the purchase of the necessary equipment, various office supplies.
• Funds for repairs.
• Funds for the payment of utilities, communications, the Internet.
• Expenses associated with the implementation of the main activities, which are prescribed in the Charter.

Watch the video

” spoke about what an NPO is and what features this type of organization has.

To bookmarks

The Internet is full of articles about forms suitable for business (we are talking about this too). Most of these articles deal with the choice between an individual entrepreneur and a commercial organization (LLC or JSC), but there is almost nothing about non-profit organizations (NPOs). We can say that this is the “twilight zone” of Russian corporate law.

We decided to fill the gap and dispel common myths. If you like the article - write about it in the comments, we will continue to destroy the legends.

Myth one: there are few non-profit organizations and they have no money

According to official statistics, NPOs account for up to 17% of Russian legal entities. There are several times more non-profit organizations than the same joint-stock companies; they have the right turnover.

Non-profit organizations include not only charitable and religious organizations, but also the entire public sector, almost all educational organizations, all state clinics, consumer cooperatives (parking lots, homeowners associations, dacha cooperatives, and so on), development institutions like IIDF or ASI, and many other very different structures.

At the same time, the sphere of NGOs is very poorly regulated. Not in the sense of “not regulated at all”, like cryptocurrencies, but in the sense that the regulation is very fragmented and internally contradictory.

The central law “On Non-Commercial Organizations” covers a maximum of half of the types of NPOs, the rest are hidden in specialized laws like “On Charitable Organizations”, “On Public Associations”, and so on. Many of these laws were written back in the 1990s and have not been updated since then to match the changed Civil Code.

It is very difficult for a non-specialist to understand the resulting mess: nowhere is there even a list of existing forms of non-profit organizations. At the same time, the constituent documents of an NPO, unlike the same LLC, are carefully proofread by specialists from the Ministry of Justice - it is almost impossible to register the first time without experience.

Non-profit organizations also have additional statuses related to the type of their activity. For example, charitable status is an achievement for a regular non-profit foundation that allows you to pay less taxes, but it doubles the amount of paper.

Now it is necessary to apply not only the law “On NGOs”, but also “charitable” legislation, as well as submit special reports. Obtaining and renewing licenses (for example, for education, medical treatment, and so on) will further complicate the work of the lawyer of the organization.

Myth two: non-profit organizations cannot be engaged in entrepreneurial activity

This myth is generated by the initial confusion in terms. According to the Civil Code, entrepreneurial activity is an independent, risky and systematic profit. Let me remind you that profit is when income exceeds expenses.

Obviously, if the expenses of an organization - both commercial and non-commercial - exceed its income, it will simply go bankrupt. Therefore, non-profit organizations not only can, but must, engage in entrepreneurial activities to stay afloat - or subsist on membership dues and donations, which few people are capable of.

In general, non-profit organizations can carry out the same activities as commercial ones: supply goods, provide services, perform work, and so on. Rare exceptions relate to individual licenses (for example, an NPO cannot become a bank).

However, there is a really important difference in the types of activities between commercial and non-profit organizations: this is the so-called target legal capacity of NPOs. Unlike commercial organizations, which have the right to do whatever they want, non-profit organizations are limited by the goals prescribed in the charter.

This is to ensure that some "homeless cat fund" doesn't start funding Middle Eastern Salafis. In practice, the founders of NCOs prescribe in the charter “the right to engage in any activity that generates income” and thus solve the problem of targeted legal capacity.

Myth #3: Nonprofit organizations don't pay taxes

It seems logical - as long as non-profit organizations do not compete with commercial ones, the state should support them for the sake of the created public good. But not in Russia.

The Russian tax system provides for almost the same taxes for all organizations, including non-profit ones. Not very fair, but the way it is. On the other hand, NCOs have the right to use all the same tax regimes as "large" companies: for example, a simplified tax system in order not to pay VAT.

There are exceptions to this rule in favor of NGOs, but they are very few. Associations and unions (for example, trade unions) do not pay taxes on membership fees; also, NGOs do not pay taxes on gratuitous donations.

There are a number of exemptions for charitable organizations, which apply on the condition that at least 80% of the income such an organization distributes in the form of charitable assistance. Otherwise, non-profit organizations pay taxes on a par with commercial ones.

Myth 4: Non-profit organizations are used to manipulate

Due to recent investigations, NPOs have gained a reputation as “sawmillers”. It is both a myth and not a myth.

Non-profit organizations are indeed used to hide the beneficiaries, that is, the true owners of the business. There are so-called autonomous organizations that formally do not have owners and beneficiaries: they exist on their own.

After registration, such a company operates without shareholders and participants, can create subsidiaries (including commercial ones), dispose of its own property, but does not have beneficiaries. Therefore, any attempt to disclose information will come to a standstill.

The reputation of NGOs is not improved by regular scandals with the distribution of presidential grants. Organizations that are denied, especially on formal grounds, always claim corruption - and this cannot be verified, since the procedure is really non-transparent.

However, all these “cutting” scandals are overlapped by one factor that distinguishes non-profit organizations from commercial ones: it is really difficult and expensive to withdraw money from NGOs. Almost all NPOs are not entitled to pay dividends to their founders; they are obliged to spend what they earn on their statutory goals, and if the goals are achieved, they must give it to the state.

Therefore, even if you create an NPO and earn money through entrepreneurial activities, it will be extremely difficult and costly to withdraw them.

As for obtaining grants, this is also not so easy. Firstly, in order to beg for a grant, you first need to engage in socially useful activities at your own expense for quite some time. Secondly, registration of receipt and implementation of the grant is a mountain of paper; reporting there is not that difficult, but very exhausting.

And thirdly, grants are usually small: up to several million rubles. In practice, it is much easier to earn this money than trying to "saw off" it from the state, and much safer.

Why are NGOs needed at all?

After all of the above, you naturally have a question: if NGOs do not provide benefits, then who creates them at all?

Firstly, social entrepreneurs who are already engaged in non-commercial activities - NPO allows you to receive grants and donations, which is prohibited for commercial organizations. If you have competent lawyers and accountants, you can build a whole holding of NGOs and save a little on taxes.

Secondly, some activities are available only to non-profit organizations - for example, training (except for additional education), self-regulation (SRO), housing management (HOA), and so on. Therefore, in order to create a kindergarten or school, a trade union or a chamber of commerce and industry, it is necessary to register an NPO with the Ministry of Justice.