Comparision between profit making ngo and non profit ngo

“nongovernmental organization (NGO), voluntary group of individuals or organizations, usually not affiliated with any government, that is formed to provide services or to advocate a public policy. Although some NGOs are for-profit corporations, the vast majority are nonprofit organizations. Some NGOs, particularly those based in authoritarian countries, may be created or controlled by governments. By most definitions, political parties and criminal or violent guerrilla organizations are not considered NGOs. The issues addressed by NGOs run the gamut of human concerns (e.g., human rights, environmental protection, disaster relief, and development assistance), and the scope of their activities may be local, national, or international. Some NGOs fulfill quasi-governmental functions for ethnic groups that lack a state of their own. NGOs may be financed by private donations, international organizations, governments, or a combination of these.”

“The term, nonprofit, is used rather loosely to describe groups that come together to achieve a mission, rather than to make a profit.The term “nonprofit” does not imply any specific type of legal structure. If the group incorporates, it is a nonprofit corporation. If it does not incorporate, it is an unincorporated nonprofit association.”

Noted:

after registration a society(NGO) open the account in bank then after apply for IEC CODE . Now you are admissible for doing business.

For iec code more info link is:

/share_files/iec-code-regarding-updation-info-64977.asp

ramesh

Dear,

Sir.

Thank you for the reply. your information is lot useful for us.

please explain what is IEC code as the link is not opening.

kindly also provide brief, is there any law or rules that we canot give benefit to the donors, members, volunters from the profit generated by ngo through the business ?

example,

1. tax benefit ( how we can provide tax benefit )

2. salary

3. voluntery payments.

4. loan

etc.