A non-governmental organization (NGO) is a charitable federation that’s self-reliant from states and international governmental organizations. They’re generally funded by donations; however, some avoid formal funding on the whole and are run principally by volunteers. NGOs are extremely assorted groups of organizations occupied in an extensive range of activities, and take completely different forms in dissimilar parts of the globe. Some might have a benevolent position, whereas others may be registered for tax exception anchored in recognition of communal purposes.
Others may be fronts for political, religious, or additional interests. NGOs are complicated to describe, and the term 'NGO' isn’t forever used consistently. In a few countries the term NGO is useful to an association that in another country would be referred to as an NPO (nonprofit organization), and conversely. There are numerous different classifications of NGO in use.
The foremost common focus is on "orientation" and "level of operation". An NGO's orientation introducing the kind of activities it takes on. These activities might comprise human rights, environmental, refining health, or improvement work. An NGO's level of operation specifies the scale at which a corporation works, like local, regional, nationwide, or worldwide.
Comparision among Trust, Society and Non profit Company
|
Trust |
Society |
Section-25 Comapny |
Statute/Legislation |
Relevant State Trust Act or Bombay Public Trusts Act, 1950 |
Societies Registration Act, 1860 |
Indian Companies Act, 1956 |
Jurisdiction |
Deputy Registrar/Charity commissioner |
Registrar of societies (charity commissioner in Maharashtra). |
Registrar of companies |
Registration |
As trust |
As Society |
As a company u/s 25 of the Indian Companies Act. |
Registration Document |
Trust deed |
Memorandum of association and rules and regulations |
Memorandum and articles of association. and regulations |
Stamp Duty |
Trust deed to be executed on non-judicial stamp paper, vary from state to state |
No stamp paper required for memorandum of association and rules and regulations. |
No stamp paper required for memorandum and articles of association. |
Members Required |
Minimum – two trustees. No upper limit. |
Minimum – seven managing committee members. No upper limit. |
Minimum three trustees. No upper limit. |
Board of Management |
Trustees / Board of Trustees |
Governing body or council/managing or executive committee |
Board of directors/ Managing committee |
Mode of Succession on Board of Management |
Appointment or Election |
Appointment or Election by members of the general body |
Election by members of the general body |