NGOs and NPOs

During the summer while working as an intern at Open Hands, I wrote a report regarding the difference between NGOs (Non-Governmental Organizations) and NPOs (Non-Profit Organizations). They are similar in that they exist for the main purpose of making the world a better place. The term NGO and the business type were created in 1945, with the inception of the United Nations. As you can infer by its name, the organization is not a part of the government, but they still help to provide humanitarian aid and advocate for social change. They may also operate in the same areas as government agencies. NGOs can exist at the local, national, or international level. The Salvation Army and American Red Cross are NGOs that are headquartered in the United States but they provide services across the world and the United Nations and Amnesty International are international NGOs. NGOs help benefit society in many sectors and practices such as

• Managing emerging health crises (ie. coronavirus, HIV/AIDS, etc)

• Promoting health education (ie. waste disposal and good hygiene)

• Developing social institutions (ie. schools and roads)

• Securing women’s equality (ie. boosting literacy and offering counseling)

• Dealing with community issues (ie. crime, prostitution, etc)

A Non-Profit Organization refers to a business that does not distribute its profits to owners or shareholders. The profits get reinvested into the business to manage expenses, meet its social goals, and pay staff. NPOs have the mission to help a specific cause or community and they may operate on a small scale like within a community, or a broader scale. NPOs exist to serve a variety of causes and issues. For example, they may:

• Support scientific research

• Provide literacy and educational programs

• Prevent animal cruelty

• Aid in stopping child abuse

• Promote sports programs

NGOs receive funding much like NPOs such as private donations, loans, grants, membership dues, and the sales of services to stay in business. NPOs can also receive funding in those ways in addition to corporate contributions, investments, government contracts or grants, and tax revenues. NGOs and NPOs have a lot in common, aiming to serve the public and promoting positive social change, the main difference being that NGOs operate internationally. Through the support of volunteers and donations, they exist and work to reach their goal of helping to change the world for the better.

By. Alex Sangwook Ahn