Aims of Not-For-Profit sector Businesses

Education as an Aim for Not-for-Profit Organizations

Education is a common aim for many not-for-profit organizations, which can be legally registered as charities. 

A prime example is the 'Save the Children' organization, founded on the belief that every child has the potential to change the world and the right to learn. This aim addresses significant global challenges in education: millions of children worldwide never visit a classroom, while many others drop out due to overcrowded classes, conflict, or gender discrimination. 

Even in developed countries like the UK, statistics show that children from poorer backgrounds tend to perform less well at school than their wealthier classmates, with low literacy linked to low pay and unemployment. Save the Children believes that education offers hope to these children and has set a clear organizational aim to improve early years learning and keep childcare costs on the political agenda. 

This focus has led to remarkable results, with their child education programs successfully reaching 12 million children in 2020 alone. By prioritizing education, such not-for-profit organizations strive to break cycles of poverty, reduce inequality, and empower children to build better futures for themselves and their communities.

Housing as an Aim for Not-for-Profit Organizations

Providing housing to those who need it most is a crucial aim for many organizations in the not-for-profit sector. A notable example is the Sanctuary Group, established in 1969 with the mission of building affordable homes and sustainable communities where people choose to live. 

This charitable organization aims to provide housing and services for people on low incomes, those in need of additional care and support, and the elderly. Since its inception, Sanctuary Group has grown significantly, becoming one of the largest not-for-profit housing associations in the UK. Its impact is evident in its extensive portfolio of over 100,000 homes and its substantial revenue of over £763 million during the 2019/20 financial year. 

By focusing on housing, organizations like Sanctuary Group address a fundamental human need, contributing to social stability, improved quality of life, and community development. Their work demonstrates how not-for-profit organizations can effectively combine social aims with financial sustainability to create lasting positive change in society.

Alleviating Poverty as an Aim for Charitable Organizations

Some of the most renowned charitable organizations were founded with the primary aim of alleviating poverty, and Oxfam stands as a prime example of this mission. Established in 1942, Oxfam has evolved into a global movement, uniting millions of people who share a powerful belief: in a world rich with resources, poverty isn't an inevitability. This optimism is reflected in their achievements and goals - in just 15 years, extreme poverty has been halved, and Oxfam believes that with another 15 years of dedicated effort, it can be eradicated entirely. 

The organization's commitment to this cause is evident in their financial allocation - an impressive 84% of every £1 Oxfam spends goes directly towards fighting poverty. This includes providing essential resources such as water, food, health services, and education, alongside crucial emergency aid for those in dire need. 

By maintaining a clear focus on poverty alleviation and efficiently directing resources towards this goal, Oxfam demonstrates how charitable organizations can make significant strides in addressing one of the world's most pressing issues, offering hope and tangible improvements to millions of lives across the globe.

Improving Healthcare as an Aim for Not-for-Profit Organizations

Some not-for-profit organizations, such as the British Heart Foundation (BHF), are established with the primary aim of improving the standard of healthcare. Founded in 1961, the BHF set out with a clear mission: to fund additional research into the causes, diagnosis, treatment, and prevention of heart and circulatory diseases. This commitment to advancing medical knowledge and care has remained steadfast over the decades. Currently, the organization funds over £100 million of research each year, covering a wide spectrum of heart and circulatory diseases and their underlying causes, including heart diseases, strokes, and vascular dementia. 

The BHF's impact is evident in its financial figures; in the 2018-19 financial year alone, it raised more than £138 million and invested £128 million in life-saving research and support for heart patients. This substantial investment in healthcare research and patient support demonstrates how not-for-profit organizations can play a crucial role in advancing medical science and improving patient outcomes, ultimately contributing to better public health on a national scale.