Brazilian society operates in three distinct sectors. They are: the first, composed of public institutions and the Executive, Legislative, and Judicial branches; the second, which encompasses private companies; and the third, which is the subject of this article and, in a few words, involves entities committed to social issues such as reducing hunger, preserving the environment, guaranteeing children's rights, etc.

In this way, people who see the suffering of the marginalized find in third-sector organizations a way to alleviate this discomfort and to offer more opportunities so that situations of inequality, poverty, and violation of dignity can be reversed.

Generally, third-sector entities rely on financial support from companies, individual donors, and volunteers who wish to boost the work carried out.

Indeed, this action, motivated by the compassion of those who set out to help, makes all the difference and can transform tragic stories into examples of development and overcoming challenges.

Anyway, now that you know what the third sector is, follow along with us and check out the CodeBlog to see what types of entities are covered by it.

The types of third-sector entities

Although there are different types of entities in the third sector, almost all of them need supporters to achieve their established purposes, ensure the application of the necessary resources to guarantee the performance of the activities to which they are dedicated, and, thus, succeed in helping those who really need it. Learn more about each of them below:

Civil Society Organization of Public Interest (OSCIP)

Basically, any NGO can be an OSCIP, provided it secures the necessary certification from the Ministry of Justice. To do this, it is necessary to meet some requirements, and you can learn more about them by clicking here.

OSCIPs are organizations focused on various causes and operate at state and federal levels on different fronts such as entrepreneurship, sports practices, social and digital inclusion, etc.

Charitable entity

Charitable entities are those that carry out direct philanthropic work, such as shelters (for children or the elderly).

In general, these organizations contribute without any cost to the various sectors of society, as they carry out activities that generate profit and can sustain themselves.

Institutes

Institutes are entities focused mainly on scientific research for the technological qualification of the population or on philanthropy. Considering that education is the greatest driver of an equal destiny for children and adolescents, institutes can be considered permanent organizations with specific and defined goals.

Foundations

Foundations are institutions that work in the search for resources to finance projects. Generally, they direct their activities toward the scientific, social, or cultural areas and enable the sustainability of long-term projects, so that users who started the activities do not need to interrupt the process. In this way, organizations guarantee well-structured actions that positively impact child development.

Non-governmental organizations (NGO)

Non-governmental organizations are non-profit entities and are the main references of the third sector, being heavily responsible for caring for those most in need. These organizations operate on several fronts and offer better conditions to people in areas related to health, education, citizenship, community life, etc.

How to find out if an organization is reliable?

As noble as the work developed by institutions is, many take advantage of these actions to commit scams and deceive those who think they are contributing to a real cause. The good news is that there are some tricks to find out if an organization is, indeed, serious and reliable. Check it out below:

History

Although it is not a rule, the truth is that most entities have a solid trajectory, based on serious work that is maintained over decades and is as specific as the social needs for which they operate. In addition, long-standing institutions usually present testimonials from those assisted and donors to emphasize how positively the projects carried out impact the lives of those assisted.

Transparency

In fact, serious institutions operate with transparency, especially regarding accountability and the results of the actions practiced, precisely to establish a relationship of trust.

In other words, entities truly committed to a cause take responsibility for practicing and publicizing all legal requirements of the listed certifications, such as financial reports detailing their activities, so that the numbers themselves demonstrate the impact of their good deeds.

Work

Another essential factor to discover the seriousness of an institution is to know the ongoing and projected projects and campaigns to find out how they happened and the impact they generate. The research can be done entirely online, through social media, for example.

Donor security

Without a doubt, when money is involved, maintaining donor safety is an obligation. Serious organizations also think about this and offer a practical and reliable process so that donations can be made through digital channels.

Therefore, if you choose to make a donation through an online page, it is important to check:

- the steps to complete the donation (they must be practical and objective);

- the general clarification of the destination of the resources;

- the institution's data (CNPJ and other official registries);

- disclosure of channels to contribute and clear up doubts.

These are the decisive factors to verify the integrity of an entity and to guarantee that its work is truly transparent.

By analyzing each one of them carefully, it becomes much easier to ensure that your money will actually be applied to carrying out well-structured projects and to the commitment of those who are doing their part to improve society.

Anyway, did you like discovering what the third sector is and what types of entities are covered by it? If this article was useful to you, keep an eye on the Codebit blog and don't miss any updates on the philanthropic universe.

A big hug, and see you in the next post!