Different types of NPO’s
The three most basic types of NPC’s are:
1. Voluntary Associations
The voluntary association is the most common legal form for not-for-profit organisations in South Africa. No office of registry exists for voluntary associations.
Forming a voluntary association requires only that three or more people agree to achieve a common goal, primarily other than making profits.
The agreement may be oral or written, though it is customary for the agreement to take the form of a written constitution. Voluntary associations are a product of the common law and are not regulated by statute.
2. Trusts
Trusts must register with the Master of the Supreme Court under the Trust Property Control Act, but may also voluntarily register under the NPO Act. Their founding documents are called Trust Deeds.
3. A Non Profit Company
In terms of the Companies Act 71 of 2008, a Non Profit Company (NPC) is registered at CIPC with a Memorandum of Incorporation (MOI) as its founding document (previously called Section 21 Companies).