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20 de December de 2022

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How can the Third Sector be self-sustainable?

Did you know that there are more than 800,000 Third Sector organizations in Brazil? The number is from the Institute of Applied Economic Research (IPEA), referring to 2021. But, despite being present in all Brazilian municipalities, many of them run the risk of closing their doors, either because they are in an irregular situation, or for lack of resources. 

  •     When we talk about the Third Sector, we basically think of donations. But there are several ways to raise funds for a Civil Society Organization:
  •     individuals;
  •     international transfers;
  •     companies;
  •     partnerships with other institutes and foundations;
  •     transfers from public authorities;
  •     events;
  •     prizes;
  •     own generation of resources. 

The latter provides what we call self-sustainability. That is, it allows the institution of the Third Sector not to depend exclusively on sources of income that are articulated with other individuals and legal entities.

How can the Third Sector be self-sustainable?

For this reason, more and more organizations are betting on this type of income generation activity. Some are simpler and hold craft bazaars and fairs. Another way is by renting spaces and equipment, for example. 

Another possibility is to invest in equity funds. These structures are created for the most diverse causes of collective interest. This is because they allow organizations to build a solid financial base, capable of sustaining or complementing their activities with resources generated from responsible management of this asset. 

By structuring funds of this nature, organizations become less dependent on new donations and sponsorships, achieve greater financial stability and ensure their operational viability, allowing them to organize and grow sustainably. 

In addition, it is also possible to license products or services. In this case, an organization assigns its name, logo or character to a company, associating the object with the institution. Every time someone consumes that product or service, part of the profits goes to the organization that licensed it..

Finally, there is the possibility for the Third Sector organization to invest in the creation of its own products and services. They may or may not be connected to the institution’s mission and may or may not be generated within the structure of the social organization itself. 

The Instituto Ramacrisna was one of the pioneers in generating its own resources, working with the production of fences since the 1970s. Ramacrisna Fences ells to all Brazilian states and uses raw material from Belgo Bekaert, synonymous with quality. 

With automated, modern and highly efficient equipment, the factory produces with excellence and delivers quickly and on time. In the company, you will find products such as fencing for sports fields, kennels, industries, farms and farms, specific screens for fish farming and poultry, and PVC coated screens, among others. 

All profits are reverted to the maintenance of Ramacrisna’s projects. To give you an idea, the resources from the fences pay for 22,000 annual visits. That is, a purchase represents a change in the lives of children, young people and adults.

Closer to customers

To facilitate the sale of fences, Ramacrisna inaugurated, in 2022, the first Belo Cercas franchise in the state. With an area of ​​180 m², the new business is located at Avenida Nossa Senhora do Carmo, 1275, Sion, in Belo Horizonte. 

The store offers several options of high quality products with the Belgo Cercas brand and wires manufactured by Cercas Ramacrisna with Belgo raw material. Just like at the Ramacrisna headquarters, all profits from the store are reverted to the Institute’s social actions

Want to know more? Contact us.

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