Main Types of Foundations
Foundations are classified in four categories according to their main source of financing, the composition of the Board and distribution of funds:
- Independent,
- Foundations sponsored by the state,
- Corporate and
- Community foundations.
Most foundations at home and abroad are of an independent type, the majority are not financed by a company or a government agency.
Second category is a public foundation, which includes foundations created by the city or county governments or institutions, or by the state. Fixed assets of such foundations are assigned from the state budget which annually transfers a certain amount of money to them.
The third category are corporate foundations, which, unlike in Western countries, are still very poorly represented in Croatia. These foundations are established, supported and run by a company or a corporation. The objectives of a corporate foundation are associated with the operations of the company and the area it addresses.
The fourth category are community foundations. Donors are local people and local businesses who with their donations support schools, associations and can increase the level and quality of services in health care facilities or environmental protection.
In addition, we distinguish following types of foundations: (i) the operational foundations conducting their own programs, (ii) foundations that operate through the allocation of financial support via public tenders, (iii) foundations that operate for the public good, and (iv) endowments acting for private purposes.
