CHAPTER 1: INTRODUCTION TO NGO

Introduction
A non-government organization (NGO) is an organization that generally is formed
independent from government. They are typically non-profit entities, and many of them are
active in humanitarianism or the social sciences; they can also include clubs and associations
that provide services to their members and others. Surveys indicate that NGOs have a high
degree of public trust, which can make them a useful proxy for the concerns of society and
stakeholders. However, NGOs can also be lobby groups for corporations, such as the World
Economic Forum.

Types of NGOs in India

 Charitable Orientation...
 Service Orientation. ...
 Participatory Orientation. ...
 Empowering Orientation. ...
 Community-based Organizations (CBOs) ...
 Citywide Organizations. ...
 National NGOs. ...
 International NGOs.
A social work internship is a professional program offered by organizations .students who
are close to completing an education program or degree holders who are looking for work
experience. A social internship exposes you to society and its problems and forces you to
build value structures for those less fortunate. It gives you the opportunity to look up close
and personal at social issues where privilege, inequality, marginalization and powerlessness
lead to structural differences. All in all, it brings the values of a giving nature, empathy and
appreciation.

India has around 3.2 million registered non-government organizations (NGOs) and
Bangalore has around 945 NGOs that offers us a chance to donate your time and skills while

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gaining some valuable life experiences. I was searching around for my internship and I got
into ‘SAMAJA SEVA SAMITHI’ It was very good experience working as a intern over there.

SAMAJA SEVA SAMITI

Samja Seva Samithi currently located at 1st floor, Sadhana music building, Hayavadan Rao
Road Gavipuram extension.Established in 1992 registered under Karnataka societies
registrationact 1960 on 5th September 1994.

Samaja Seva Samithi was founded vby Mrs. Shobha and currently runs it too. Samja Seva
Samithi works in 3 verticals. Samaja Seva Samithi mainly focuses on 3 areas:

1. Empowerment of Youth
2. Empowerment of Women
3. Empowerment of neglected children and senior citizens
Started in 1992, It was registered in the year 1994, 5th September. Under Karnataka
societies registration Act 1960 in Bangalore by a team of like minded people a known figure
in the field of social work and women empowerment, Samaja Seva Samithi is targeted to
reach the youth, women, unemployed and the oppressed. The organization strives to
achieve a united and whole India, and attempts to do so by providing service to a larger
portion of the society without any distinction. The Organization aims at providing various
types of training with the view of enhancing employment options and help the recipients
become self-sufficient and enterprising. These programmes are mainly aimed at
empowering women & Youth from rural and urban areas and enabling them to become self-
sufficient and independent. Through its various activities Samaja Seva Samithi has tried to
create awareness of the various phenomena in the society and accommodate these changes
in legal system.

Samaja Seva Samithi has 26 years of journey by empowering woman youth and children
through entrepreneurship development. Samithi provides various types of skill training with
the view of enhancing employment options and help the recipients become self sufficient
and enterprising. Through its various activities Samithi has tried to create awareness of the
various phenomena in the society and accommodate these changes in legal system.

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Vision:
To establish fair just society which would provide equal opportunities for women, men and
youth in socio-economic and cultural sphere.

Mission :
1. To Empower Women/Youth through Entrepreneurship Development to improve
their economic condition.
2. To promote entrepreneurship among women and thereby empowering them to join
the economic mainstream.
3. To promote entrepreneurship among youth and thereby empowering them to join
the economic mainstream.
4. To enhance the status of women in the society, by creating a culture of
entrepreneurship amongst women in both rural and urban areas.
5. To develop successful models of youth (Cultural)for emulation worldwide.
6. The breakage of joint family culture has added its woes to this sector. There are
cases of divorce, family disputes, property disputes, and so many related problems in
the daily life therefore SSS is involved in family counselling.
7. Undertake innovative and experimental projects such as economic and educational
development projects for youth and women with focus on enlistment of weaker
sections.
To facilitate employment opportunity fot youth and women including Income
Generation Program.

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Future Plans :
• To Start Counseling & training Center for Adolescent & Youth in different aspects & Bad
affect of Social Media Network.
• To Start the Day Care Center for Senior citizens.
• Samithi plans to start Ayurveda therapy center for women.
• To establish big way & Permanent shelter for needy women & Family Counseling Center.
• To Start Free Health Clinic for Senior Citizens + Mobil Clinic

Objectives:
Women And Children Program:

1. Empowerment of women belonging to urban areas especially the slums women.

2. Formulations of self-help groups and organizing credit plus activities for urban poor
men and women.
3. Care Center for poor, destitute, handicapped, aged men and women
4. Establishing counselling and consultancy services for men, women, students and
other needy people.
5. Care Center for women and Children welfare.
6. Organizing exhibitions for the benefit of women entrepreneur.
7. Free hostel and education for dropout students.

Activities of Samaja seva samithi :

• Tavarumane- Started at 2013 for-people who are affected by family members and also
society, seva samithi shelter to consoling those distress women and single women also. The
word Tavaremane means ``MOTHER'S HOUSE `` in Kannada and it signifies the morel &
emotional security, care and support that one receives from a mother and hence we are
using it to imply the core ideal that we have to provide support and care for our women
beneficiaries like they would get it in their mother's house .

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• Ashakirana- Started at 2008 running free hostel for neglected children and giving
education and other facilities also.
• Rudraksha Family councelling center- To slove the cases of divorce, family dispute,
property dispute and so many related problems in daily life. There are cases of divorce,
family dispute, property dispute, and so many related problems in daily life therefore SSS is
involved in family counseling.

• Telephone helpline and career guidance centre for adolescent and forum of senior
citizen’s.
• Conducted many programmes/workshops in schools and colleges for outreach program,
human rights awareness program, Environment awareness program, protect the nation as
green country.

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• From past 22 years Sthree Jagruthi monthly state level magazine publishing by founder for
women’s

Lockdown service- covid19

• Food kit Distribution
• Multivitamin Tablets Distribution
• Online counselling+Physical counselling
• Tavarumane - Shelter for Needy women
• Other activities ofcovid19 (distribution of mask and
sanitizers to corona warriors)
• Family counseling-online service/ physical

Food kit Distribution

Samaja seva samithi noticed middle-class poor , selected poor families like small families of
the middle class especially priests ,poor lawyers, tailors , tutoring and single women so on
and distributed groceries to them in the month of April 1st week 2020.

Multivitamin Tablets Distribution4000 multivitamin tablets was provided by AFD company

(the donor) distributed tablets for the people who are currently serving in Samaja Seva Seva
Samith, Sthree Jagruthi patrike and Tavarumane .

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Online counseling+ Physical counseling

From different part of India Samaja seva samithi received many calls ( 24/7). Samithi running
still.. counselling center, Samithi center no in India helpline.com – national level help line.
Different types cases/ problems/depression/stress/family disputed etc case’s . All the time
samithi volunteer giving service to them.

Many of them faced food problem, shelter problem, health problem, travelling problem all
sort of grievance’s came to us and we solved at the most their needs ( counselled) them
almost all. Some of referred to legal cases also ( critical cases), more than 500 calls are
received and receiving till..

Special programs
1.Indian family system
2.Adolescent program
3.Women’s safety
4. Youth program

Occasional Programs

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 1. Raksha bandhan
2. Ram Navami
3. Celebration of internationl women’s day –“sthri jagruthi” special issue release

Millstone of the NGO

1. Personality development program Leadership camp
2. Entrepreneur Awareness programs

Swot Analysis
Strength of the NGO- Our founder mrs Shobha has contacts in all fields and dedicated staffs
Weakness of the NGO- lack of human resource,finance and office space to run NGO
Opportunities of the NGO- By their contacts and dedication to serve society they can
conduct many programmes

Threat of the NGO- Lack of funds during lockdown, insufficient number of donars
Initially Samithi was running in free building more than 10 years and then shifted to rent
building in the year 2004. (5 building change in 27 years). Now the Samithi is facing problem
for the building (shelter for needy women). They need help for fund raising for permanent
place of “Tavarumane” & “Ashakirana” project .

Sources of funds to NGO

The funds for “SAMAJA SEVA SAMITHI” is raised from :

1. government grants
2. donations
3. subscriptions
4. contributions
5. advertisements
6. private and public organizations .

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Organisation structure

Chairman /president

Vice president

Chief Functionary

Secretary Vice secretary Treasurer

Members

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Executive Committee List (2021-2022)
1. Smt Annapuranamma PRESIDENT

2. Smt Nagendra komarla VICE PRESIDENT

3. Smt Shobha H.G CHIEF FUNCTIONARY

4. Smt Manjula Aswin TREASURE

5. Smt Shashikala B.M SECRETARY

6. Smt Shobha Rani E.C. MEMBER

7. Smt Jayasheela Mallesha E.C MEMBER

8. Smt Guna sagari E.C MEMBER

9. Smt Uma Maheshwari E.C MEMBERS

Learning out come

1. Broad thinking

2. Helped us to learn and adopt a new culture and working environment

3. Character development

4. Get to deal with different people belonging to different backgrounds. Getting an

exposure to the real world problems and learn how to solve them.

5. Developing good communication skills.

6. Learning the importance of our contribution in the betterment of the society.

7. Learnt NUDI typing

Student Role In NGO

 Understanding and learning the working of the NGO
 Studying the annual reports of SSS

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  Analyzing the outcomes of the services of SSS
 Finding out the difficulties faced by SSS
 Learning different rules and regulations of NGO
 Analyzing the previous year’s final accounts.
 Conducting an event.

Activities done during internship

1. Entered NGO receipts and payments in leger book and laptoplaptop

I have entered NGO receiptes and payments of 2017-2018, 2018-2019, 2019- 2020,2020-
2021 for auding purpose and management reference so that the financial data users of NGO
can easily access to the the information and also to keep it safe if any government authority
comes for auditing the financial reports.

2. Volunteers in CM conference and NGO program

The NGO event which was held on 22nd june 2022 and 23rd june 2022 which was
organised for 2 days in Gandhi bhavan where all the NGO in karnataka front different
districts participated in that event to sale their hand and home made products which are
natural and without chemical based and which are Eco-friendly to environment. I had

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participated as an volunteer from Samaja Seva Samithi where the main guest was our
honourable chief minister ‘ Basavaraj bhomai ’ . And our NGO founder Mrs SHOBHA H. G
maam was also invited has a chief guest in these event. Other Chief guests of this program
were Smt. Shobha karanlaje- Agriculture and farmer welfare minister. Sri D. V Sadananda
gowda – Parliament member and ex- central minister. Sri V. S Kuber – president of
Karnataka border development authority. Dr. S. G . Susheelamma – secretary of Karnataka
self help group . The program was hosted by Divya Alur.

Many inspirational speeches who created wonders in many people’s life by creating self
employment like by stitching woollen sweaters and sold in foreign countries where there is
high demand for it, making variety of home made tamrind products etc. These activities are
only done by using women's so that the focus on empowering women and to make
women's independent even if they are uneducated and illiterate. There were many NGO ‘s
which actively participated in the event. Which sold hand made toys from chenpatna, had
doors and home decorative things think key chains, dollars etc from cow dunk formally
know as sagani in kannada which is the sacred thing for hindus. And front samaja seva
samithi we sold hand made jute bags with logo of GO GREEN, home made chocolates, home
made hair dye and millets powder for good health. And special distribution was the
magazine and books which was written by our NGO founder Mrs SHOBHA H. G about
women empowerment and awareness . And we also noticed some hand made and stitched
sarees by women's only and some spices snacks which were only prepared by women's
without any machines or men support. It was an amazing event were i learnt being
independent and to serve for the society.

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3. Donated books for needy students and rankers in there pervious exam We donated
books like 8 (200pg),6(100pg) and geometry box for 6 students. Apoorva and keerthana
who are studying in Grijamba Govt PU college in Basvangudi who secured 96% in their 1st
pu exam and helped them by donating book which can help in their studies. And we
donated to Brunda whi is currently persuing 3rd year B. Com and spoorthi, sujay, kishore are
10th passed out students who scored more than 90% in their exams . So our NGO donated
some books has a small help “ where small changes can make big wonders ” .

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4.Collected books fron donars and arranged the books
Collected book from the donar Nagaveni who is the radio jockey donated books and
stationer to our NGO to distribute them to the students who are in need and which this can
help them in their studies also .

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5. Field vist to ABALASHRAMA
Abalashrama is primarily a ‘Home’ and Rehabilitation Centre for orphaned girls and
destitute women between the ages of 16 and 25. In addition to providing basic needs like
adequate shelter, wholesome food and decent clothing, it imparts education and / or
vocational training suited to their ability and aptitude. The Ashrama is adopting a holistic
approach in the process of rehabilitation, the aim being to meet the immediate needs while
keeping in view the long-term aspirations and wellbeing of each individual.

ACTIVITIES ARE :

1. Suraksha - Providing Shelter & Protection leading to Rehabilitation of Women.

2. Swavalambana - Multi Skill development center for under privileged Women

3. Souhadra - Abalashrama’s priority is to take total care of totally orphaned girls till
they are totally rehabitated

4. Saphalya - The Ashram has a sales outlet SAPHALYA to facilitate marketing of

products made by residents as also by enterprising women outside the Ashrama

5. Samartha - Samartha, with Nation first as objective and a not-for-profit a joint

initiative of Abalashrama and Abhyudaya

6. Surabhi - Surabhi is a platform to explore and exhibit latent talents in young women.

7. Swasthya - It is a Multi-Speciality Medical Services facility.

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6. Visited Girijamba Govt PU College :
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Went to donated the collected books from donar Nagaveni maam to the rankers in their
perivious exam.

7. Visited Gavipuram Govt School

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We also visited govt school to distribute books to the students for ther rankers list provided
by the principal of the school and also encouraged them to score better for the next time

8.Had Workshop in NGO

1. MAKING HAND MADE TAZEL FOR SAREES :

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On 23rd of July we had in our NGO where Menaka maam was invited as a trainer for us and
thought us how to make tazels in hand without help of machines. Where she started as her
journey with help of one girl now she has employed 25 women's and all are warning good
income from these tazel work .

2 . HAIR CARE

Dr Netheavathi Ramesh who is a dermatologist, an ayurvedic doctor was invited as a trainer

about hair care. It was an effective workshop were she told how the hair grows, what the

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the vitamins need for healthy hair, which foods are good and bad for hair, which shampoos
are best, how to care hair in different seasons. Etc. Where I learnt many things how to care
my hair.

CHAPTER – 2 : INTRODUCTION TO STUDY

GENERAL DESCRIPTION OF THE STUDY

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In this study I have chose the financial accounting. Accounting is concerned with the
summary, analysis and reporting of financial transactions related to a business. This involves
the preparation of financial statements available for public use.

Government, Committee members, banks, employees, are examples of people interested in

overviewing such information’s.

PROBLEM ANALYSIS –

1. Sometimes it becomes difficult to run the NGO with limited resources.

2. It is difficult to raise funds.
3. Competition from the various organization.
4. They suffered due to pandemic.
5. Lack of managerial persons
6. Lack of office space

Many NGOs face problems with fund management, which subsequently force donors to
completely stop funding their projects. There are challenges associated with managing
finances, yet it is key to managing both income and expenses properly. In a situation
where an organization is unable to successfully manage its finances, the organization
may suffer from several problems such as excessive debts, which may subsequently lead
to the bankruptcy of the organization. In seeking relief from financial management
problems, organizations must ensure that all credit accounts are paid regularly and also
ensure that records of income and expenditure are strictly maintained. The finance
department of the organization in cooperation with other department should also plan
all the expenses that are available. Among the problems associated with non-profit
organizations when spending donor funds were cases of overspending and
underspending of projects.

PURPOSE OF STUDY –

1. To understand the working environment of an NGO.

2. To obtain the accounts and financial data of the NGO and interpret the results.
3. To know the sources of funds and users of financial data og NGO's

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 4. To the the different ways of serving society by social services
5. To find out different barriers of NGOs when it comes to management

DELIMINATION OF THE STUDY

To analyze the financial aspects like receipt and payment account, income and expenditure
account and balance sheet of the current year and previous year of the NGO and also to
interpret the results or giving suggestions.

SIGNIFICANCE OF RESEARCH PROBLEMS AND THE JUSTIFICATION FOR INVESTING IT

1. To get more number of donars to increase efficiency of operation

2. To employe more number of staff rather than two for effective management
3. To change the building for sufficient office area
4. In this NGO they do not follow a long term planning and hence sometimes they are
affected due to these reasons.
5. To Collect proper and correct information of needy people rather than donating for
everyone.

CHAPTER :3 - LITERATURE REVIEW

HISTORICAL BACKGROUND

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The NGO’s are non profit entities, were they are active for social causes. The NGO was first
introduced in Article 71 of the newly formed United Nation’s Charter in 1945. While they
are generally defined as a non profit entities that are independent of government influence.

According to the UN Department of Global Communication, an NGO is a ‘not for profit

voluntary citizen’s group that is organized on a local, national or international level to
address issues in support of the public good.’

According to the survey conducted by Society for Participatory Research in Asia(PRIA), 73%
of NGO have one or no paid staff. They also revealed that 26.5% of NGO are engaged in
religious activities, 21.5% work in the community or social services and one in five work in
education, 17.9% are in the area of sports and culture and 6.6% work in the health.

NGO’s are classified based on their –

Orientation- The type of activities an NGO undertake such as activities involving human
rights, environment health, etc

Level of operation- It indicates the scale at which an organization works like local, regional,
national or international.

ADVANTAGES OF NGO:-

1. More actor oriented – Especially empowerment NGOs tend to take up need based
activities. Through studies relating to situation and needs of the people they seek to
find out answers.
2. Flexible in methods and practices – Empowerment NGOs and social action groups
exhibit a high degree of flexibility in their functions, methods and practices because
they tend to be local and small. A survey of 16 NGOs in Karnataka revealed that the
number of villages covered by 7 NGOs ranged between 30 and 50 and the number
covered by four ranged between 50 to 100 villages. The available studies also
suggest that this is a widespread phenomenon. Such a small geographical enables
the NGO to be flexible in methods and practices of formulation, implementation and
monitoring of the programmes.
3. Relative independence – With autonomous governing boards, the development
programmes of empowerment and development NGOs enjoy relative independence.

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 Under the government programmes the benefit meant for poor are largely
appropriated by the non poor because of the control of local power structures.
4. Comparative advantages – Unlike government agencies, the NGOs tend to be highly
motivated and are prepared to accept the hardships as a challenge rather than as a
punishment. A comparative study between programmes for small farmers initiated
by the government through IRDP and NGO in Mangalore district in Karnataka found
better results in the activities conducted by them.
5. Tax exemption – Non profits are exempted from taxes which is a huge relief from an
organization who relies mainly on donations and grants.

DISADVANTAGES OF THE NGO –

1. Expenses – NGO require capital to begin operations and they are not exempted from
that. Before achieving tax exemption, certain fees need to be paid which the founder
will normally should.
2. Documentation – Though they are exempted from taxes governments do not simply
approve of their requests. Hence a long process takes place. This consumes a lot of
time and energy.
3. Control – It sometimes becomes difficult to manage given the differences in opinions
with regards to decision making matters, if there is an increase in the difference it
may lead to conflicts.
4. Subject to public scrutiny – They are considered to be public interests and therefore
have to present everything to the public and they need to be transparent

Laws in India classify organizations working in development into three categories:

charitable funds, companies and section 25 companies. Whether registered as a trust,
partnership or corporation, NGOs are subject to the Companies Registration Act 18607
Financial Analysis of ‘SAMAJA SEVA SAMITHI’, an service NGO Department Of Commerce
June-July 2022 and the Income Tax Act 1961. Trusts are subject to the Public Trust Act
(1976) and apart from federal regulations governed by the State Office of the Charity
Commissioner. Organizations receiving foreign funding must comply with the Foreign
Contributions Regulation Act 1976 and are regulated by the Home Office

The following are the various tax deductions that are available for NGOs –

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 1. Donations under the age of 80G – Donors can deduct contributions to trusts,
societies that are registered under Section 8 If the funds are from government they
are entitled to a 100% deduction, if its from non government entities they are
entitled to 50% deduction.
2. Foreign Contribution Act of 2012 – All NGO accepting the contribution from foreign
countries they need to register with the government at the national level.
3. Registration under section 12A – According to the Income Tax Act 1961 such
registration helps you get the exemption on the income from the trust. This is not
compulsory, the registration is valid for only 5 years.
4. FCRA Return – It can be submitted to the ministry of Home affairs annually or
quarterly. It must be filed using Form FC – 4 which includes the charitable activities
of the organization

EMPERICAL STUDY
1. NGO and Its Impact on Poverty Reduction in Karnataka: An Analysis

HC Ramesha, KC Basavaraju

The role of NGOs in reducing poverty is not a new issue. Especially since the post World War
II, NGO involvement in poverty reduction has become a mainstream. They have been
engaged in relief, emergency or longer-term development work or the mixture of all three.
Although the evidence on NGO performance in poverty alleviation is mixed, up to now, it is
generally assumed that NGOs have the institutional capacity to reduce poverty. It is also
frequently argued that compared to the government, NGOs have comparative advantages.
As stated by van der Heijden, their comparative advantages are:“their ability to deliver
emergency relief or development services at low cost, to many people, in remote areas;
their rapid, innovative and flexible responses to emerging financial and technical assistance
needs at the grass roots level; their long-standing familiarity with social sector development
and poverty alleviation; their experience with small scale development projects as well as
with those requiring a high degree of involvement by, and familiarity with, the concerned
target groups”. As part of their commitment to realize the targets of MDGs in 2015, the
NGOs have greater opportunity to increase their roles in reducing poverty especially in the
developing countries. The purpose of this article is to describe and to analyse the roles of

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NGOs in alleviating poverty in rural areas in two developing countries like India. In the
country, since their independence, NGOs have important contributions in increasing the
welfare of the poor people. Many NGOs have various activities to empower the poor
people. Poverty has been a firm and importunate problem in India, all the way through the
independence to decades after that. Role of NGO, especially in a country like India, is very
crucial. In fact, according to current statistics, a huge chunk of the Indian population is still
below the poverty level. Not to mention, the focus of elections and all other political
agendas have been around the concern. Various government subsidies and poverty
amelioration mechanisms have been incorporated in the country.

2 . NGO micro finance and socio-economic development of women–a case study of

Karnataka

Gowda KM Srinivasa

In this paper an attempt is made to review the current status of micro finance sector in the
state of Karnataka, in terms of potential demand for micro finance services, current level of
outreach and supply in relation to the potential, and extent of involvement of various types
of institutions. The rural bankers, NGOs and some government functionaries have done
splendid work in the development of self-help groups in the state of Karnataka. The state of
Karnataka has been a pioneer in the programme of SHG Bank Linkage and is indeed hailed
as a laboratory for micro finance innovations. Under the “Stree Shakthi” programme of
Government of Karnataka, the Department of Women and Child Welfare is actively involved
in the promotion of SHGs. On the other hand the Regional Rural Banks have themselves
promoted thousands of SHGs and have credit linked them a commendable service indeed.

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 CHAPTER -4 : METHODOLOGY

A BREIF OUTLINE OF THE CHAPTER

In this study I have collected the data from the published articles, information directly
collected from the NGO were I work as an intern and I have also used the tables and graphs.

RESEARCH DESIGN AND METHOD

Research design and method is the framework of research methods and techniques chosen
by a researcher to conduct a study. Hence, this will help the researchers to understand the
study more effectively and efficiently.

In this study the focus is to study the accounts and financial data of Samaja Seva Samithi.

STUDY AND SAMPLING OF THE DATA

In this study I have used the direct and personal interview method which helps us to gather
the information from various people related to the subject matter. This helps us to give a
accurate answers to the asked questions.

Sample size is 30.

DATA COLLECTION

Here I have used both qualitative data and quantitative data. Also primary information and
secondary information to help the study. This research will also include the use of Internet
resources in obtaining relevant information about NGOs, their functioning and financial
management practices in this case; primarily secondary data would be used to obtain
information

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CHAPTER :5 – PRESENTATION AND ANALYSIS
OF DATA
Data analysis is the process of systematically applying statistical and logical techniques to
describe and illustrate, condense, recap and evaluate data.

There are four types of data analysis-

 Predictive
 Descriptive
 Prescriptive
 Diagnostic analysis

ANALYSIS OF INCOME AND EXPENTIDURE OF SAMAJA SEVA SAMITHI

Income of the NGO:

The income of the organization depends on:
• Rudraksha Family Counselling Center – Central Social Welfare Board
• Tavarumane (Shelter for Needy Women)
• Human Rights – Workshop – KSHRC
• Vishwa Parisara Dinacharane
• Ayurvedic Camp Programme
• Senior Citizen’s Identity Card Issuance Activity
• Beautician Course
• Raksha Bandhan Activity
• Ramanavami Celebration
• Women Livestock Camp – Bidar
• Carrier Guidance and Psychological Counselling – Bidar
• 80G Donation
• EAP and EDP and other Training
• Hundi Collection
• Interest on Saving Bank

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 • Internship Training – Students
• Legal Awareness Program – State Women’s Commission
• Membership Fee, etc.

Table showing Income of the Organization

Year Amount Increase Percentage

/
Decrease

2017 13,43,136 - -
2018 11,72,727 -(1,70,409) -12.69%

2019 16,08,390 4,35,663 37.15%

2020 8,06,856 -(8,01,534) -49.83%

2021 6,63,513 -(1,43,343) -17.77%

2022 9,23,922 2,60,409 39.25%

Expenditure of the NGO:

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 Chart Title
95%
85%
75%
65%
55%
45%
35%
Axis Title

25%
15%
5%
1 2 3 4 5
Year 2017 2018 2019 2020 2021 2022
Amount 13,43,136 1172727 1608390 806856 663513 923922
Increase / Decrease - -170409 435663 -801534 -143343 260409
Percentage - -0.1269 0.3715 -0.4983 -0.1777 0.3925

• Corona Relief Service Work

• Jalashakthi Abhiyana – Sponsorship – NYK
• Rudraksha Family Counselling Center – FCC
• Tavarumane (Shelter for Needy Women)
• Public Library Expenses
• EAP and EDP and other training
• Internship Training – Students
• Legal Awareness Programme – State Women’s Commission
• Atmanirbhar Bharat – Women’s Day
• Raksha Bandana Programme
• Wall Painting of Corona Awareness – NYK
• Maintenance of Public Library
• Women's day Celebration
• Environment Day Celebration
• Travelling Expenses
• Eco Brick Training
• Fit India Education Programme at School – (Bidar Branch)
• Distribution of free Books in School – (Bidar Branch)
• Training about Waste Material Management – (Bidar Branch), etc.

Dept of B.com Jane – July 2022 pg No:30

Table showing Expenditure of the Organization

Increase
Yea Amount Percentag
/
r e
Decreas
e

201 13,09,423.0 - -
7 3
201 12,58,069.8 -(51,353.17) -3.92%
8 6
201 15,98,972.1 3,40,902.24 27.10%
9 0
202 7,92,710.64 - -50.42%
0 (8,06,261.46)
202 7,41,591.35 -(51,119.29) -6.45%
1
202 6,80,936.40 -(60,654.95) -8.18%
2

Dept of B.com Jane – July 2022 pg No:31

 Chart Title
85%
65%
45%
25%
5%
1 2 3 4 5
Axis Title

Year 2017 2018 2019 2020 2021 2022

Amount 1258069.86 1598972.1 792710.64 741591.35 680936.4
13,09,423.0
3
Increase / -51353.17 340902.24 -806261.46 -5119.29 -606654.95
Decrease -
Percentage -0.0392 0.271 -0.5042 -0.0645 -0.0818
-

ANALYSIS OF BALANCE SHEET OF SAMAJA SEVA SAMITHI

FIXED ASSTES :

Table showing Fixed Assets of the Organization

Year Amount Increase / Percentage

Decrease

2017 13,65,050 - -
2018 13,95,487 30,437 2.23%

2019 14,62,060 66,573 4.77%

2020 14,72,900 10,840 0.74%

2021 14,66,160 -(6,740) -0.46%

2022 14,61,049 -(5,111) -0.35%

The fixed assets in the NGO are Furniture and fixtures, office equipment’s, Machinery (Files
and Envelops Mfg.), Computers, Fashion Design Sewing Machines, Printer and CD Writer,

Dept of B.com Jane – July 2022 pg No:32

 Chart Title
1500000
1300000
1100000
900000
700000
500000
300000
100000
Axis Title

-100000 1 2 3 4 5
Year 2017 2018 2019 2020 2021 2022
Amount 13,65,050 1395487 1462060 1472900 1466160 1461049
Increase / Decrease - 30437 66573 10840 -6740 -5111
Percentage - 0.0223 0.0477 0.0074 -0.0046 -0.0035

Kitchen Vessels, Agricultural Land at Gowanahally - (By gift deed), Furniture and Fixtures
of Bidar and Camera – Bidar Branch.
In the year 2018 the organization bought Sports Kit of Rs 40,000.
In the year 2019 the organization bought CC Cameras, computer table, laptop, desk top,
Dressing table, chairs, wooden cot and stand for Rs 74,500.
In the year 2020 the organization bought Computer for Rs 17,580 for its Bidar branch.
The fixed assets of the organization are being regularly depreciated every year @15%
The assets of the NGO has been increased due to purchase and decreased due to depreciation..

LOANS AND ADVANCES :

Table showing Loans and Advances of the Organization

Year Amount Increase Percentage

/
Decreas
e

2017 12,70,164 - -
2018 13,96,481 1,26,317 9.94%

Dept of B.com Jane – July 2022 pg No:33

 2019 14,32,221 35,740 2.56%

2020 15,19,902 87,681 6.12%

2021 13,42,042 -(1,77,860) -11.70%

2022 4,62,283 -(8,79,759) -65.55%

Chart Title

1750000

1250000

750000
Axis Title

250000

1 2 3 4 5
-250000
Year 2017 2018 2019 2020 2021 2022
Amount 12,70,164 1396481 1432221 1519902 1342042 462283
Increase / Decrease
-750000- 126317 35740 87681 -177860 -879759
Percentage - 0.0994 0.0256 0.0612 -0.117 -0.6555

The organization granted Loans for majorly two Self Help Groups, that are Sneha Swa
Sahaya Sangh and Sammilana Swa Sahaya Sangha.
Sneha Swa Sahaya:
In the year 2017 it was Rs 1,24,284, in the year 2018 it was Rs 3,34,154, in the year
2019 it was Rs 3,82,914, in the year 2020 it was Rs 4,39,814 and in the year 2021 it
was Rs 5,04,361.
Sammilana Swa Sahaya Sangha:
In the year 2017 it was Rs 1,66,190, in the year 2018 it was Rs 2,98,000, in the year
2019 it was Rs 2,70,720, in the year 2020 it was Rs 3,10,155 and in the year 2021 it
was Rs 4,73,748.
The organization had to receive Rs 1,00,000 from Central Social Welfare Board-
Family counselling center and Rs 2,74,363 from Youth and Adolescent Programme

Dept of B.com Jane – July 2022 pg No:34

in the year 2017. In the year 2018 it had to receive Rs 1,44,000 from Central Social
Welfare board-FCC and Rs 15,000 from an 80G Donor. In the year 2019 it had to
receive Rs 2,88,000 from Central Social welfare Board-FCC and Rs 10,000 for
Vivekananda Jayanti. In the year 2020 it had to receive Rs 6000 from Nehru Yuva
Kendra-BLR Rural and Rs 2,88,000 from FCC. In the year 2021 it had to receive Rs
2,88,000 from welfare Board. In the year 2022 it had to receive Rs 2,88,000 from
welfare Board.

CASH BALANCE :

Table showing Cash Balances of the Organization

Increase
Yea Amount Percentag
/
r e
Decreas
e

201 4,75,729.4 - -
7 7
201 1,78,028.6 - -62.58%
8 1 (2,97,700.86)
201 2,70,318.5 92,289.90 51.84%
9 1
202 2,54,024.8 -(16,293.64) -6.03%
0 7
202 1,25,646.5 - -50.54%
1 2 (1,28,378.35)
202 4,25,058.1 2,99,411.6 238.30%
2 2

Dept of B.com Jane – July 2022 pg No:35

 Chart Title
650000
450000
250000
50000
-150000 1 2 3 4 5
Year 2017 2018 2019 2020 2021 2022
Axis Title

Amount 4,75,729.47 178028.61 270318.51 254024.87 125646.52 425058.12

Increase / Decrease -297700.86 92289.9 -16293.64 -128378.35 299411.6
-
Percentage - -0.6258 0.5184 -0.0603 -0.5054 2.383

Cash in hand:
In the year 2017 the cash in hand in the head office was 2,643.93 which was increased to
11,367.11 in 2018, in the year 2019 it was increased to 17,367.11, in the year 2020 it

decreased to 2,489.82, in the year it increased to 3,547.82 and on 31st march 2022 it was
again decreased to 2796.32. in case of Bidar branch it was 20,025 in the year 2017, in the
year 2018 it was increased to 30,890, in the year 2019 it was increased to
32,368, in the year 2020 it was decreased to 2,426, in the year 2021 it was decreased to
1,630 and in the year 2022 it was increased to 2,940.

Cash at Bank:
In the year 2017 the cash at bank in the head office was 57,053.5 which was decreased to
34,206.5 in the year
2018, in the year it was increased to 63,053.40, in the year 2019 it was decreased to
58,484.35, in the year 2020 it was increased to 94,112.05, in the year 2021 it was increased
to 1,04,463.70 and in the year 2022 it was increased to 4,13,066.80. In case if Bidar branch,
it was 15,174, which was decreased to 5,565 in the year 2018, in the year 2019 it was
increased to 5,745, in the year 2020 it was increased to 5,828, in the year 2021 it was
increased to 16,005 and in the year 2022 it was again decreased to 6,225.
Based on the above available data, we can know that cash balance in the organization is not
constant and in the year 2021 due to COVID-19 and lack of availability of funds the
organization showed the lowest balance.

Dept of B.com Jane – July 2022 pg No:36

INTERPRETATION :
As per the data SAMAJA SEVA SAMITHI NGO financially not stable this could be because
of huge debt or the crisis that occur during pandemic and the many program were closed
during that year because lack of financial and human resource support . We can also see the
recovery or the improvement towards the finance and should be working towards that .

LIABILITIES :

Table showing unsecured loans of organisation

Year Amount Increase Percentage

/
Decrease

2017 599349 - -
2018 420349 -(179000) -29.87%

2019 449900 29551 7.03%

2020 442400 -(7500) -1.67%

2021 183195 -(259205) -58.56%

2022 188195 5000 2.72%

Dept of B.com Jane – July 2022 pg No:37

 Chart Title
550000

450000

350000

250000
Axis Title

150000

50000

-50000 1 2 3 4 5
Year 2017 2018 2019 2020 2021 2022
-150000
Amount 599349 420349 449900 442400 183195 188195
Increase / Decrease - -179000 29551 -7500 -259205 5000
Percentage - -0.2987 0.0703 -0.0167 0.5856 -0.0272

In these organisation the borrow loans from the committee members and sthri jagruthi. In
the table the negative indicates decrease in loans by repaying back to the borrows and the
postive indicates increase in the loans has it has borrowed. In 2021 due to covid -19 the
NGOs operation was stop so that it has not incurred more loan and decreased by 259205. In
2019 the loans have increased by 29551. In these organisation they do not borrow any loans
from banks and financial institutions.

INTERPRETATION :
As per the data SAMAJA SEVA SAMITHI NGO financially not stable this could be because
of huge debt or the crisis that occur during pandemic and the many program were closed
during that year because lack of financial and human resource support . We can also see the
recovery or the improvement towards the finance and should be working towards that .

Dept of B.com Jane – July 2022 pg No:38

CHAPTER – 6: RECOMMENDATION AND
SUGGESTION
According to the study in the Samaja Seva Samithi they should reduce the spending
expenditure on the other promotional activities because they have already spent on the
publicity and promotional activities, by following this they can use the fund more efficiently.

They should reduce borrowing loan and use different strategy for maintaing cash effectively
so that the liabilities decrease and cash balance will be increased in which these cash
surplus can utilized in emergency situation like covid -19 which are unexpected and
unavoidable cases.

In these NGO before donating money, books, stationary etc they have to check or ensure
before denoting it. It has to be denoted to right and needy peoples so that it can help them
to fulfil their needs.

Based on the above analysis, it appears that some organizations are careful and follow an
effective financial management system, while others are not. When these NGOs figure out
their financial management by installing a new information system, the accuracy, speed and
present ability of financial operations within these institutions will increase. This would help
reduce the incidence of misuse of donor funds while increasing the accuracy of financial
allocations. The introduction of a financial management procedure and policy manual and
the development of better financial infrastructures would also improve the effective
management of financial resources. Employees usually grow with innovation, so
implementing such a system would boost their morale and make them perform their duties
to perfection. Social responsibility is the driving force behind the current organization.

CONCLUSION

Dept of B.com Jane – July 2022 pg No:39

This study shows how effectively the NGO strives to work. It provides an overview of the
roles of NGO’s and their relation to the society. NGO activism will likely become an even
greater fixtures on the world stage especially by those who view the world as a global
village. NGO accountability and best practices need to keep pace with updated
accountability applications by government.

An NGO's accounting books are different from a company's, the NGO's only income is
donations, but its expenses are higher than its income. There are various legal restrictions
that NGOs have to follow under FCRA Act, Income Tax Act and Government Legal Policy. The
work of NGOs is complicated, but it will have a huge impact on the welfare of society.

Financial management is essential to the success of any organization, whether private,

governmental or non-governmental. Successful businesses have a very detailed view of their
finances and as a result make the right decisions at the right time, which ultimately leads to
success. Most businesses have a well-organized finance department that is responsible for
managing the company's accounts and finances. On the other hand, NGOs generally do not
consider financial management a priority and lack sufficient financial knowledge.

NGOs often work hard in addition, a revamped application and follow up review process
can help streamline ways like minded NGOs can work together namely human rights,
environment, health care, etc.

The increasing number of NGOs worldwide may ineffectively bloat civil society if then do not
form alliance among themselves to advance their causes.

NGO's plays an important role in helping out the common man with their rightful demands
and also try to help needy people in every possible way. The first and foremost the NGOs
are responsible for disseminating education among the people at large and making them
aware of their rights.

Although the aim and mission of all NGOs are almost the same; however, their management
system and approach to work are different. The main challenging issues in an NGO are
usually financial matters, HR, management skills and internal communication. The second
group of challenges falls into two subgroups and has either a national or international

Dept of B.com Jane – July 2022 pg No:40

scope. Registration, relationship with government organizations, interaction with the private
sector are the most important challenging issues at the national level; and religion, politics,
internationalization and the financial crisis are key issues at the international level.

Samaja Seva Samithi has made tremendous work in betterment and serving the society by
its activities like “Tavarumane, Ashakirana, family counselling center etc ”. It has been
recognized has one of the best NGO in Karnataka

REFERENCE

https://samajasevasamith.org

https://abalashrama.1ngo.in

https://scholar.google.com

https://vakilsearch.com/advice/indian-ngo-laws-and-legal-compliance/

https://en.wikipedia.org/wiki/Non-governmental_organization

Dept of B.com Jane – July 2022 pg No:41

Dept of B.com Jane – July 2022 pg No:42