Establishment of a non-profit organization

Establishment of a non-profit organization

If you want to start a non-profit organization, do not hesitate to contact us at [email protected] or by phone at +421 948 383 363.

Law no. 213/1997 Coll. as amended by Act No. 35/2002 defines a non-profit organization providing generally beneficial services as a legal entity that provides generally beneficial services under pre-determined and equal conditions for all users and whose profit may not be used for the benefit of founders, members of bodies or its employees and must be used in its entirety to ensure generally beneficial services.

Amendment No. 35/2002 incorporated the principle of non-profitability into the original definition of a non-profit organization, which distinguishes a non-profit organization from business entities. The essence of this principle lies in the fact that, although a non-profit organization may, in addition to providing generally beneficial services, perform independently in its own name and at its own responsibility other activities for the purpose of achieving profit, this activity may not directly or indirectly lead to the material benefit of its founders, members of the bodies , nor employees . The profit after tax must be used by the non-profit organization to provide the generally beneficial services for which it was established.

Generally beneficial services are in particular:
a. provision of health care
b. provision of social assistance and humanitarian care
c. creation, development, protection, restoration and presentation of spiritual and cultural values
d. protection of human rights and fundamental freedoms
e. education, upbringing and development of physical culture
f. research, development, scientific and technical services and information services
Mr. creation and protection of the environment and protection of the health of the population
h. services to support regional development and employment
i. ensuring housing, management, maintenance and renovation of the housing stock


If a non-profit organization is to provide services according to special regulations, e.g. social, health services, can provide these services only if it meets the conditions for their provision regulated by special regulations.

A non-profit organization can be established by a natural person, a legal entity or the state, if this is not excluded by a special law (Act No. 523/2004 Coll. on Budgetary Regulations, as amended). In a non-profit organization, you will need at least 5 people to make up the bodies (3 people, the board of directors, the director and the auditor). It is established by a charter signed by all the founders. The authenticity of the signatures of all founders must be officially certified.

A non-profit organization can be founded by one founder, the authenticity of his signature must be officially certified. The charter can also be concluded by a proxy who has the power of attorney to do so. A power of attorney with an officially certified signature shall be attached to the charter.

A non-profit organization is obliged to publish an annual report in the register of financial statements every year. The annual report is deposited by the non-profit organization in the public part of the register of financial statements by July 15 at the latest.