Not all organisations have the same purpose. This may depend on the sector that the business operates in as to what their main aims will be.

Organisations in the Private Sector tend to be owned by private individuals who invest their own money, resources and time into the organisation, so as a result typically expect to make a profit from their business.

However, organisations in the Public Sector tend to be owned by charities or the Government. This means that making a profit is not as important to them, with more of the focus being on providing a good quality service. Government organisations are typically funded though the tax that Government collect from all of us.

If you look around your High Street you should find many different examples of both Public and Private sector organisations. Just ask yourself who owns the organisation? What is the main purpose of the organisation?

Sometimes there will be organisations in the Private sector who do not aim to make a profit. These are typically known as “not for profit” organisations. The best example of these is charities, which will reinvest all of the profits that they make from their operations back into their organisation. This tends to mean at the end of the year these organisations will break even.




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