Research On Fund Operation Efficiency Of Non-Profit Foundation Organizations

The establishment of the foundation in China can be traced back to 1981,the foundation established at that time was China Children and Teenager's Fund.With the development of economy and society,China's foundations have developed rapidly in just over 30 years.By 2019,the number of foundations has reached more than 7,000.At the same time the types of foundations have been increasing including the emergency of family foundations,community foundations,and university foundations.The public welfare projects funded and operated by the foundation cover a wider range.And foundations have played an active role in poverty relief,natural disasters,and cultural education.However,the foundation organization exposed a series of problems in capital operation during the development process.In particular,the unreasonable use of donated funds lowered the organization's own capital operation efficiency,and the public trust and credibility of the foundation organization were gradually consumed.It is extremely urgent to solve the problems encountered in the operation of the funds of the non-profit foundation organizations in China.Funds is the primary factor in maintaining the survival and development of non-profit organizations.The quality of capital operation and management directly affect the development of the organization.Based on the principal-agent theory and MM theory,this paper studied the influencing factors of fund operation efficiency in China.The study found that the increase of the foundation's self-generated income will affect its own donation income,but will improve the organization's operational efficiency,indicating that the fund operation is still a problem worthy of foundation concerns.At the same time,the L Foundation was selected as a specific case to study the efficiency of capital operation since its establishment.By analyzing the problems existing in the development of the L Foundation and proposing corresponding countermeasures,we can help the foundations represented by the L Foundation to solve related problems and hold a better development.