Importance Non-profit organizations concurrently act as producers of social benefits and market actors, thus being a reason for the specifics of their financial problems. The article points out challenges that are typical of the contemporary financial mechanism of non-profit organizations. Methods Using a systems analysis, I determined the specifics of contemporary non-profit organizations’ finance, pointed out and structured key difficulties in forming and using financial resources of non-profit organizations. Although the research was based on the analysis of challenges non-profit organizations faced, the findings might be applied to the financial mechanism of any non-profit organization in any economy. Results I pointed out and structured key difficulties in forming and using financial resources of non-profit organizations. Conclusions and Relevance As part of its contemporary operations, non-profit organizations have to evaluate its finance sources, choose cash inflows and income, determine the most appropriate types of monetary income, etc. Income-generating activity influences indicators of performance, sustainability and exposure to risks. While financial resources of non-profit organizations are formed, the entity addresses and resolves issues arising from its operations, thus influencing the resource formation process.
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