Abstract:

A non-profit entity faces multiple accountabilities as the main stakeholders are wider. Reporting is arguably one of the mechanisms to show the discharge of accountability. This paper identifies the reason for the reporting practices of foundations – non-profit entities. Using the ‘accountability reporting’ framework (Ebrahim, 2003a) the reporting practices are viewed from the legal, bureaucratic, and social perspectives. Four foundations with different legal structures are examined through semi-structured interviews, supported by document reviews. The study found that the reporting practices are guided by the perceived importance of the main stakeholder. In the absence of dedicated accounting standards, the reporting practices follows who the foundations perceive they should be accountable to the most. Different foundation undertakes reporting practices differently. The study indicates the importance of being sensitised towards the organisational and legal structure of foundation. As NPO – including foundation is established to assist beneficiaries, this main mission should always be privileged despite different organisational/legal structure. Future research may be undertaken to itemise the reporting difference among these foundations in order to identify the trend and relationship of accountability and reporting choice.