The Third Sector – also sometimes referred to as the Voluntary Sector or Community Sector - is the collective term used to refer to groups or organisations that operate on a not-for-profit or community benefit basis. The term distinguishes these groups and organisations from profit-making businesses (the Private or Business Sector) and Government departments or local authorities (Public Sector).

In Scotland, the work of the Third Sector is vital to both the economy and to the quality of life for the individuals who live here. Together, the groups and organisations that make up the Third Sector, delivers a wide range of high quality, value-for money services aimed at providing community benefit and improving the lives of individuals within a community.

Third Sector groups and organisations vary not only in size and structure, but also in the nature and scale of their activities and services.

They include:-

small groups - such as village hall committees, leisure groups and youth clubs
social enterprises - such as Community Interest Companies or Development Trusts running community shops and garages
small charities specific to a particular geographic community or a community with a shared interest
larger charities and organisations offering vital health and welfare services such as those involved in cancer care or respite
grant making trusts supporting the work of charities and volunteer groups
housing associations providing affordable housing and improvement schemes

Common to all Third Sector organisations and groups is the significant input from volunteers - people giving freely of their time to drive forward and provide vital services and activities. A large percentage of small groups and organisations are run entirely by volunteers, and every community group, club, charity, social enterprise - large or small - will include volunteers at committee or board level, even where paid staff manage the day to day running of services or activities.

The Third Sector

Other Community Toolkit Topics to look at: