The main goal of this paper is to define the concept of the association and to explore its way of working, the activity it deals with for the purpose of the association, its legal regulations and review its economic factors, such as financing methods, employment, investment and development of the association. Analyzing the regulations of the Law of Associations and other legal documents, the realistic functioning of a sports association in the Republic of Croatia is shown on an example. The evaluated sports association was researched in a way that shows the statute of the association and the possibility of making a profit. The assets and financial reports of the association, as well as the conditions and competencies of the responsible persons are described in the paper according to all the determinants set through the task of the final paper. Also, in the conclusion of the paper, the possible potentials of sports associations are elaborated and presented, as well as its shortcomings. As a final point to the selected sports association, strategies and recommendations for improving the work of associations and possible strategies for financing the work of the association were presented.