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An independent project is a kind of project that is initiated and excited by an individual where is fund is received from somewhere or not. People might say anything independent project must be funded by the individual but that is not true, but what makes a project independent is the ability to initiate and be the same person to execute.
For Example, in my country we have a mandatory one year program that is designed for us to serve our father's land and during this service we are expected to do some project that will benefit the community we are posted to serve either as a group or as an individual. We must not use our money for any of the project, we seek for funds from member of the community to execute the project we have in mind to do and when we do it as an individual or a group we take a the glory without making a reference to where we got the fund for the project we have executed, so because we have seek for fund from the community does not make the project a non-independent project.
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Example of an independent project
The above illustration is just example of one of the few cases where you can categorize your project as an individual project even though fund is received from a source that is not of the project owner.