Charity Start Up

Setting up a charity can seem like a good idea - until you get bogged down in the paperwork! So where do you start and how do you go about it?

• Work out if your cause is actually for the “public benefit” (see charity commission for details of what counts and right for the full list).  Remember that you must be able to provide evidence that your purpose is for the public benefit;
• Remember that with the changes in the Charities Act 2006 (generally) only charities with an annual income above £5,000 must register with the Charity Commission;
• Think of a name for the charity;
• Work out how you will raise the money in order to support the charity – put a funding plan together;
• Assess how will you operate – will you join together with another charity or operate on your own?
• Decide how you will recruit Trustees to run the charity – ensure that they have a good mix of skills that will be useful to the running of the charity and will not benefit financially from the position;
• Decide what kind of governing document the charity will require (see charity commission report CC22);
• Now get the registration pack from the Charity Commission, complete it and send it back to the commission.  They will decide whether you should become a charity;
• Ensure you know what your ongoing duties and responsibilities are.

If you go to document CC21 on the Charity Commission website, this should help you follow the correct set up procedure.

When you have set up, it is important that you set up good procedures and processes to ensure that the charity runs well and that best practice is adhered to.  For example, you should have a strategic plan that incorporates a financial and fundraising strategy, a marketing plan and PR that help evaluate risk and so on. 

For further help, it is worth visiting the Charity Commission website.

Charity Business offers a consultancy service which may be of use at this stage.