healthcheck-step-1 Created with Sketch. 1 image/svg+xml
Business, taken personally.

WHAT IF A CHARITY ISN’T THE RIGHT OPTION..?

Posted by Nick Dent on 13th October 2015

Not every good intention has to result in a new charity being registered.

There might already be a charity with similar objectives that has been registered and is delivering the outcomes that you want to achieve.  Are you able to approach this charity and offer your services, either as a volunteer or as a trustee?

Rather than register a charity might it be better, for example, to set up a named fund to raise money for a one-off event such as a disaster?  Or if you want to generate an income from the enterprise do you need to set up a business?

If you want to set up a business that has social, charitable, or community-based objectives, you can set up as:

  • a company limited by guarantee or by shares
  • a co-operative
  • an industrial and provident society
  • a community interest company (CIC) or
  • a sole trader or business partnership

A limited company is the most frequently adopted corporate legal structure and can be adapted to suit most purposes.  A community interest company (or CIC) is an effective limited company structure for social enterprise with secure ‘asset lock’ and focus on community benefit but an unincorporated association such as a sole trader or business partnership is informal and does not have any regulation of the structure, allowing the participants to make their own rules.

For advice on whether a charity is the right option for you then contact Nick Dent or any member of our Company Commercial team for further advice and guidance.


Share this post: