It is essential that a charity has in place appropriate governance arrangements and structures to enable it to effectively deal with a range of issues including in relation to employees, estate and all other legal and financial issues.
It is necessary to understand and observe the distinction between:
- members – who are responsible for a charity (incorporated as a company) achieving its charitable objects and have the power to appoint and remove the trustees/directors;
- trustees– who often have to fulfil the dual role of charitable trustees and company directors and who are responsible for the three ‘core functions’ of:
- ensuring clarity of vision, ethos and strategic direction;
- holding the CEO/management to account; and
- overseeing the financial performance of the charity; and
- executive leader (CEO) who is responsible for the internal organisation, management and control of the charity.
Our corporate and commercial team have a wealth of experience of dealing with governance issues including:
- advising on charity and company law issues;
- advising on constitutional issues;
- advising on the constitution of the trustees/board of directors;
- advising in relation to the appointment and removal of trustees/directors;
- advising on conflict of interest issues; and
- advising in relation to a range of other governance issues.