How can I create a charity?
December 28, 2009 1:38 PM Subscribe
How do I create a charity?
I'm trying to create a chaity, I have a goal in mind, and have a pretty clear vision of what I want to do. Unfortunately, I have a bit of a problem with reading comprehension, and the site for discussing how to establish one is pretty hard to read. Can someone do an algorithim like step by step guide to doing this? I'm sorry. The website for it is this.
I'm trying to create a chaity, I have a goal in mind, and have a pretty clear vision of what I want to do. Unfortunately, I have a bit of a problem with reading comprehension, and the site for discussing how to establish one is pretty hard to read. Can someone do an algorithim like step by step guide to doing this? I'm sorry. The website for it is this.
Response by poster: Other things I should have asked was: Can I beta test the charity on a few select individuals, or is that a form of favoritism?
posted by Jazzwick at 1:42 PM on December 28, 2009
posted by Jazzwick at 1:42 PM on December 28, 2009
If you get registered as a charity, there will be many, quite onerous, reporting requirements about who gets what, how, and why. So 'favouritism' won't be a concern.
Before you go down this road however - and not necessarily trying to discourage you - but have you done any charity work before? I don't mean manning the phones for a half hour, or ladling soup, but actually employment or high-level admin work for a charity organisation?
If so, then you should have a reasonable idea of what's required and why. If not, I would urge you to reconsider. There are a few reasons why I would suggest this:
1. Do you have enough money? It pains me to say it, but you need a decent wad of cash to start a registered charity. In addition to your seed funding, you will need an accountant, a solicitor, will need some kind of space (office, commercial, or large area at garage).
2. Running a charity is - at the very least - like running a complicated small business. It is a legal minefield where one wrong step won't blow you up, but may have you charged with fraud, or tax evasion, or worse.
3. Do you have enough resources for what you are planning? This might be time, money, skills, volunteers, or a range of different things. Dont' underestimate this. Will you be able to meet deadlines at the right time? If life steps in and you get busy, that may
4. Do you have the emotional fortitude and belief to deal with intense bureaucracy, setbacks, dead-ends, possibly theft and more?
I could go on,but most of the things I'm talking about are "soft" problems, rather than the "hard" legal, financial or regulatory issues that could scupper you.
Really, unless you're very experienced (in which case, no offence, but you wouldn't be askinf this question here), I strongly recommend finding a charity with similar goals, and donating your money or time to them. If you are serious, and have serious quantities of money or time, you will be taken seriously. You will be able to accomplish your goals with the protection (legal, financial, public), experience and resources of a much larger organisation.
"But Smoke!" you say, "There are no charities that do what I want to do!". It doesn't matter: find one that does something like it, and propose you donate your time and money to them, with your specific goals in mind. Some (most, perhaps) charities will say no to this, but you can find the right one (if you go in with a spirit of compromise).
Contigent upon any action you choose to take is a serious, properly researched and put together business plan. You will not get anything off the ground without this, and it will need proper financials in it the works.
Sorry if I sound like a Debbie Downer here, but I would hate to see your hard work and effort wasted, you become disillusioned, or you become jailed because you didn't follow the proper channels.
posted by smoke at 2:40 PM on December 28, 2009 [3 favorites]
Before you go down this road however - and not necessarily trying to discourage you - but have you done any charity work before? I don't mean manning the phones for a half hour, or ladling soup, but actually employment or high-level admin work for a charity organisation?
If so, then you should have a reasonable idea of what's required and why. If not, I would urge you to reconsider. There are a few reasons why I would suggest this:
1. Do you have enough money? It pains me to say it, but you need a decent wad of cash to start a registered charity. In addition to your seed funding, you will need an accountant, a solicitor, will need some kind of space (office, commercial, or large area at garage).
2. Running a charity is - at the very least - like running a complicated small business. It is a legal minefield where one wrong step won't blow you up, but may have you charged with fraud, or tax evasion, or worse.
3. Do you have enough resources for what you are planning? This might be time, money, skills, volunteers, or a range of different things. Dont' underestimate this. Will you be able to meet deadlines at the right time? If life steps in and you get busy, that may
4. Do you have the emotional fortitude and belief to deal with intense bureaucracy, setbacks, dead-ends, possibly theft and more?
I could go on,but most of the things I'm talking about are "soft" problems, rather than the "hard" legal, financial or regulatory issues that could scupper you.
Really, unless you're very experienced (in which case, no offence, but you wouldn't be askinf this question here), I strongly recommend finding a charity with similar goals, and donating your money or time to them. If you are serious, and have serious quantities of money or time, you will be taken seriously. You will be able to accomplish your goals with the protection (legal, financial, public), experience and resources of a much larger organisation.
"But Smoke!" you say, "There are no charities that do what I want to do!". It doesn't matter: find one that does something like it, and propose you donate your time and money to them, with your specific goals in mind. Some (most, perhaps) charities will say no to this, but you can find the right one (if you go in with a spirit of compromise).
Contigent upon any action you choose to take is a serious, properly researched and put together business plan. You will not get anything off the ground without this, and it will need proper financials in it the works.
Sorry if I sound like a Debbie Downer here, but I would hate to see your hard work and effort wasted, you become disillusioned, or you become jailed because you didn't follow the proper channels.
posted by smoke at 2:40 PM on December 28, 2009 [3 favorites]
Sorry, I realise I didn't finished one sentence:
"If life steps in and you get busy, that may not be enough to discharge your legal obligations, especially if you have received govt or public monies in one form or another. "
posted by smoke at 2:42 PM on December 28, 2009
"If life steps in and you get busy, that may not be enough to discharge your legal obligations, especially if you have received govt or public monies in one form or another. "
posted by smoke at 2:42 PM on December 28, 2009
Have you considered creating a donor-advised fund in partnership with an existing community foundation? The basic idea is that you put in the money and decide (with the foundation's help) where to give the money, and the foundation handles all of the administrative tasks.
Donor-advised funds (in the UK)
Community foundations
posted by expialidocious at 11:43 PM on December 28, 2009 [1 favorite]
Donor-advised funds (in the UK)
Community foundations
posted by expialidocious at 11:43 PM on December 28, 2009 [1 favorite]
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http://www.charitycommission.gov.uk/registration/default.asp
posted by Roger Dodger at 1:40 PM on December 28, 2009