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Development Support - Frequently Asked Questions

Below is a list of the most frequently asked questions about Charity Development and Governance.


Q. Why do I need a Constitution for my group?  Surely we all know what we're there to do?


A.  There are two main reasons for having a constitution; 1. To open a bank account and 2. To source funds to put in that bank account.  Whenever you attempt to grow your organisation beyond your immediate circle of enthusiasts, potential funders (and that may be anybody) will want to know who you are, what you intend to do, how you will manage your money and what will happen to your money if you ever decide to cease operations. 
 
Your constitution or governing document is a way to answer the questions that potential funders will ask of you.  So yes, for anything other than VERY small organisations you are better with a constitution.


Q. We want to become a charity....Can ACVO help us?


A. Yes, our Development Officer has particular expertise in charity governance and will be able to give you assistance.  Firstly, with a full discussion of the benefits and disadvantages of being a charity and whether in fact it would benefit your organisation.
 
We can also assist you with the actual process of applying for charitable registration and training in the skills needed to be a charity trustee and how to comply with charity law.


Q. Can you tell me about charitable status?

A. In Scotland, a charity is a "body entered on the Scottish Charity Register".  The Office of the Scottish Charity Regulator (OSCR) will enter a group on the charity register if it passes the charity test.  All its purposes must be charitable (as defined in charity law) and it must provide public benefit.
 
Charities are entitled to certain tax advantages. They can reclaim tax that has been paid on donations by the public through Gift Aid. Charities generally do not pay tax on their earnings (in most circumstances) and are entitled to relief from non-domestic rates on any premises they occupy.  They may also be able to source funds from funders that can only fund charities.
 
On the other hand, charities may effectively only do ONE thing, that is to further their charitable purposes.  They are also required to submit an annual return to OSCR with a copy of their annual accounts.  These must all be in a form specified by Regulation.
 
If you have any further questions about charitable status and how it might benefit your group, or how to comply with the regualtory requirements, please contact the ACVO Development Officer.

Q. Can you help me with Basic Introductory Committee Training?

A. Most organisations are run by committees. It is a sensible and well tested way to run an organisation. Our Basic Introductory Committee Training Guidelines are intended to be a very basic look at what committees do and how they do it.  If you’ve never been on a committee before, hopefully it will make your job easier. If you require further information, or wish to book formal Committee Training, please contact the ACVO Development Officer.


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