Charity Limited by Guarantee

For organisations seeking full Charity registration AND limited liability this is the company format to choose. It follows the general style of a "company limited by guarantee" but uses Memorandum & Articles with wording approved by the Charity Commission.

 

Equality of decision making

Your Charity must have at least 3 Trustees, but it can have as many as you want. Each Trustee has just one vote, so all decision making is shared. Each Trustee puts up a cash guarantee for the company (normally just a nominal amount) which is why it is called a "guarantee" company. There are no shares, nor dividends and, of course, no profits.

Charity - Aims and Objects

The constitutional documents for your Charity Limited by Guarantee (called Memorandum & Articles of Association) must state the Aims of the organisation. Only you can say what you intend, but we have put together some examples to show how it is done.

Charities must be established exclusively for charitable purposes.

The individual Aims of your organisation will become part of the Memorandum of Association (a key company document). We can't create that without your input. Make notes on your vision, aims and intentions and tell us about it in plain English. We can offer suggestions, but it's your ideas that matter.

To register today complete the Order Form or contact us on 0117 370 2725.

Reporting

After registering the company you must apply for Charity registration...

This is the sequence recommended by the Charity Commission. Register the limited company (which takes just one working day after application is complete); then register the company with the Charity Commission (which takes a lot longer). As a registered charity with limited liability your company will be required to send regular reports and accounts both to the Charity Commission and to Companies House. This will normally be the responsibility of your Company Secretary.

Don't rush

You are creating legal documents that will affect how your organisation can operate for years ahead. Think carefully about your AIMS. Write a MISSION STATEMENT to guide your thinking. Think how your activities will be FUNDED. Check if Charity registration is right for you - or do you need a CIC? If in doubt contact us