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Sunday, 6 October 2013

Everything You Need to Know Before You Start a Charity By Sarah Peet

Running a charity organisation is, of course, commendable. Whereas a lot of other people would perhaps be content with sympathy, your decision to extend this into compassion is definitely a cut above the rest. Managing a charity, however, may not be as easy it seems.
In reality, running a charity can't rely on good intentions alone. You have a lot of paperwork, government interaction, and projects to handle. Jumping into the game haphazardly can make things worst and you won't be able to fulfill the goal you set out to achieve in the first place. More importantly, there can be serious repercussions should you fail to follow the correct legal guidelines.
To help you achieve your noble goal, here are a few things you should remember when setting out to establish a charity organisation: 
  1. Know your mission. This is perhaps the most crucial step you need to fulfil. Before you can convince others to support your cause, you must be able to articulate it to yourself first and foremost. After all, who would support a cause that can't even clarify what it wants to achieve? This is a significant step that will help you clarify your intentions as well.

  2. Prepare for the basics. Establishing a charity organisation isn't a walk in the park. Rather, you have to get down and dirty to handle all the paperwork. First things first: what is your organisation's name? What category of charity does it belong to? Define the structure, the mission, and the vision of your organisation. Lastly, draw up a set of bylaws that will govern your charity.

  3. Fulfil all legal requirements. Take note that a charity will still have to answer to the law, especially since you're actually taking and utilising money from donors and sponsors. That means you should be answerable to proper authorities and make sure that none of the donations are used improperly. It is important that you get legal recognition as a non-profit organisation with proper documentation.

  4. Hire a charity accountant. It may sound a bit too fancy, but a charity accountant is actually necessary if you want to make sure you don't accidentally get into a financial mess. Charity accountants specialise in non-profit organisations, making sure to audit and handle your budget. This way, you won't undertake unnecessary expenses and create problems for yourself down the line. Of course, other types of accountants are also acceptable, but charity accountants are the most knowledgeable when it comes to the legal and financial matters of running a charity organisation.

  5. Get the word out! Let people know what you are and what you want to do. It's best to share your goals and motivations, thereby gaining the acceptance and support of like-minded people. You can't have a charity with just you and your charity accountant as members. Get the word out; let people know. Talk to people; advertise!
Good luck on this noble endeavour! 

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