Should the urge for philanthropy, benevolence and altruism course through your veins, and no amount of volunteering and donating can slow its flow, then maybe you’ve considered starting your own charitable endeavour?
Kudos to you; it’s an honourable thing to even consider, let alone see it to completion. But let’s pose the searching questions straight off the bat; is starting a charity really the best option for you?
The searching’s not done yet; if you’re thinking of starting a charity, here are 5 questions you should ask first.
IS THERE ALREADY A CHARITY DOING THE SAME THING?
With over 160,000 charities already registered in England and Wales, you may find that an organisation committed to your chosen cause already exists. Rather than going through the effort of setting up your own charity, it might make more sense to get involved with an already established charity.
You can find out exactly what charities are currently out there by searching the government’s charity register by charity name, objects, activities, classifications or other keywords.
Should you find that a charity already exists that helps a cause close to your heart, contact them directly to see how you can help.
DO YOU KNOW THE PROCESS OF STARTING A CHARITY?
There are various legally required measures to take when establishing a charity in order for it to be classified as an official charity and registered on the above government database. All charities with a gross annual income of £5’000 or more must register as a Charitable Incorporated Organisation (CIOs) with the Charity Commission.
Being registered has several advantages; firstly, your charity may be able to claim grants. Secondly, being registered legitimises your charity, making it more appealing to volunteers, donators and philanthropists. Finally, a registered charity may claim tax relief, enjoy reduced business rates, and reclaim tax on donations via Gift Aid.
On top of that, other processes may be required if you intend to establish a limited company and collect earnings in addition to your charitable contributions. If this is the case, you’ll need to consider a ltd company registration service to make sure everything’s registered and above board.
DO YOU KNOW WHAT YOUR CAUSE WILL BE?
A charity needs to have a focused cause. This should be something you are sincerely passionate about, otherwise, it can be hard to maintain the drive to run such a stressful and time-consuming endeavour. Many people establish charity as a result of their own experience with r injustice. A personal cause like this may keep you motivated while running your charity.
Don’t start running a charity simply for a few brownie points in the local community; doing so is hard work.
DO YOU KNOW HOW TO RAISE FUNDS FOR YOUR CHARITY?
You will only be able to help your cause if you fundraise. There are numerous methods for raising charitable money. These are some examples:
- Creating a website and social media pages where people can donate voluntarily
- Organising crowdfunding events (e.g. bake sales, concerts, village fetes)
- Membership systems which encourage contributors to make monthly donations
- Collaboration with businesses that can donate a portion of their profits on a regular basis
- Creating a charity product that contributors can purchase
- Encouraging people to put spare change in a charity box or bucket
- Directly collecting donations through advertisements, emails, and letters
It is essential to have a fundraising strategy for your charity, just as it is to run your charity like a business; even the largest charitable organisations cannot survive only on donations alone. It may be worthwhile to meet with financial consultants who may be able to assist you in increasing the amount of prospective money you’re planning to raise. Marketing teams may also be able to help you in promoting your charity in order to boost donations. Finally, every charity needs a detailed business plan to succeed.
DO YOU HAVE THE TIME?
To listen to me whine….
Only joking. Running a charity will likely consume your life, taking up the bulk of your time. In addition to organising and operating fundraising efforts, you will need to preserve accounting records, manage team members and so much more. Before you sign or apply for anything, consider carefully whether you have enough spare time to devote to this.
It’s possible that you’ll be able to persuade others to donate their time to your cause. Building a team of dedicated volunteers is not always easy, but it may be necessary for easing some of the stress and helping you in organising larger fundraising projects.
And with all of that due diligence in place, we wish you the best of luck!
