Establishing a new group

FAQs

• Why do we need a constitution?

  Your constitution, or governing document, explains what your charity is set up to do and how it should operate. It sets out the rules to be followed in running the charity. All trustees must understand the governing document, and make sure it is kept accurate and up to date.

• How often should we review our constitution?

  You should review your constitution to make sure it is up to date and fit for purpose at least every 3 years. If your organisation is registered with OSCR and you wish to make changes to it, you will either need to inform OSCR of the changes or seek OSCR’s permission to make the changes.

• When do I need OSCR’s permission to make changes to our constitution?

  If your charity is registered with OSCR, some significant changes you make to your constitution require permission from OSCR. Changing your name, changing your charitable purposes and dissolving your charity / amalgamating with another charity are the main changes that require consent.

• Do we need a legal structure?

  Without a legal structure your group or organisation does not exist and cannot open a bank account or fundraise. Anyone wanting to donate to your charity needs to know that their donation will be used for charitable purposes and a clear legal structure gives them that reassurance. If you are looking to do any of these things, you should adopt a formal legal structure and we can help you work through the process.

• What is the right legal structure for our group?

  The right legal structure depends on what it is your group wants to do. If you are going to hold assets such as buildings, or employ staff, then being incorporated such as a Scottish Charitable Incorporated Organisation (SCIO) might be the answer. There are a number of options and we would always recommend having a chat with us to make sure you set up the right way for what you want to achieve.

  You can find more information about the different legal structures on the SCVO website. OSCR has also produced a factsheet which can be found on their website.

• What is the Scottish Governance Code for the Third Sector?

  The Scottish Governance Code for the Third Sector was originally developed in 2018 by Scotland’s Third Sector Governance Forum. The Code sets out the core principles of good governance for the boards of charities, voluntary organisations, and social enterprises in Scotland. It covers 5 key areas of governance: organisational purpose; board behaviour; effectiveness; leadership and control and risk management.

  You read and download a copy of the Scottish Governance Code for the Third Sector from Scotland’s Third Sector Governance Forum's website.

• What is the charity test?

  The charity test is the legal set of requirements that an organisation must pass to become a charity and be entered in the Scottish Charity Register. The charity test is in 2 main parts. An organisation has to show that it has only charitable purposes and that it provides public benefit in achieving those purposes.

  More information about becoming a charity and the charity test can be found on the OSCR website.

• How do we set up a charitable bank account?

  Many banks will have a charity bank account, but the conditions and benefits will vary from bank to bank and account to account. It is worth talking to several banks to see what your options are, and to make sure that the account you open best suits your needs.

• What policies should we have in place?

  Policies and procedures are crucial to the smooth running of your group or organisation. They tell you how to respond to particular situations, and how to undertake certain activities. The exact suite of policies you require will depend on what it is that you do or provide, and whether or not you have staff. For example, a community hall will want policies in place for hiring the hall and fire safety, but would only need employment policies if it had paid staff. But every group or organisation should have, for example, a code of conduct for its committee members.

• How often should we review our policies?

  The general rule would be to review your policies every 1-3 years or when there is a change in the law or regulations that require an update.

• Is there a charge/how much does your advice/guidance/support cost?

  Our advice and guidance is always free and a lot of our support is free too. We do charge for some specific areas of work such as developing business plans or undertaking writing funding applications.

• Can you only meet at the VAO offices, or can you come to me?

  Yes, we can come to you. The community development team is often out and about, meeting where it best suits you, including online.

• Can you meet online?

  Yes, we frequently meet online. Generally we use Microsoft Teams for online meetings but you do not need Teams for that to work, as long as we send you the online invitation you will be able to click on the link on a phone or other device. We can also provide training online.

  You can find out more about the training we offer in our Services section.

• What is the best way to get in touch?

  Contact us using the form at the bottom the page or give us a phone. We will talk through what you are looking to discuss and arrange a time to look at it in more detail if we cannot advice there and then.