Choosing a legal structure for a charity or NFP

Choosing a structure for your organisation is a key step when setting up a new charity. There are a number of different legal structures a charity can choose which are recognised by the Charity Commission. There are also other not-for-profit structures you can use if your organisations serves the community / your members.

The key factors to consider are: i) is your organisation charitable (i.e. is it’s purpose for the public benefit); ii) does the organisation need it’s own legal identify (i.e. a corporate structure); and iii) will you have a wide or narrow set of members who will make decisions on behalf of the organisation.

See below a summary of the different legal structures and factors to consider.