Church Incorporation: Fearless SCIOs! Stages in the process - PowerPoint PPT Presentation

Church Incorporation: Fearless SCIOs!

Stages in the process • Initiation – how to get started • Constitution – formats and options • Application – regulatory process • Transfer – people, money and assets • Notification – who do you need to tell Critical path items? Titles, banks, pensions, poss. dissolution

Incorporation - Initiation • What is the right form of organisation? – Company vs SCIO, what are assets/liabilities • What does current constitution require? – Dissolution, meetings, notifications, permissions • Are there property title limitations? – Engage early on ownership & restrictions, etc • Pensions or securities over assets? – Explore any unintended consequences • Competence to steer change process? – Who will guide/assure, relevant experience

Incorporation - Constitution • Options for new constitution style – OSCR approved template vs custom built • Legal and financial quality control – Operability/regulatory compliance/X- ref’ing • Integrating requirements and preferences – Governance/theological basis/correct trustees • Engaging the church membership – Expectations or requirements for input? • Requirement to consider the end game – Dissolution/winding up and beneficiaries

Incorporation - Application • Application to OSCR for new entity – Replaces existing organisation after transfer • Justification for charity status – Purpose/public benefit/activity descriptions • Who is making the application? – Church leadership role and options • Dealing with OSCR clarification requests – Directly or through an advisor? • Supporting information and timeframes – Realistic and manageable for implementation

Incorporation - Transfer • Right to dissolve existing charity (OSCR) • Transfer agreement – Process, timing, purpose and items transferred • Church membership – Leaving and joining without pain (by default) • Bank accounts – Engaging the bank(s) early to avoid drag risk • Property – Title transfer & land registration/certification • Other contractual arrangements – Employment contracts(TUPE),leases,suppliers

Incorporation - Notification • OSCR – Final notification of completion of transfer • HMRC – Registering new charitable entity • Local authority and agencies – Rates, water supply, other utilities? • Funding partners and supporters – Existing grants, payments to church, legacies • Beneficiaries – Organisations & people supported by church