Unincorporated

This is the single most consequential structural fact in charity law, and it is routinely soft-pedalled.

If an unincorporated charity cannot pay its debts, the trustees are personally liable for them. The indemnity runs out of the charity’s own funds — which is worthless when there are none. Everything the charity does, it does through its trustees personally: the lease is in their names, the employment contract is with them, the supplier’s invoice is theirs.

Incorporating the trustee body does not solve this (Charities Act 2011 s.254). The solution is to become a CIO or a charitable company. If your charity holds premises, employs anyone or signs contracts, read choosing a legal structure.