Due diligence
Trustees must act in the charity’s best interests, and cannot do that on the basis of assumptions. Due diligence is the evidence-gathering…
Glossary
Dual authorisation
Most charity fraud is not sophisticated. It is one person with sole access to the money, over time. Dual authorisation splits the…
Register of charities
The register of charities is where the public can look you up. It turns the abstract idea of “being a charity” into…
Zero-rating
Zero-rated is not the same as exempt or outside the scope. It is a rate of nought per cent, and the distinction…
Dissolution clause
Every governing document needs to answer the question of what happens at the end. Get it wrong and the organisation may not…
Wrongful trading
This is the mechanism by which trustees of incorporated charities lose the protection of limited liability. The test is whether the person…
Disqualification
Trustee eligibility is not a matter of judgement. A person is either disqualified or not, and the charity must check before appointment.…
Receipts and payments accounts
Receipts and payments is the lighter of the two ways a charity can present its accounts. Instead of the accruals approach set…
Written resolution
Calling a general meeting is often disproportionate. A written resolution can do the job — within limits. The required majority is the…