Setting Up A Charity Constitution

Setting up a charity or a not-for-profit (NFP) organisation is an exciting step to take! But of course, like any other business, you need to consider how this will all work. What documents do you need? How will you be fundraising? How will you obtain the right resources?

One of the most important things you should think about is your Charity Constitution. This governing document sets out the rights and duties of members and other key details. 

Essentially, your Constitution needs to be compliant with certain requirements around NFPs in New Zealand. 

How Do You Write A Charity Constitution?

When it comes down to writing a Charity Constitution, the terms will depend on the nature of your charity. For example, a standard Charity Constitution should contain:

• Your charitable purpose
• A statement that you are operating on a not-for-profit basis
• The rights and duties of members

These are all terms that could vary between different NFP organisations. So, it’s a good idea to chat with a lawyer who can make sure that your Charity Constitution is tailored to your business’ purpose, and that you are compliant with the relevant bodies. 

Do I Need A Charter Or A Constitution?

Each charity needs to have a governing document that sets out how things will be run. This governing document may be called different names depending on your charity structure. 

For example, if you’re a cooperative, this governing document will be known as your charity constitution.

Who Should Have Access To My Charity Constitution?

Usually, you’d have to give a copy of your constitution or governing rules to Charities Services. Once you’ve given them a copy, they can decide whether you’re eligible for registration. 

In other words, they will assess your rules to ensure they are consistent with their requirements.

Where Can I Get A Charity Constitution?

Having the right constitution drafted for your business is essential to ensuring a smooth business journey. So, it’s always a good idea to get quality legal help for your documents prior to registration. 

Sprintlaw offers a Not-For-Profit Constitution package to help you hit the ground running. It includes:

• Drafting a constitution for your NFP organisation
• Phone consultations with Sprintlaw’s legal team who can answer your legal questions 
• Ensuring that your constitution includes your objectives and confirm its NFP status

Next Steps

Are you currently in the process of registering or setting up a not-for-profit organisation? Sprintlaw has a team of legal experts who can guide you through the process, and draft a constitution that is both suited to your organisation and compliant with the Charities Service’s requirements. 

If you would like a consultation on your options moving forward, you can reach us at 0800 002 184 or [email protected] for a free, no-obligations chat.

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