Setting up a new charity or community group

1. What is the Voluntary, Community and Social Enterprise (VCSE) sector?

The voluntary, community and social enterprise (VCSE) sector provides a range of services to a range of different clients, from a small support group that provides friendship, support and advice to people who have had similar life experiences to a large organisation that delivers contract services, such as a social housing provider.

VCSE organisations have common characteristics, in the objectives they pursue, their independence from government and in existing to make a difference to society.

Before you start to go about setting up a community group, you should consider whether there is a real need for your group and whether it will be valued by your community.

2. Questions to ask before deciding to set up a new charity or community group

Before you start to go about setting up a community group, you should consider whether there is a real need for your group and whether it will be valued by your community.

You should ask yourself:

• Are there any other organisations carrying out similar activities in your area?
• Do you really need to set up a new organisation or could you team up and support an existing one? Duplicating what other groups are doing can make it more difficult to access support and funding. Ensure that what you want to do is new or unique before you start.
• Who might be interested in getting involved in the group?
• Who might want to become members of your group?
• What is the evidence for the problem your group will solve?

3. Choosing a legal structure

If you’ve decided that setting up a charity is the right direction for you and that your new charity or community group will have a clear purpose, then you need to decide what legal structure your charity will take.

The legal structure of your group will dictate how your charity operates and what it can and can’t do.

Find out more in our Guide to charity legal structures.

4. Registering your charity

An organisation is required to register as a charity if it:

• has charitable purposes
• exists for the public benefit
• has an annual income of £5,000 or above

To find out more, read our guide on Registering a charity.

5. Find trustees

A trustee is a person who sits on the governing board of a charity and makes decisions about the running or direction of the charity. Trustees are usually unpaid volunteers, but they can often take a great deal of personal legal responsibility for what their charity does.

Find our more in our Guide to recruiting trustees.

You can search for trustees by signing your charity up to our Volunteering website.

6. Getting funding

There are lots of ways to fund a charity, from raising money through donations to applying for grants or contracts.

Find out more about how to find funding in our guides on funding and income for charities.

You can also see what funding is currently available on our funding page.