Are you involved with a not for profit organisation?
Do you know your legal obligations?
Have you read the constitution?
Do you know where it is saved?
Many organisations run on ‘the way we’ve always done it’ rather than as per the compliance requirements of the constitution.
If you are involved in a not for profit it’s important to understand your responsibilities, so if you haven’t, source and read your constitution today!
If you can’t find it – the Office of Fair Trading can re-issue it to you.
A well structured constitution is the bedrock upon which all operational and governance decisions are built.
Prioritising your constitution is essential to ensure transparency, accountability and overall success.
Here are some quick tips to build a robust constitution.
Use the model rules template on the office of fair trading website and use policies and bilaws to build in your organisational specifics such as:
1. Clarifying what your organisation wants to achieve, the issues it addresses and the community it serves, aswell as the mission, vision and values of the organisation.
2. Ensuring your management committee have the skills needed to run your organisation.
3. The structure of your organisation, the roles and responsibilities, how decisions are made, meetings conducted and leadership positions filled.
4. If your organisation has members, outline the criteria for membership, rights and responsibilities, fees, voting procedures and the process for admitting and expelling members.
5. How funds will be managed, audited and reported.
6. How conflict of interests will be dealt with
7. Defining the process for editing and amending the constitution and updating it regularly to ensure your organisation is operating in the most streamlined, best practice way.
If you’re volunteering for a not for profit and could use some help with your constitution, contact NFP House.
Happy volunteering!
Lois from NFP House, where you can contact us anytime, to make a difference to your life and our community!
