Insurance specialist advises long-term planning for success as 43 new charities launch in Wiltshire

By Nick Batten on 2 January, 2024

In 2023, 2,446 charities were established across England, an increase of 342 compared to the previous 12 months. 

Of these, 43 were registered in Wiltshire signifying a growing trend for people keen to make a meaningful difference in their communities as well as society as a whole.

The research was conducted by Ansvar, an expert insurer for the charity and not-for-profit sectors, using data available from The Charity Commission for England and Wales. It reveals a dynamic shift in the philanthropic landscape, indicating that more people are actively seeking ways to contribute positively. This surge is prompting Ansvar to extend its support and guidance to those aspiring to establish charities and community organisations.

Martyn Fletcher, Deputy Managing Director at Ansvar, said, “The wave of charitable registrations is definitely something to be celebrated. We understand that navigating the complexities of setting up and running a charity successfully can be complicated. It requires careful consideration and planning to ensure long-term success and sustainability.

“We are keen to empower those who want to establish their own charitable organisation in 2024 with the knowledge and resources needed to ensure the longevity and impact of their charitable endeavours.”

Ansvar is therefore providing the following essential advice and guidance on the often-overlooked aspects of establishing and running a charitable organisation.

Identify the cause and purpose

Clearly define the mission and objectives of the charity and what positive impact it hopes to achieve. Find out if any charities are already providing the same services, as working together can be more effective than setting up a new charity and competing for resources.

Legal structure

Choose an appropriate legal structure for the organisation, such as a named fund or trust, social enterprise, or charitable incorporated organisation (CIO). Each entity type has distinct legal and regulatory obligations, and being registered as a charity may pose limitations on pursuing the desired activities. It is therefore vital to understand the differences and restrictions.

Conduct a comprehensive risk assessment

The assessment should include considerations for insufficient funding, governance, compliance, fraud and cybersecurity, and legal and regulatory risks.

Create a business plan

Develop a detailed business plan outlining goals, activities, target beneficiaries, and anticipated outcomes. Include a budget that covers startup costs, operational expenses, and potential funding sources.

Registration

Register your charity with the appropriate regulatory body, such as The Charity Commission, and ensure understanding and compliance with legal requirements for registration.

Insurance considerations

Assess the insurance needs of the charity, considering the size and nature of the operations, particularly in relation to staffing, volunteers and fundraising activities. Explore insurance options and work with a provider that understands the nuances of the sector.

Financial management

Explore potential funding sources, such as grants, donations, and fundraising activities.

Martyn added, “Many people embarking on the journey of setting up a charity or community organisation may not be aware of the intricacies involved. By carefully addressing each of these steps and risks, aspiring charity founders can lay a solid foundation for their organisations and increase the likelihood of making a positive and sustainable impact in their communities.”