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If you are looking to start a new charity which is a "not for profit" company, you need to form a company Limited By Guarantee, rather than Limited By Shares and then apply to the Charities Commission for approval.
We strongly advise visiting the Charities Commission website at
before continuing. Trustees of the charity have responsibilities different to that of directors in a trading company and being aware of the requirements will help you to determine if a charity is the best option for you.
The process of forming a charity is very similar to a normal financially trading company, and we have the legal documents prepared to allow this, however because the objects of the company need to be defined, we request that this is done over the phone rather than online
A charity has a specific purpose. This is called its "Objects". What are its objectives ? Whereas a normal limited company for trading and doing business can have a common set of objectives, regardless of whether the company is selling building materials or candy sweets for children, Limited by guarantee companies each have a specific purpose. In order to form a company suitable for later charitable application, you need to define its Objects and these need to be added to the legal documents we supply as standard.
Finally you can choose whether to have the word LIMITED at the end of the company name. Companies limited by guarantee can opt to file a "Section 30" exemption to not have the word LIMITED on the end of the name, even though it will still be a limited company. e.g. AFRICA AND AIDS AWARENESS ASSOCIATION LIMITED may prefer to be AFRICA AND AIDS AWARENESS ASSOCIATION
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