Legal Structures

Legal Structures

One of the most important choices you will make when forming your sports club is which legal structure to adopt.

The same issues can arise at a later stage in the club’s development, when it may be appropriate to adopt a different legal structure – either because there is a need to have a more robust structure to ensure good governance and protection against key risks, given the increased scale of the operations or because there are new opportunities (perhaps those related to the community
empowerment agenda) which can only be accessed if the club
adopts a new structure.

The choices are plentiful (e.g. Company Limited by Guarantee, Community Benefit Society, Community Interest Company, Scottish Charitable Incorporated Organisation etc) and it can seem overwhelming deciding which option to take.  That’s why we’ve produced a guidance document on legal structures for your sports club (see bottom of the page).

Available Support

To date, we’ve supported the incorporation of over 40 sports organisations across Scotland. This includes semi-professional football clubs such as Annan Athletic (as a Community Benefit Society) and Dunbar United (as a Community Interest Company) and multiple amateur grassroots clubs of all sports and sizes (as Scottish Charitable Incorporated Organisations).

Our support includes assistance selecting the right legal structure for your club, drafting a suitable constitution for that legal structure, application to the regulator and transferring assets to the new entity. We have club-specific rules/constitutions pre-approved by regulators which can make the process more manageable, not to mention huge experience in the field. We can often clubs with the entire process for as little as £1000 (although a final sum will depend on any complexities/specific requests your club might have – e.g. if your creating subsidiaries).

Resources