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[Closed] not for profit proof

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I'm trying to set up an online form system on behalf of our cycling club. We are set up as a not for profit organisation with the bank.

This online form/payment provider offer huge discounts to not for profit organisations and are asking for scanned in official documentation to provide proof.. What is this and how do i get it?

The treasurer is saying all he has is the bank statements but they won't accept that


 
Posted : 26/10/2012 3:11 pm
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Do you have to be a registered charity?


 
Posted : 26/10/2012 3:12 pm
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nope, just a not for profit organisation which a cycling club is

We’ll need you to upload a copy of your organization’s 990 form in Step 4. If you are outside the United States, we’ll need whatever document officiates your non-profit status. Find it and scan it =)


 
Posted : 26/10/2012 3:16 pm
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Ask them what official documentation they require?


 
Posted : 26/10/2012 3:18 pm
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I don't think they are sure themselves

If you are outside the United States, we’ll need whatever document officiates your non-profit status. Find it and scan it =)

I've just asked them

I just wondered if there was official documentation to prove this. We have a not for profit account with the bank


 
Posted : 26/10/2012 3:23 pm
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They don't know 😯

The non-profit discount is based on the US tax-exempt concept. I'm not familiar enough with UK non-profits to know if there's a similar concept there, sorry. If there is an analogous "official/registered" non-profit status in the UK, then that would work.


 
Posted : 26/10/2012 3:39 pm
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It's seems like issue isn't your not for profit-ness. If you're not constituted you're not an 'organisation' or a club. You're just a bunch of mates.


 
Posted : 26/10/2012 3:42 pm
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The club was founded in 1954 and is affiliated with British cycling as a club and the cycling time trial association so we're not 'just a bunch of mates'


 
Posted : 26/10/2012 3:45 pm
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Do you have a constitution?


 
Posted : 26/10/2012 3:48 pm
 nbt
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[quote=trickydisco ]The club was founded in 1954 and is affiliated with British cycling as a club and the cycling time trial association so we're not 'just a bunch of mates'

scan the club constituion? Or ask BC to provide a letter on headed paper affirming your are an affiliated not-for-profit group


 
Posted : 26/10/2012 3:49 pm
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Surely you can just knock something up and post it to them. If they don't know what to expect, then they can't reject anything?


 
Posted : 26/10/2012 4:00 pm
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We are set up as a not for profit organisation[b] with the bank[/b].

I'd ask them for a letter.


 
Posted : 26/10/2012 4:00 pm
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I'd ask them for a letter.

it's with wufoo.com (US) and they want a scanned piece. It is weird.. they haven't a clue about UK law or status but will reject a bank statement?!?

I could point them to our club listed on the BC site but also the club site which we will be using the forms and integrated payment options


 
Posted : 26/10/2012 4:03 pm
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Theres "non Profit" and non profit. If the site is asking for a 990 form thats an IRS form and equivalent to registering with the HMRC as a charity or similar. Thats something more than having somes subs in a savings book, its having a constitution with stated charitable aims and stated beneficiaries that the HMRC / IRS see as being valid. It also calls for a register of company members, AGM, chair holders and associated guff who are overseeing those aims and making sure the organisation stays honest and true to constitution.

There are lots of other non-profit making models that are less rigorous but its seems to me this if the site is asking for an equivalent to an IRS form they're talking about what we'd call a charity (or one of the similar constituted models like a 'Community Interest Company') rather than a club/community group

But as doooosuk says - you could just knock up any old thing, forge the queen's signature and bish bash bosh

they haven't a clue about UK law or status but will reject a bank statement?!?
but the form they're asking for an equivalent is an official, legally binding agreement with the government - so in that sense they're right. A bank statement proves nothing, its just money in and money out it doesn't distinguish whether those funds are being used charitably or whether any of that money is being distributed as profit to share holders


 
Posted : 26/10/2012 4:05 pm
 hels
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I would also add - it's very dodgy ground for a non-profit/charity to do online payments out, generally you need two signatures for transactions, for protection of officials. Unless it's money coming in to you of course, and then SCORE.


 
Posted : 26/10/2012 4:08 pm
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It is money coming into us. Club membership, kit orders etc. All coming from paypal accounts. The bank statement proves we have a not for profit account.

I only brought this up in the 1st place was because they (wufoo) said we would be eligible for 50% discount as we were a not for profit cycling club

It appears they have a 990 form in the US but no one seems to know if this sort of form exists in the UK


 
Posted : 26/10/2012 4:14 pm
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Yes. all our club stuff has to be done via cheque as they won't issue a debit card obviously. I'm trying to help all the admin side by making it easier to take payments for membership and club clothing all online and securely


 
Posted : 26/10/2012 4:15 pm
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but the form they're asking for an equivalent is an official, legally binding agreement with the government - so in that sense they're right.

Yes.. but does one exist in the UK??? no one appears to know


 
Posted : 26/10/2012 4:16 pm
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Yes.. but does one exist in the UK??? no one appears to know

being registered charity would suffice - the word 'registered' being the important bit

The bank statement proves we have a not for profit account.

thats just a how the account is packaged and marketed though - it doesn't prove that your actions as a group are charitable. The correct term is 'Non profit distributing' so the bank balance doesn't prove that the account isn't being used to pay profits or dividends to anyone.

But if you're not constituted, let alone registered, then - whatever the UK equivalent of a 990 is - you're not going to have it


 
Posted : 26/10/2012 4:27 pm
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Yes i realise you can be a registered charity but as you've explained up there.. there is 'non profit' and non profit.

I stated to them we weren't a charity and they said as long as we were a non profit organisation we would be eligible (this is after them suggesting the non profit angle as I was setting this up for a cycling club)

I think i'll give up and pay the full whack


 
Posted : 26/10/2012 4:31 pm
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Sorry, I'm coming across as a pedantic but I'm trying to explain what they mean from US perspective where 'non profit' is a binding legal status rather than the flavour of your actions. Just to try and save you from chasing your tail.

as we were a non profit organisation
without a constitution you're not an organisation. Just a group of individuals, even if you are a long standing group.


 
Posted : 26/10/2012 4:44 pm