Constitution
What is a constitution?
A constitution is a legal governing document for an unicorporated assocation – an organisation set up through an agreement between a group people who come together for a reason other than to make a profit (for example, a voluntary group or a sports club) – and covers:
The name of your Shed
The structure, objectives and charitable purposes
of your Shed
How your Shed will be set up and run and who can be a member
Why do you need a constitution?
To ensure your Shed is set up and run properly over time.
To help to obtain funding for your Shed by demonstration of good governance.
To establish personal liability for assets and liabilities of the Shed.
How do we get a Constitution?
Many template constitution forms can be downloaded from the Internet, however – a word of warning – you must first determine what type of constituted organisation you wish to become. Each type of organisation has different legal obligations, advantages and disadvantages. This first choice is vital, as changing your constitution may be difficult.
OSCR – the Office of the Scottish Charity Regulator – is the body charged with overseeing charities in Scotland and the SMSA has agreed on a Scottish Men’s Shed specific template with OSCR. This is a two-tier type constitution which works hand in glove with becoming a SCIO. This can speed up the SCIO application process and help OSCR as it is a constitution which has been agreed upon. Be sure however that the ‘purposes’ fit with the aims of your Shed.
Members can download Scottish Men’s Sheds Association two-tier constitution form in the SMSA members section.
Help from the SCVO
The Scottish Council for Voluntary Organisations (SCVO) has a very useful section on their website covering setting up a charity which covers the benefits, decision making and governance, how to write a constitution, template constitutions, how to apply to become a registered charity and next steps.
Type of Constitution Organisations
SCIO [Scottish Charitable Incorporated Organisation]
Limited liability of trustees, no liability of members as assets are held by the SCIO which is a legal personality.
Unincorporated Association
Liability of trustees, no liability of members as assets are held by the trustees.
Company Limited by Guarantee
No liability of trustees, no liability of members as assets are held by the Company which is a legal personality
Trust
Liability of trustees, no liability of members as assets are held by the Trust which has a legal personality.