Money Matters
Opening a charity bank account
Although it's not a requirement to have a bank account to set up a charity, if you are wanting to register with the Charity Commission, they will require proof of income as part of the registration process (usually a bank statement).
You may need a bank account in the name of your group in order to apply for grants. You should also have one if you are collecting donations or fees to make sure it doesn't get mixed up with individuals money. Set up your account with at least two signatories; so at least two people are needed to sign each check or approve withdrawals.
Keep careful financial records
Every charity needs to keep careful accounting records of how much money has come into the organisation, where it has come from, what it is for and how it has been spent.
Charities are expected to apply correct accounting standards like any other organisation. Even if your charity is not required to register with the Charity Commission, you must keep accounting records, prepare annual accounts and a trustees annual report.
A simple receipts and payments account, stating ins and outs throughout the year, is accepted by the Charity Commission if your charity's income is less than £250,000.
