About Incorporation Grants
Incorporation grants aim to assist small clubs and groups with costs related to becoming incorporated.
Definitions
- Small Community Group: means a community-based group where local people with mutual interests come together to partake in those interests.
- Not-for-profit: means a non-commercial organisation, including a religious organisation, that provides services to the community and does not operate to make a profit for its members (or shareholders – if applicable). All profits made by the organisation go back into the operation of that organisation, even if the organisation were to wind up.
Benefits of incorporation
Benefits of incorporated groups include:
- Help build a socially connected and resilient community. When groups are well governed, financially viable, inclusive and meeting the needs of members – everyone benefits.
- Members and officers of the association are generally not liable to contribute towards the payment of debts or liabilities of the association.
- Once registered, the name of an incorporated association will be protected and ends with the word “Incorporated” or the abbreviation “Inc”.
- An incorporated association can enter into contracts; buy, own and sell property; open bank accounts; and employ staff.
Important considerations:
- An incorporated association cannot distribute profits to its members; distribute its assets amongst members upon winding up; or trade for the purpose of securing financial benefits for members.
- It is important to make an informed choice about the most appropriate legal structure for an organisation, which can depend on the purpose, objectives, nature and management structure of the group.
- Incorporation of an association is one option available to a not-for-profit organisation. There are some initial expenses involved with becoming incorporated, such as application and advertising costs.
Eligibility
Small not-for-profit community groups must meet the following criteria to be eligible for a grant from the City:
- Have a membership base of less than 30 people.
- Have at least 50% of members residing in the City of Joondalup.
- Are not incorporated.
- Have a committee or individuals which identify a need for support with governance and/or incorporation.
- Undertake activities that are not-for-profit.
- Are eligible to become incorporated under Section 4 of the Incorporation Act 2015.
- Bring benefit to the City of Joondalup community as its primary focus.
Community groups form when interested people come together for any combined purpose, however, groups that are likely to benefit from an incorporation grant include, for example: health support groups formed in response to community need, parenting groups, seniors’ groups, walking groups, hobby/interest groups or toy libraries.
Exclusions
The following groups are not eligible to apply:
- Groups which have already received a Small Community Group Incorporation Grant.
- Previously established groups which have dissolved and reformed with the same or similar purpose.
- Groups which do not meet the definition of a small community group.
- Groups which are seeking funds for something other than incorporation costs.
- Groups for which a majority of their membership are not located in the City.
- Groups for which the core activities or services are not delivered within the City.
- Groups that have the name of a suburb in their title that is not in the City of Joondalup (or other factor that implies it is not for the primary benefit of the City’s residents).
Application requirements
Applications are open year-round. Applications will require the following information:
- proposed name of group
- type of group
- purpose of group
- primary location of group - this should match the address or location stated on the application for incorporation
- primary location of activities or services (e.g. the physical location of where the activities of the group will take place)
- date the group commenced activities
- number of current members, or people involved in the group, who reside in the City of Joondalup (must be at least 50%)
- if a group has ever been incorporated under a different name
- evidence to substantiate the amount of funding requested (e.g. quote for incorporation using ‘model rules’, ‘own rules’ or ‘other’). It is intended to notify applicants regarding the outcome of their grant application within 30 business days of their application being lodged.
How to apply
Assessment process
The Community Development Team will assess any applications received. If the application meets the grant criteria and annual budget allocation, a recommendation with supporting documentation will be provided to the Manager Community Development and Library Services for consideration and approval.
Acquittal process
Successful applicants are required to provide a copy of the Certificate of Incorporation to the Community Development Team within 12 weeks of receiving the grant funds, to acquit the funds provided.