Re-registering as a Registered Society
Social clubs are registered under either the Co-operative and Community Benefit Societies Act 2014 or the Friendly Society Act of 1974. Some clubs particularly sport and rugby clubs are often unregistered. As most institutions registered under the Friendly Societies Act are either insurance or building societies, the requirements of the Act are onerous. Accordingly provision has been made for clubs to de-register and re-register under the Co-operative and Community Benefit Societies Act 2014. The advantages of re-registering are:-
There are five stages to follow to re-register:
1. Members consent to the proposal.
2. Drawing up of rules under the Co-operative and Community Benefit Societies Act 2014.
3. Completion of the application form.
4. Registration of the application.
5. Transfer of all property and documents held by the former trustees.
Where a club is unregistered it will not be recognised as a separate legal entity and would not be able to benefit from the advantage of registration. For example, a registered club is able to sue and be sued in its own name. Where a club is unregistered any liabilities incurred are the responsibility of all the members in equal shares.
Further details on re-registration are given in guidance note issued by the Financial Conduct Authority.