Why do voluntary organisations take on Company Limited by Guarantee status?
When an organisation employs staff, and/or has premises, or has large amounts of money, becoming a Company Limited by Guarantee limits the liability of the Management Committee members (who become the Directors) usually to a nominal sum of 1.00. However, Company Limited by Guarantee status will not protect Directors if they have not been properly managing the organisation’s affairs. CVS Fife’s Development / Capacity Building Officer can provide further guidance on this topic, please contact us for more details.
