SHOW ME THE MONEY
● Rick Smith, managing director of financial advisers Forbes Burton, shows how best to manage the communal cost… Q: Where should community groups store their money?
A: Community-funded projects are very similar to charities, so they should open a similar type of bank account. This is usually free, but you need to prove you are a not-for-profit organisation. Q: Who should have access to the accounts?
A: Make sure the account is set up so that at least two people are authorised to sign cheques or approve withdrawals. Name a pool of people as ‘signatories’ for the account. Q: How can groups plan their finances? A: Setting up a committee is a good idea to keep focus of the club’s activities and delegate responsibilities. A treasurer should also be appointed to keep records.