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Legal issues for partnerships

Legal issues for partnerships. www.adrianashton.co.uk 07786 492313. “So little to do and so much time...”. Benefits of partnerships? – X State of play What’s best type? legal headaches... Where to now?. Adrian Ashton. Latest on partnering in the sector.

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Legal issues for partnerships

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  1. Legal issues for partnerships www.adrianashton.co.uk 07786 492313

  2. “So little to do and so much time...” • Benefits of partnerships? – X • State of play • What’s best type? • legal headaches... • Where to now? Adrian Ashton

  3. Latest on partnering in the sector • On the rise due to chasing public contracts! • Roughly 50% charities in partnership of some type (majority successfully so) • Problems created by poor leadership, planning or communication • Relationships based on pre-existing knowledge • Most are informal • Most don’t seek any external support in development Adrian Ashton

  4. Different types of partnership Adrian Ashton

  5. Is it the right thing to do? • Feasibility studies are not just for new enterprises or services... • Check lists of questions and toolkits (Charity Commission’s “20 questions”) • Should consider all options (however unpalatable) • Even if you don’t commit, you’ll be in a stronger position for going through the process Adrian Ashton

  6. The ‘legal stuff’ • Employment – who’s the employer?, TUPE, • Liability / accountability • Ownership of assets • Decision making processes • RISK • Dispute resolution • Costs • DUE DILIGENCE (aka common sense) Adrian Ashton

  7. Handling ‘the legal stuff’ • Do you create a ‘special purpose vehicle’? (subsidiary company for all partners) • Accounting arrangements – making sure the money flows can be clearly tracked • Staffing transfers (TUPE, etc) • Legal agreement between all – ‘Memorandum of Understanding’ • If merging/taking over – regulators’ and other relevant bodies’ agreements • DUE DILIGENCE Adrian Ashton

  8. Further resources - • Hact – ‘Collaborate’ resources • http://www.hact.org.uk/downloads.asp?PageId=175 • Office of Third Sector – Working in a consortium • http://www.cabinetoffice.gov.uk/media/107235/consortium%20guide%20final.pdf • Charity Commission • http://www.charitycommission.gov.uk/enhancingcharities/cwmresources.asp • ‘Strength in numbers – small charities’ experiences of working together’ • Making Mergers Work: helping you succeed Adrian Ashton

  9. Remember to try and enjoy yourselves...

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