Incorporating Your Sports Club or Athletic Organization

Surprise! You've just been elected President, Executive Director, or Treasurer of an amateur sports club, and you've made an important discovery - your club is not incorporated as a nonprofit corporation. What should be done?

First, don't panic. Your club isn't the first, or the only club, that's operating as if it were a nonprofit corporation - but isn't. But, don't relax either - individual members of an unincorporated association can be liable for the debts of the organization.

Second, call us. We're nonprofit specialists, and we know what to do in circumstances like this. During the past few years, we've encountered many unincorporated associations. Some of the organizations we've seen have been operating for many years as if they were incorporated - but weren't.

If this is your situation, gather as many organizational documents as are available - documents such as: minutes of meetings, names of officers and directors, bylaws (or constitution), financial records for three years, and similar documents.

We'll prepare Articles of Incorporation as a nonprofit corporation. Articles of Incorporation are important - there's nothing "standard" about them. We'll prepare them with liability-limiting provisions to protect your volunteer officers, directors, and other volunteers, from personal liability in the event of a lawsuit. We'll also prepare your Articles for the next step - obtaining tax-exempt status. And then, we'll file them.

As part of this process, we'll make sure you have bylaws appropriate for your organization. We'll include provisions relating to indemnification in the event of a lawsuit, provisions for receiving and administering donations, and provisions necessary for tax-exempt status. We'll sit down with your board and explain corporate procedures so you will know what to do.

Becoming incorporated is the first step. But don't wait. If we can help you, contact us now.