There is no legal obligation for a sport or recreation club to become incorporated if it remains a voluntary association. If an association is not incorporated, legal rights and obligations can fall on to individual members. Many not-for-profit clubs therefore choose to incorporate after considering the benefits of becoming incorporated. You should also be aware of the need to affiliate with your local association prior to incorporating your club.
Some of the benefits of becoming an incorporated club or association include;
- having club members protected
- improving your club’s fundraising ability and eligibility for grants and;
- making it easier to enter into leases, to open and operate bank accounts and to borrow money.
Not-for-profit sport and recreation clubs generally incorporate under State or Territory legislation known as the Associations Incorporation Act. If you are interested in considering whether to incorporate your not-for-profit club you should refer to the relevant legislation in your State or Territory with the links provided below and seek legal advice as relevant;
>>New South Wales
>>Australian Capital Territory
Further information on Incorporation can also be found on the Australian Sports Commission website.