In order to hold funds securely and meet the governance requirements of grant funders, a community group should possess a bank account it its own name. Most banks offer free accounts for community groups (typically called a treasurers’ account) and SCVO provides a comparison table of commonly available accounts.
To open a bank account, a community group’s management committee must first agree to do so at a minuted meeting and appoint three designated signatories responsible for lodging and withdrawing funds. Any appointments must comply with the group’s constitution i.e. it is common that all signatories must be management committee members and that the treasurer will be one. Dual authorisation on withdrawals will also be stipulated.
The management committee can then arrange with the bank of their choice to open an account by completing the relevant paperwork and providing:
- A copy of the meeting minutes.
- A copy of the group’s signed constitution.
- Identification for each signatory (photo ID and proof of address etc.).
For further information on opening a bank account, please see SCVO’s bank accounts guidance, the British Banking Association’s Banking for Charities/Voluntary Organisations guidance or contact VASLan’s Stuart Reilly at [email protected]