Starting A Non-Profit Society in British Columbia: A Complete Guide

Starting a non-profit society in British Columbia involves navigating complex registration requirements and legal obligations. We know how challenging it can be to understand the incorporation process for charitable organizations.

We start a non-profit society in BC by gathering at least three directors, choosing a unique name, creating bylaws, filing incorporation documents with BC Registry Services, and paying the $30 fee. The process takes 10-20 business days and creates a legally recognized society that can operate for charitable or community purposes.

Just a heads-up, things in the non-profit world shift. The Societies Act got a refresh as of May 4, 2023. You can find the rundown on the changes here: [BC Government Societies Act Amendments]. This guide focuses specifically on Nonprofit BC-specific rules.

Step 1: Building Your Core Team – Officers and Directors

First things first, you need people to run the show. Think of it like this:

• Officers: They're the hands-on folks, handling day-to-day operations. If you get funding, they're the ones who might hire staff or contractors.
• Directors: They're the big-picture strategists. They set the direction and make sure everything's running smoothly.

Now, in smaller non-profits, these roles often overlap, and that's okay. Especially when you're just starting out and budgets are tight. You'll need at least three directors, unless you're a member-funded society, then one is enough.

Think about who you're bringing on board. You want people with different skills. Someone good with finances, someone who knows fundraising, maybe someone with marketing experience. Each director should bring something valuable.

You'll need their full names and addresses for the incorporation paperwork. And each director has to give their written okay to take on the role. It doesn't have to be fancy; a simple note saying, "I agree to act as a director for [society name]," signed and dated, will do. You don't have to name your officers when you incorporate.

Step 2: Picking and Reserving Your Society's Name

Your name is your first impression, so make it count. Here's how:

• Make it unique: Do a quick Google search to make sure no one else is using it. You don't want any confusion.
• Make it descriptive: Your name should give people an idea of what your society does. If you're a birdwatching group, include words like "birds" or "nature."
• End it right: Your name has to end with either "Society," "Association," or "Club." Those are the rules.
• Watch out for restricted words: Some words, especially those related to government, hospitals, or locations, might need extra approvals. To be safe, give the provincial registrar a call at 1-877-526-1526. They can tell you if you need any special permissions.

Once you've got a few names you like, you can reserve one online. It costs a small fee, so have your credit card ready. You can also do it by mail or in person at a Service BC center, but it'll take longer.

Step 3: Defining Your Society's Purpose

While you're waiting for your name to be approved, get clear on why your society exists. Write it down as a "focus statement." It's a quick summary of what you're all about.

For example:

• "To promote the interests of bird-watching seniors in the North Vancouver area."
• "To provide an amateur softball league for elementary school children in Saanich."
• "To encourage and foster responsible exotic pet ownership in the Lower Mainland of British Columbia."

If you need more than one sentence to explain it, that's fine. Just make sure it's clear and to the point.

Step 4: Crafting Your Society's Bylaws

Think of your bylaws as your society's rulebook. They cover everything from how members join to how meetings are run.

Here's what they should include:

• The rights and duties of members.
• How directors are elected (and if they get paid).
• How the society manages its money (can you borrow money?).
• How meetings are conducted.

The provincial registrar provides a model set of bylaws, which is a great starting point. But you'll probably want to tweak them to fit your society's specific needs.

Remember, you can always change your bylaws later, but it takes time, effort, and approval from your members. And there might be fees involved. So, it's best to get them right from the start.

Also, be sure to fully understand the difference between Member funded, and non member funded societies. This will impact the rules your society will need to follow. [BC Government Member Funded Societies]

Step 5: Filing for Incorporation Online

Once your name is reserved, you can start the incorporation process online. You'll need:

• A copy of your purpose statement.
• Your bylaws.
• The names and addresses of your directors.
• Information on if you are member funded, or non member funded.
• A credit card to pay the filing fee.

You'll get an email confirming your name reservation. Use that to start the online process. Once you're done, you'll get your incorporation documents by email or mail.

If your nonprofit is already federally incorporated, you’ll also need to register in BC. See our guide on extra-provincial registration for federal nonprofits in BC.

Step 6: Opening a Bank Account for Your Society

Now that you're officially incorporated, you'll need a bank account. Take your incorporation documents to a bank or credit union.

Before you go, have a discussion with your board about internal controls. Ask yourselves:

• Who will have access to the account?
• How many signatures are needed for transactions?
• Is there a dollar limit for single signatures?

Typically, only directors or officers can sign on the account, and they'll need two pieces of ID.

Charitable Tax Status: A Separate Process

Getting charitable tax status is different from incorporating. It allows you to issue tax receipts for donations.

The Canada Revenue Agency (CRA) has all the details: [CRA Charities and Giving]. You'll need to show that your society's purpose is charitable. Also, review resources from Canadian charity law experts, such as those found at charitylawgroup.ca.

Key Considerations for Long-Term Success

• Record-keeping: Keep accurate records of everything – meetings, finances, etc.
• Regular reviews: Your bylaws and purpose might need updates over time.
• Legal advice: Don't hesitate to seek legal advice if you're unsure about anything.
• Insurance: Consider liability insurance to protect your directors and society.
• Volunteer management: If you use volunteers, have clear policies for recruitment and training.
• Communication: Keep your members and stakeholders informed.

Setting up a non-profit takes time and effort, but it's a rewarding experience. Just follow these steps, and you'll be well on your way.

Do you need help setting up your Society in British Columbia? Schedule a free 15 minute free consultation with our team here, or contact us at ask@charitylawgroup.ca or call 416-488-5888

Frequently Asked Questions

We've answered the most common questions about incorporating non-profit societies in BC. These responses cover the essential information you need to get started.

How to start a nonprofit organization in British Columbia?

We gather at least three directors, choose a unique name, and create bylaws for our society. We file incorporation documents online with BC Registry Services, pay the $30 fee, and receive our certificate of incorporation. After that, we open a bank account and apply for charitable status if needed.

How much does it cost to register a society in BC?

We pay $30 to incorporate a society through BC Registry Services. This is the basic registration fee. We might have additional costs for name reservation or legal help with bylaws, but the core incorporation fee is just $30.

What is the difference between a society and a non-profit in BC?

We use "society" as the legal term in BC for non-profit organizations. A society is incorporated under the BC Societies Act and operates for charitable or community purposes. All societies are non-profit, but some non-profits use different legal structures like federal incorporation.

What are the steps to legally start a non-profit society in British Columbia?

We follow these steps: gather founding directors, reserve our society name, create bylaws, file incorporation documents online, pay the registration fee, and receive our certificate. Then we open a bank account and handle additional requirements like charitable status applications.

What are the rules and regulations governing non-profit organizations in Canada, specifically in British Columbia?

We follow the BC Societies Act for incorporation and ongoing operations. This covers director responsibilities, meeting requirements, and annual reporting. For charitable status, we also follow Canada Revenue Agency rules. The Societies Act was updated in May 2023 with new requirements.