Legal Question in Business Law in California
Fundraising for clubsorganizations
Can kids who are members of a (kids) club legally hold fundraisers for their club andor for a cause. What are the legal steps a club (by kids) would have to take to be able to raise funds. Where can I find legallaw guidelines for forming and operating a community club?
1 Answer from Attorneys
Re: Fundraising for clubsorganizations
Unless you are looking to form a non-profit organization there are really no legal guidlines that you need to follow. The only reason for forming a non-profit is so that when people donate money to you they can write it off. This is a long and complicated process and I do not recommend it unless there are several people who wish to make contributions. As far as fund raising, as long as the organization for which you are raising funds agrees and you give all the money that is raised to the organization you are fine. When you are looking to raise funds for an organization confirm that the organization is legit this way you protect yourself. If you are looking at holding outings where there would need to be transportation make sure that either the kids provide their own transportation or have their parents sign a waiver of liability against the organization. This should state the organization caries no insurance so in case of an accident their car insurance and/or medical insurance would cover the accident. I always advise that when my clients allow their children into someone's vehicle they ask for a copy of their insurance policy and confirm that they have atleast a 50/100. This means that the limits per person is $50,000 and per accident $100,000. This way even if their are five people in the car they will each have access to $20,000 of insurance. If you have any questions please feel free to give me a call. I think the best bet is to have get togethers at public parks where every one has their own transportation and to raise money for places like the YMCA, United Way or the Goodwill. These are all reputable non-profit organizations who are always willing to accept money. If you have any questions or problems please feel free to call me at 888-563-8529. Additionally, I would call the local YMCA they always have great information when it comes to kids programs, fundraising and clubs.
John Hayes
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