For organizations
Knowledge Center: Governance & Organization
Knowledge Center: Governance & Organization
How do you set up a volunteer organization?
A good idea is the starting point, but establishing an organization requires more than just enthusiasm. You need to choose a legal form, formalize agreements, and ensure everything is properly documented. This article guides you through the key steps.
A good idea is the starting point, but establishing an organization requires more than just enthusiasm. You need to choose a legal form, formalize agreements, and ensure everything is properly documented. This article guides you through the key steps.
Choose a legal form
Most volunteer organizations opt for either an association or a foundation. What is the difference?
An association has members who hold voting rights and thus influence policy. This makes an association democratic in nature—think of sports clubs and neighborhood associations. A foundation has no members, only a board. This allows for greater operational agility but results in less broad-based support from the constituency.
Both legal forms can be established either with or without a civil-law notary. Proceeding without a notary is faster and cheaper, but the organization lacks legal personality—meaning board members are personally liable. For most organizations, formal incorporation via a notary is advisable as soon as money is involved or agreements are entered into.
Draft the articles of association
Articles of association serve as the rules of the game for your organization. They define its purpose, the composition of the board, the decision-making process, and the procedure to follow should the organization cease to exist.
You can use a template (see the downloads on this page) and adapt it to your specific situation. Afterward, have the document reviewed by a legal professional or civil-law notary—especially if you intend to apply for subsidies or enter into contracts.
Register with the Chamber of Commerce (KVK)
Once you have established a legal entity, you must register with the Chamber of Commerce. Registration is mandatory and a straightforward process. You will receive a KVK number, which is required for opening a bank account, applying for subsidies, and issuing invoices.
Please note: Non-profit volunteer organizations are also required to register.
Open a bank account
A business bank account in the organization's name is not a luxury—it is a necessity. This allows you to keep personal and organizational finances separate, which is important for your bookkeeping as well as for maintaining the trust of grant providers and donors.
Most banks offer special accounts for associations and foundations, often at low cost or free of charge.
Appoint a board
A board consists of at least a chairperson, a treasurer, and a secretary. Clearly define the division of roles—not only in the statutes but also in the board regulations. This prevents ambiguity and conflicts down the line.
Also agree on how often you will meet, how decisions are made, and what happens if someone wishes to step down.
Next step
Your organization is established. Now it is time to develop policies: how do you work with volunteers, how do you communicate externally, and how do you keep your finances in order? Check out the other articles within this theme for further in-depth information.