club ownership of land
Discussion
Morning,
There is a possibility of my shooting club being sold/given a small piece of land attached to the range. The range is not owned by us but by a landlord and we just rent it.
Is it possible for a club to own a piece of land?
Whose names are on any "deeds"?
What happens if any named person dies/leaves the club especially if they were to leave under a cloud for some reason?
Thanks for any help, I just want to know if it's possible before we tell the vendor that we're interested.
There is a possibility of my shooting club being sold/given a small piece of land attached to the range. The range is not owned by us but by a landlord and we just rent it.
Is it possible for a club to own a piece of land?
Whose names are on any "deeds"?
What happens if any named person dies/leaves the club especially if they were to leave under a cloud for some reason?
Thanks for any help, I just want to know if it's possible before we tell the vendor that we're interested.
Afaik a club cannot hold anything directly in its own name as it has no legal existence as such.
I would imagine that said club could become a legal entity ie form some form of company though which would then allow it to hold the land.
Failing that route ,I would guess that Trustees have to hold the land on the clubs behalf.
I'm not a Solicitor though so hopefully one will be along to correct me or point out more accurate facts.
I would imagine that said club could become a legal entity ie form some form of company though which would then allow it to hold the land.
Failing that route ,I would guess that Trustees have to hold the land on the clubs behalf.
I'm not a Solicitor though so hopefully one will be along to correct me or point out more accurate facts.
The club i am a member of, (vehicle based), is also a limited company. It has a number of competition based assets - trailers, marquees, fire extinguisher type things, which are company assets. Club officials are therefore directors and come and go. Are there enough of you for that to be an option?
Edit for weird auto correct.
Edit for weird auto correct.
Edited by Essel on Thursday 6th November 10:48
In theory, two or three club members could own the land jointly, holding it as Trustees for the club. This is a right pita because any change of trustees (resignation, move away, death) will require more conveyancing to transfer the land into new names.
Better to form a cheap and cheerful company "Gun Club Ltd" to buy the land.
Initial company directors are whoever runs the club.
Share capital created equal to the cost of the land.
Shareholders may be either the directors or all the club members.
Changes of director/shareholder are easy to manage going forwards.
The solicitors who represent the club on the land purchase should be able to set this up without too much cost. Ongoing costs should be minimal.
P.S. You could consider putting the whole club in the company.
Better to form a cheap and cheerful company "Gun Club Ltd" to buy the land.
Initial company directors are whoever runs the club.
Share capital created equal to the cost of the land.
Shareholders may be either the directors or all the club members.
Changes of director/shareholder are easy to manage going forwards.
The solicitors who represent the club on the land purchase should be able to set this up without too much cost. Ongoing costs should be minimal.
P.S. You could consider putting the whole club in the company.
A key item of information is needed. How is the Club structured? Unincorporated association? Company limited by guarantee?
I'm guessing from the tenor of your post that it's the former. If so, check this out - https://www.parklaneplowden.co.uk/club-property-pr...
I'm guessing from the tenor of your post that it's the former. If so, check this out - https://www.parklaneplowden.co.uk/club-property-pr...
Not an expert but had dealings with this a few years ago. You need to form all the club members into some sort of legal entity.
If all the members just act together it is an unincorporated association. This may be appropriate but means that each individual member is jointly and severally liable for everything.
Other options are a Charitable Incorporated Association or a Company Limited by Guarantee. There may be others, you will probably need legal advice.
Once the entity is formed you need to write a set of rules to cover the structure of the club and how it will be managed. The structure should state that the members will form a committee who will run the club, 3-5 trustees will be nominated from the committee who hold that position for 3 years. The trustees hold the land on behalf of the club.
Club rules will need to cover all sorts of stuff - safeguarding, conflict of interest, complaints, discipline, whistle blowing, bullying etc.
We ended up spending £5,000 in legal fees.
If all the members just act together it is an unincorporated association. This may be appropriate but means that each individual member is jointly and severally liable for everything.
Other options are a Charitable Incorporated Association or a Company Limited by Guarantee. There may be others, you will probably need legal advice.
Once the entity is formed you need to write a set of rules to cover the structure of the club and how it will be managed. The structure should state that the members will form a committee who will run the club, 3-5 trustees will be nominated from the committee who hold that position for 3 years. The trustees hold the land on behalf of the club.
Club rules will need to cover all sorts of stuff - safeguarding, conflict of interest, complaints, discipline, whistle blowing, bullying etc.
We ended up spending £5,000 in legal fees.
Panamax said:
In theory, two or three club members could own the land jointly, holding it as Trustees for the club. This is a right pita because any change of trustees (resignation, move away, death) will require more conveyancing to transfer the land into new names.
Better to form a cheap and cheerful company "Gun Club Ltd" to buy the land.
Initial company directors are whoever runs the club.
Share capital created equal to the cost of the land.
Shareholders may be either the directors or all the club members.
Changes of director/shareholder are easy to manage going forwards.
The solicitors who represent the club on the land purchase should be able to set this up without too much cost. Ongoing costs should be minimal.
P.S. You could consider putting the whole club in the company.
I'm in a 'club' structured like this. Ltd co owns the assets. All 'members' are shareholders. We vote a board of directors to manage everything, directors stand for 3 years then they are reelected. Company articles of association are all written to ensure no directors can do anything major without a full shareholder vote etc. Better to form a cheap and cheerful company "Gun Club Ltd" to buy the land.
Initial company directors are whoever runs the club.
Share capital created equal to the cost of the land.
Shareholders may be either the directors or all the club members.
Changes of director/shareholder are easy to manage going forwards.
The solicitors who represent the club on the land purchase should be able to set this up without too much cost. Ongoing costs should be minimal.
P.S. You could consider putting the whole club in the company.
Works ok but is complicated for a small club/company.
I've been in a few sailing clubs, most of which owned freehold land or buildings.
The club can either hold the freehold via trustees or some clubs are companies 'limited by guarantee'.
The RYA, as National Authority and umbrella organisation for clubs, publishes a lot of stuff about the legal angles of running a club and (AFAIK) retains a solicitor who can give advice. I'd imagine many associations of sports clubs publish similar.
I used to be involved in the admin, but not for a few years now.
If the club is a CASC, then there may be some info via some gov't website? Sport England maybe?
I'd imagine of you find any local sports club which is genuinely owned by its members, some advice could be shared?
It's well-trodden territory.
The club can either hold the freehold via trustees or some clubs are companies 'limited by guarantee'.
The RYA, as National Authority and umbrella organisation for clubs, publishes a lot of stuff about the legal angles of running a club and (AFAIK) retains a solicitor who can give advice. I'd imagine many associations of sports clubs publish similar.
I used to be involved in the admin, but not for a few years now.
If the club is a CASC, then there may be some info via some gov't website? Sport England maybe?
I'd imagine of you find any local sports club which is genuinely owned by its members, some advice could be shared?
It's well-trodden territory.
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