In New South Wales, NSW Fair Trading regulates charitable fundraising activities. Under the Charitable Fundraising Act, soliciting or receiving money, property or other benefits constitutes a ‘fundraising appeal’ if the appeal is for a charitable purpose or the support of an organisations with a charitable purpose.
To fundraise in NSW, an organisation either needs:
- To obtain an authority to fundraise; or
- To enter into an agreement with the holder of an authority to fundraise.
Individuals must either:
- Obtain approval from an authorised license holder to fundraise on its behalf; or
- Individually apply for an authority.
The are a small number of exceptions to this which will be explored below.
What is a Charitable Purpose?
There are 12 charitable purposes set out in the Charities Act 2012 including:
- Advancing health, education, religion, culture or social or public welfare;
- Promoting or protecting human rights; and
- Other purposes beneficial to the public.
Examples of charitable purposes can be found on the Australian Charities and Not-for profits Commission (ACNC) website.
Do I need an authority to fundraise?
You do not need an authority if you:
- Are a small (volunteer) fundraiser who will raise $15,000 of less in a financial year;
- Represent a university or associated body, or a local council;
- Are a parents and citizens association of a government school;
- Are one of the listed exempt religious organisations;
- Appeal to or receive money from a registered club outlined in the ClubGRANTS guidelines.
For more information about whether you need an authority to fundraise, see Fair Trading’s exemption factsheet.
How do I obtain an Authority?
To obtain an authority to fundraise, you are required to apply online from the Apply to Fundraise page on NSW fair Trading’s website. To complete this form, you will need the following information:
- Details of your organisation structure;
- A constitution naming your organisations purpose and the way it will operate and mange the funds raised; and
- Details of an auditor if your organisation makes more that $250,000 from fundraising appeals in a financial year;
If your organisation has already been authorised with the ACNC, you are automatically eligible to apply for an receive and authority. However, you must still fill out and submit an application form.
For assistance in applying for a fundraising licence, drafting a constitution, or setting up a not-for profit, please contact Ian Miller or Shannon Walsh from our North Ryde office on 9804 5700.
Article prepared by: Shannon Walsh, North Ryde
