About corporate structures
Some charity structures are corporate bodies. If you choose a structure that forms a corporate body, the law considers your charity to be a person in the same way as an individual.
This gives your charity the legal capacity to do many things in its own name that a person can do, such as:
- employing paid staff
- delivering charitable services under contractual agreements
- entering into commercial contracts in its own name
- owning freehold or leasehold land or other property
If a charity structure is a corporate body, generally its trustees aren’t personally liable for what it does.
If your charity isn’t a corporate body (‘unincorporated’):
- the trustees are personally liable for what it does
- it won’t be able to enter into contracts or control some investments in its own name
- two or more trustees, a corporate custodian trustee or the charities’ land holding service will have to ‘hold’ any land on your charity’s behalf