Registering Non-Profits

Registering a non-profit has many benefits for an entity. Incorporating gives an organization legal status. It is not essential for a non-profit organization to incorporate; however, whether an organization decides to incorporate or not depend upon its activities, nature and the type of organization.

An incorporated organization can enter into contracts, buy land, borrow money, and have bank accounts, etc. in its own name.

When a non-profit organization is incorporate it becomes a legal entity with virtually the same power as an individual. An incorporated organization can enter into contracts, buy land, borrow money, and have bank accounts, etc. in its own name.

Advantages to incorporating include:

• Liability of the members and directors is limited (for example, they are not personally liable for debts of the corporation)
• Continuity of the organization is assured even when the membership changes
• Corporations can own property in their registered name, regardless of membership change
• Ability to bring a legal action in its own name (an unincorporated body cannot)
• Chances of receiving grants from the Saskatchewan Lotteries Trust Fund, or other government grants, may increase because of stability the organization appears to have.

HOW TO INCORPORATE

One or more persons can incorporate a non-profit corporation. The individuals must be at least 18 years old, mentally competent and cannot be bankrupt. There are two options for submitting an application for incorporation:

• You can apply online through Business Registration Saskatchewan at www.isc.ca/businessregistrations. This online service allows you to complete all steps to incorporate your non-profit, and it will allow the organization to also be registered with the Workers Compensation Board and the Ministry of Finance.
• You can download an Incorporation Kit from the Corporate Registry at www.isc.ca/corporateregistry. This website has all the necessary forms and instructions as to how to complete them. You will still need to register with Workers Compensation and the Ministry of Finance separately.

FOUR STEP PROCESS TO INCORPORATION

There are four items you will need to incorporate your non-profit: Request for Name Search and Reservation, Articles of Incorporation, Notice of Registered Office, and Notice of Directors.

Request for Name Search and Reservation

Before you may incorporate a Saskatchewan non-profit organization, you must search and reserve a name for that corporation. The Organization’s name must be the same on each form, including abbreviations and punctuation. Guidelines for choosing a name include: the name must end with “Inc.”, “Incorporated”, “Corp”, or “Corporation”; the name needs to have a distinctive element to distinguish the organization from others; and the name needs a descriptive element that explains the type of work being done. If available, the name can be reserved for 90 days.

Complete Articles of Incorporation

Once you have searched for a name and have the reservation number, you can now complete the Articles of Incorporation. Articles of Incorporation identifies the unique characteristics of each corporation, such as: who the incorporators are; name of corporation; number of directors; membership or charitable corporation; etc.

Notice of Registered Office

A corporation must have a registered office in Saskatchewan, and cannot be a post office box. This office is usually where corporate records are kept.

Notice of Directors

When you apply to incorporate as a non-profit, you must list who the directors of the corporation will be. The directors form a board and is responsible for managing the affairs and activities of the corporation. A membership corporation can have just one director, but a charitable organization must have at least three directors. A director must be a mentally competent person who is at least 18 years old and is not bankrupt. At least one director must live in Saskatchewan and at least 25 per cent of directors must be a Canadian resident.