Certificate of Incorporation
Example of a Certificate of Incorporation
Information about recordkeeping for non-profits in British Columbia
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Is it active ?
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This Fact Sheet provides information about the legal rules non-profits must follow for keeping official records about its finances.
Non-profits must keep and store certain financial records. Section 20 of the Societies Act requires non-profits to keep records of its financial statements and auditors’ reports (if any) on those financial statements. Best practice is for non-profits to also keep up-to-date and detailed accounting records. Financial statements and accounting records are not the same thing.
| Financial Statements Broad Overview of Financial Position |
Accounting Records (aka General Ledger) Detailed Individual Financial Transactions |
|
Income Statement |
Date and amount of deposits and withdrawals |
|
Balance Sheet (Statement of Financial Position) |
Cheque numbers |
|
Statement of Cash Flows |
Bank account numbers |
|
Equity Statement
|
Daily balances |
|
*must be approved by the membership |
Bank statements |
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Donation receipts |
Financial statements should be stored in the non-profit’s official records folder. Accounting records change frequently so it is best to not keep these records in the official records folder. Instead, there should be a notation in the official records folder about where to find the accounting records. A non-profit can restrict access to the accounting records in its bylaws.
How to Take Minutes
Are members organized by class in your non-profit’s Register of Members?
Here’s an example Register of Members organized by class.
Does your non-profit have different classes of members?
Classes are groups of members that have different sets of rights. For example, some non-profits have voting and non-voting classes of members.
Does your non-profit have a Register of Members in its official records folder?
A Register of Members is an official record that must be created and maintained by a non-profit. The Register of Members lists the names of members and one piece of contact information the member has provided.
Does your non-profit keep adequate accounting records?
Accounting records is a broad category which includes details on individual financial transactions such as the date and amount of deposits or withdrawals, cheque numbers, bank account numbers, daily balances, etc. Normally it is called the general ledger.
Does your non-profit keep copies of its financial statements in its official records folder?
Financial statements are a broad overview of a non-profit’s financial position, presented for member approval at each Annual General Meeting (AGM). Financial statements generally include four documents: income statement, balance sheet, cash flow record, and equity (retained earnings) statement.