Organisation Management

Aims Outputs Outcomes and knowing the difference

What Aims

Your overall aim tells everyone why your organisation exists and the overall impact you wish to have on your members or the people you work with

Example: The anytown community trust aims to improve the Quality of life for families living in anytown

Your overall aim should be focused and guided by your organisations vision it should say your organisation would hope to achieve with resources but not a problem. A good way to think about your aims is to think of it as a magic wand question.

Employment Allowance

What is the Employment Allowance?

As of the 6th of April 2014, Businesses, Charities and Community Amateur Sports Clubs (CASCs) who have employees whose salaries incur Class 1 National Insurance Contributions can reduce the amount of National Insurance paid in employer contributions by the organisation by up to a maximum of £2000. This is an Allowance which businesses and charities may use up to the limit every tax year.

Procedures and Policies

The successful functioning of an organisation is dependent on  having Operating Procedures and Policies (often referred to as SOPs Standard Operating Procedures/Policies) and ensuring that all staff and volunteers are aware of them.

 An operating procedure documents the steps that should be taken to carry out a set task.  Standard policies document the rules that staff and volunteers must obey.

 Operating policies can be split into the following categories:

Full Cost Recovery

Full Cost Recovery (FCR) means making sure that the purchaser or funder of a service covers the real and full cost of delivering it.  This is crucial, and funders of services should adhere to the principles of FCR.  Voluntary and community groups need to make sure that they can cost services realistically – including not only the direct costs of delivering a project or service, but also a relevant share of the organisational overheads, including management and governance costs.

Registering For VAT

Am I legally obliged to register for VAT?

You are not legally obliged to register for VAT unless your turnover exceeds £81,000.

What if my earnings are less than £81,000?

You are under no obligation to register for VAT but you will not be able to claim back VAT on purchases.

How do I become VAT registered?

Registering for VAT is a simple procedure and can be done by post or on the HM Revenue Customs website by following this link

What Is A Business Plan?

In its simplest form, a Business Plan is a document that records the strategic business direction of an organisation.


The business plan is the document which establishes the organisation’s short, medium and longer-term objectives, including financial forecasts for 1-3 years. These objectives and forecasts can change as the organisation develops.

The business plan will highlight:

What Is A Contract?

A contract is a formal agreement between two parties.  It means that each party has agreed to do something and that if either of them fails to do it they are covered both by the terms of the contract and by contract law.

In law, contracts can be formed between any two or more individuals or organisations by them agreeing to do certain things, usually in return for payment.  Contracts can be formed verbally and by custom and practice – where normal practice is to do a certain thing for a certain fee, for instance.


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