How to Brand Your Non-Profit Business

First of all, the creation of an association under the 1901 law, like the creation of the free trade union association, is relatively simple.

It includes globally:

The drafting of the statutes and the choice of the legal status of the association;

The declaration to the various administrations;

The publication of a notice of incorporation.

Currently, various administrative services give Internet users the possibility to create their association or company online through an online service that allows them to carry out the incorporation in no time. Most of them even propose filling in a publication request form in an official journal to speed up the procedure.

The non-payment of social security contributions is also one of the main reasons for setting up an association. The founders of the association will thus have the opportunity to solicit the help of volunteers to ensure its functioning. No financial constraints are imposed on the members of the association such as when creating a student association, for example, unlike the procedure for creating a limited liability company or a EURL.

Taxation is free of taxes and VAT. Finally, the management of an association requires only minimal accounting. Therefore, there is no need to hire a professional to handle the association’s accounting.

This table details examples of the advantages of a sports or non-profit association while explaining why it is interesting to create an association in a company and what is the interest of an association in relation to a company.

CREATE AN ASSOCIATION: FORMALITIES

To implement a sports, charitable, educational or cultural project, the creation of an association is recommended. In most cases, the 1901 law association is recommended. It is a non-profit association governed by the law of 1 July 1901.

What is the 1901 law for an association?

This law was drafted by Waldeck-Rousseau, former President of the Council and Minister of the Interior and Religious Affairs. It oversees the functioning of associations present in France while ensuring the protection of members’ rights. It defines an association as a convention by which two or more individuals organize themselves together to develop their knowledge and activities for a non-profit purpose.

The 1901 law establishes the legal regime for associations according to the principles of common law and following the example of contracts governed by the Civil Code. It is within this framework that the constitution, operation and dissolution of the association are regulated. In France, the creation of an association is an expression of a public freedom recognized by the Constitutional Council.

What are the steps to follow to create an association?

The procedure for setting up a 1901 association is relatively simple and quick. All you have to do is follow these seven steps to start your educational, cultural, charitable or sporting activities:

Check the number of founders: there must be at least two of them. In Alsace, the minimum number of founders is seven.

Choose the headquarters of the association: just like companies, the association must have a headquarters in order to determine the prefecture and sub-prefecture to which it is attached.

To reconcile the objectives of the associative project with the provisions of the 1901 law: i.e. the association must only work to implement non-profit projects.

Draft the statutes: these are the specific rules of the association, most of which are imposed by the 1901 law.

Elect the members of the association’s executive committee: these persons must lead and represent the association. To this end, they must be at least 16 years old. The president or presidents are often assisted by a treasurer and a secretary.

Declare the constitution of the association: after meeting the documents (the statutes and the minutes of the constituent general assembly), it is possible to make the declaration online or at the prefecture. A receipt of the declaration of association containing the RNA number is then given to the founders of the association. If the files are not in conformity, the prefecture sends a rejection letter.

Publish the declaration in the Official Journal: as for companies, the publication in the Official Journal of the declaration of incorporation of the association is mandatory. The cost of publication depends on the number of characters. If the declaration is longer than 1,000 characters, the fee may be 150 euros. A publication of less than 1,000 characters costs 44 euros.

Following these formalities, the founders of the association obtain a Siret number giving them the possibility to request subsidies.