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groups:startup [2024/04/26 15:04] – [Banking & Finances] lizkcgroups:startup [2025/05/03 12:39] (current) – [Starting a Group] lizkc
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 ====== Starting a Group ====== ====== Starting a Group ======
 +
 +[[groups:about|Why OSG]] | [[groups:startup|Starting a Group]] | [[groups:org|Group Organization]] | [[groups:dashboard|Registrations & Background Checks]] | [[groups:tools|Apps & Software]] | [[groups:finances|Finances]] |  [[groups:recruitment|Recruitment]] | [[groups:volunteers|Volunteers]]
  
 There are a number of considerations when starting a new group. You will need at least two non-related rovers to ensure two-deep leadership, and it is generally a good idea to have several families who are interested in participating. If you don't have other families involved at this point, you can check out the Lone Scout Program. There are a number of considerations when starting a new group. You will need at least two non-related rovers to ensure two-deep leadership, and it is generally a good idea to have several families who are interested in participating. If you don't have other families involved at this point, you can check out the Lone Scout Program.
 +
 +All new scout groups are required to have at least one trained leader to be granted a provisional charter. For more information about our training program, check out the [[groups:org|Group Organization]] page.
 +
 +Once you have read through this primer and decided that you are interested in moving forward with starting a group, the next steps are as follows:
 +
 +  - Contact your regional commissioner
 +  - Pass a criminal history check and register as a member of Outdoor Service Guides
 +  - Answer an online questionnaire and provide references
 +  - Participate in an interview with your regional commissioner
 +  - Attend a Brownsea Training Camp (BTC3)
 +  - Get your charter and start scouting
  
 ===== Group Identity ===== ===== Group Identity =====
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   * Think about how the name and number sound together. You will likely be shouting the name of your group at some point, does it roll off the tongue?   * Think about how the name and number sound together. You will likely be shouting the name of your group at some point, does it roll off the tongue?
   * If you are considering naming a group after a specific person, think about whether that person is the best representation of your community and values and whether that name sends a message of inclusion to all.   * If you are considering naming a group after a specific person, think about whether that person is the best representation of your community and values and whether that name sends a message of inclusion to all.
 +  * The terms "scouts" or "scouting" are trademarked by BSA and Girl Scouts in the United States and may not be used when opening accounts, registering for an EIN, or submitting any other official filings.
 +
 +Once you have secured your group's name and ordinal, it's a good idea to obtain the domain name and social media accounts associated with those names. Aim for consistency and try to keep the handle the same across platforms where possible. For more information about using social media platforms, check out the [[groups:recruitment|Recruitment and Advertising]] page.
  
 === Neckerchief ("Necker") Design === === Neckerchief ("Necker") Design ===
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 ===== Legal Structure ===== ===== Legal Structure =====
  
-When forming a group, there are some legal implications to consider in terms of how it is structured. Even if you are not applying for 501c3 status immediately, there are still benefits to registering as a nonprofit at the state level, including limiting your personal liability. Outdoor Service Guides groups would fall under the Public Benefit Corporation category, as the mission revolves around providing youth outdoor education and service opportunities. You will need to have articles of incorporation and bylaws in place to register.+When forming a group, there are some legal implications to consider in terms of how it is structured. Even if you are not applying for 501c3 status immediately, there are still benefits to registering as a nonprofit at the state level, including limiting your personal liability and allowing you to open a business bank account in the group's name. Outdoor Service Guides groups would fall under the Public Benefit Corporation category, as the mission revolves around providing youth outdoor education and service opportunities. You will need to have articles of incorporation and bylaws in place to register.
  
 Once you have registered with the Secretary of State, you can go about applying for an EIN. This allows you to open a business bank account in the name of the group. Once you have an EIN, you can consider applying for 501c3 status. The primary benefits to being a 501c3 is that income is not taxed and that you may apply for grants without needing an external fiscal sponsor. Nonprofit status may also affect your ability to get insurance. the downsides of becoming a 501c3 are additional record keeping and filing requirements. Groups are not required to hold 501c3 status but it is recommended that they incorporate and obtain an EIN to limit personal liability. Once you have registered with the Secretary of State, you can go about applying for an EIN. This allows you to open a business bank account in the name of the group. Once you have an EIN, you can consider applying for 501c3 status. The primary benefits to being a 501c3 is that income is not taxed and that you may apply for grants without needing an external fiscal sponsor. Nonprofit status may also affect your ability to get insurance. the downsides of becoming a 501c3 are additional record keeping and filing requirements. Groups are not required to hold 501c3 status but it is recommended that they incorporate and obtain an EIN to limit personal liability.
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 Once your group is established, whether you are a nonprofit or not, you will have yearly filings that need to be done. Filing requirements vary by state. You can check [[https://www.hurwitassociates.com/nonprofit-registration-and-compliance/|here]] to find out what the annual filings are where you are located. Late or missed filings can result in fines or your nonprofit status being revoked. Once your group is established, whether you are a nonprofit or not, you will have yearly filings that need to be done. Filing requirements vary by state. You can check [[https://www.hurwitassociates.com/nonprofit-registration-and-compliance/|here]] to find out what the annual filings are where you are located. Late or missed filings can result in fines or your nonprofit status being revoked.
 +
 +===== Banking =====
 +
 +Once you have registered with the Secretary of State and obtained an EIN, you will be able to open a bank account. If you opt not to register with the secretary of state, you will have to open the bank account with your own social security number. This is not ideal in the case of transitioning the account into someone else's name if you ever leave the group, so it is not recommended. Regardless of whether it's under an EIN or your social security number, the account should be opened as a business account. You should have at least two signers on the account, one being the treasurer and the other generally being the GSM. You should also have a third non-related member of the auxiliary committee who has visibility on the account but is not a signer. Group bank accounts should never be linked to any signer's personal bank accounts. 
 +
 +If the members of the auxiliary committee change, you will need to record the change in the meeting minutes of your group council, then take those minutes with you to the bank to have the signers updated. You will also need to update the change with the secretary of state when you do your yearly filing.
  
 ===== Insurance & Liability ===== ===== Insurance & Liability =====
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 [[https://insurancefornonprofits.org/|Nonprofit Insurance Alliance]] [[https://insurancefornonprofits.org/|Nonprofit Insurance Alliance]]
  
-===== Banking =====+===== Setting Registration Fees =====
  
-Once you have registered with the Secretary of State and obtained an EIN, you will be able to open a bank account. You should plan to have at least two signers on the account, one being the treasurer. The other signer should also be a member of the auxiliary council, either the chair, secretary, or GSM. Bank accounts should not be linked to any signer's personal bank accounts. You should also have a third person who is not a signer on the account but has visibility on the account and conducts regular audits.+Registration fees are the primary source of income for most OSG groups. At the same time, we are an organization committed to equity and it is important to consider affordability when it comes to determining these fees. As an all-volunteer organization, we don't have to pay for staffing, which is one of the most expensive parts of operating a youth program, however there are other costs that must be taken into account.
  
-If the members of the auxiliary committee change, you will need to record the change in the meeting minutes of your group council, then take those minutes with you to the bank to have the signers updated. You will also need to update the change with the secretary of state when you do your yearly filing.+In order to make scouting truly accessible to everyone, it's important to have scholarships available to anyone who needs them. Another option to subsidize your programming is through fundraising, either through a concerted fundraising effort or through writing grants. Some areas seek to make scouting completely free to all scouts through fundraising efforts. 
 + 
 +One other note on fundraising is that a number of families are drawn to OSG because there is not a lot of emphasis placed on fundraising efforts. You can find more information about fundraising in general on the [[groups:finances|Group Finances]] page. 
 + 
 +=== Costs === 
 + 
 +There are a number of costs that are important to take into account when determining group expenses and dues: 
 + 
 +  * **Yearly Registration Fee:** $20 per person, including youth, rovers, and background checked adults. 
 +  * **Insurance:** This can vary widely depending on number of scouts and amount of insurance taken out. A reasonable estimate is somewhere around $25 per registered scout per year. 
 +  * **Uniforms (Neckers), Patches, and Handbooks:** While most groups expect their family to purchase the shirts for their uniforms, groups provide the neckers and patches. Neckers are designed on a group by group basis and the cost may range from $5 to $20 depending on material and whether they are bought or made by volunteers. Patches/badges range from $0.50 to $2.00 each. You may consider charging more the first year to absorb the cost of the necker. Handbooks cost $12 - $25 depending on the section. 
 +  * **Camping Fees:** Between food and campsite fees, this is generally around $25 per person for a weekend long campout at a public fee based group site. If you are camping off grid or backpacking it may be closer to $15 per person. You can charge these on a per-trip basis or include them in your yearly fee. 
 +  * **Activity Fees:** This varies quite a bit depending on what you do. If you do a particularly high-cost activity, you could consider an extra charge for that if your group cannot absorb it. 
 +  * **Group Equipment and Storage:** Many groups own some amount of shared equipment, which they may lend to other groups in the area or use only for their own group. This equipment must be stored somewhere, either at a scout family's property or in rented storage space. 
 +  * **General Group Admin Costs:** This includes things like the group charter, state filing fees, and miscellaneous admin expenses. 
 +  * **Scholarship Fund** Many groups offer sliding scale fees for families that may otherwise not be able to afford scouting. 
 + 
 +So an example cost breakdown for a scout's yearly costs would be: 
 + 
 +  * $20 registration 
 +  * $25 insurance 
 +  * $20 necker (first year only) 
 +  * $15 badges/handbooks 
 +  * $5 administrative costs 
 +  * $5 scholarship fund 
 +  
 +That gives a base cost for the first year of scouting of $90 ($70 thereafter), not including activity fees. If you are charging dues, you can determine what additional costs you want to build into the yearly fee and what you want to charge for separately. Some groups build in $30 - $50 for activity and equipment costs throughout the year but charge separate camping fees. Others build in the camping costs to the yearly dues so families don't have to pay separately for campouts. 
 + 
 +If you have scouts join throughout the year rather than just at the start of the scouting year, you may consider prorating the dues for the first year depending on when in the scouting year they join, since they would not be incurring the same costs as a scout who was with the group for the entire year. 
 + 
 +One other budget consideration is that you may want to consider not charging rovers/background checked adults who are volunteering their time as leaders. It may be slightly more expensive to spread that cost out among the group, but it is a way to acknowledge the time and energy that leaders put into leading youth sections. 
 + 
 +=== Scholarships === 
 + 
 +You could simply say that you offer scholarships to anyone that needs them, but another way to accomplish this without causing embarrassment to lower-income families is through a pay-what-you-can system. You can have a self-selected tiered pricing system: 
 + 
 +  * Pay the Actual Cost: The actual program cost 
 +  * Pay a Little More: The program cost plus an extra donation to support scholarships (maybe 10 - 20% more) 
 +  * Pay a Little Less: A subsidized amount (maybe ~50% of the total) 
 +  * Also offer the option to request a larger discount if needed 
 + 
 +Families who can afford to pay a little more are generally happy to do so, and that allows families who may otherwise not be able to participate to do so without feeling singled out. This works well for camping trip expenses, but you could also use it for general dues.

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