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Cycling Clubs - Defined As 'Small Business'?
KurtOfTheShire
Posts: 14 Forumite
Hello everyone, if this question happens to be in the wrong section then my apologies...
I know a young adult who is unemployed (with ZERO income)and as a cyclist, wants to start a new social "cycling club", that is just a local group of cyclists who go on weekend rides together, etc etc. She is thinking of running it on a membership basis, that is charging members about £15 per year to be in the club for as many scheduled rides as they like, etc etc. She estimates generating an 'income' of about £300 per YEAR from about 20 members max, part of which will cover small expsnses inc running a simple website.
Is such a cycling club defined as a "small business"? Or is such a small venture not considered a business by the Inland Revenue, and HMRC? I'm not sure what to advise her for such a minor 'income'. Is there a minimum income she can generate for herself like this, before she has to notify the authorities?
If it IS a "business", who else should she notify/declare about it?
Also, if she needed a couple of volunteer members to help her physically 'lead' such cycle rides, would those regular volunteers have the same rights as a formal "voluntary worker"?
Thanks,
KOTS.
I know a young adult who is unemployed (with ZERO income)and as a cyclist, wants to start a new social "cycling club", that is just a local group of cyclists who go on weekend rides together, etc etc. She is thinking of running it on a membership basis, that is charging members about £15 per year to be in the club for as many scheduled rides as they like, etc etc. She estimates generating an 'income' of about £300 per YEAR from about 20 members max, part of which will cover small expsnses inc running a simple website.
Is such a cycling club defined as a "small business"? Or is such a small venture not considered a business by the Inland Revenue, and HMRC? I'm not sure what to advise her for such a minor 'income'. Is there a minimum income she can generate for herself like this, before she has to notify the authorities?
If it IS a "business", who else should she notify/declare about it?
Also, if she needed a couple of volunteer members to help her physically 'lead' such cycle rides, would those regular volunteers have the same rights as a formal "voluntary worker"?
Thanks,
KOTS.
0
Comments
-
A cycling club is not a business, but it involves a lot of work, a constitution some office bearers, insurance etc. Try some of the cycling forums for guidance. You can be affiliated to some of the bigger organisations such as British Cycling (BC) for support and help in doing this. You wouldn't normally draw any money from this - some expenses if you are very lucky!
Alternatively you could set up a business leading/ organising rides etc but much of the same would still apply particularly insurance. You would also need to register as self-employed and let benefits people know.0 -
Thanks for the advice Nebulous.
I am definately not interested in affiliation, or forming any kind of 'constitution' or 'committe' as I do not care for politics.
As far as insurance is concerned, I presume you are refering to third party liability cover (something sensible that all cyclists should have in this day and age)? Would it not be sufficient to ask members agree that they are fully responsible for themselves at all times, and that covering themselves with such a policy is THEIR responsibility?? It would be a 'club rule' they would accept.
I think my idea of a membership paying "CLUB" may now be dead in the water! This is looking far too complex to set up to be any fun... it's not worth it.
K.0 -
I'm a member of a cycling club and it is a great deal of fun, but those who run it put a great deal of work in for very little credit.
Again if you consulted BC they could advise on insurance better than me, but no I'm fairly positive making people personally liable wouldn't work. What happens if someone falls off and gets killed on one of your runs? Do you think a widow or children would accept your plea that he accepted the risks himself? It is very unlikely to happen, but that's what you buy insurance for, in case it does.0
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