Toddler Group

Jenni T
Jenni T Registered Posts: 4 New contributor ?

I have a childminder friend that was thinking of starting up a toddler group. She has been told that she doesn't need to register the group with HRMC but as money is exchanging hands (the entrance fee will then pay for refreshments the following week) I am thinking that it should be registered as a not for profit organization.

I would appreciate your thoughts on this as I don't want her to get into trouble at a later date.

Many thanks



  • T.C.
    T.C. Registered, Tutor Posts: 1,448
    If it is not a profit making business and not a charity, then I can't see that you would need to do anything. It would just be treated like the local darts club or football team. I would always suggest good records are kept though, ins and outs etc, just so that it can be seen that the club is being run correctly and no-one is pocketing anything.....but maybe that is just my suspicious nature.
  • coojee
    coojee Registered Posts: 794
    Won't she need some kind of PL insurance? And wouldn't that require it to be registered as a charity or some other legal form?
  • KaelaH
    KaelaH FMAAT, AAT Licensed Accountant Posts: 131 ? ? ?
    I used to run a toddler group with a friend. We never needed to register it with HMRC or the Charity Commission due to its size. Takings were purely to cover costs of hall rental & refreshments etc. and occassional new toys etc.
    Tell your friend to take a look at this link, if she hasn't already. They are very helpful, give lots of guidance (and forms for financial side) and you can also purchase your insurance for the group through them, very competitive price and well worth it.

    Best wishes for your friend
  • stevo5678
    stevo5678 Registered Posts: 325
    Is your friend going to organise the group with no profit or salary intentions at all? If so is she just working for free?

    If she pays herself anything then there would be a strong case that its a normal profit making business.

    The website link is good but there's many references to normal profit making childcare providers EG sole trader, partnership (under legal structure).

    Alot depends on your friend's motives but i would want to clarify with hmrc.
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