The pros & cons of setting up a sports organisation as a charity

In December 2022 it was announced that Brighton Marathon 2023 would, after much uncertainty go ahead as planned in April 2023 meaning that thousands of entrants wouldn’t have to rethink their upcoming New Year’s Resolution and that their entry fee would not go to waste. The event had been in jeopardy as previous winners had not been granted prize money and Grounded Events Company Limited, the owners and operators of the Brighton Marathon had gone into administration on 16 December 2022[1]. Thankfully for those who entered and the local economy of the area, London Marathon Events Limited (“LMEL”) were granted a licence to operate the event from 2023 to 2027.

As local councillor Martin Osborne noted, Brighton would benefit from the “expertise” of LME given its experience of “running one of the world’s biggest marathons” in London[2]. However chief among LMEL’s running of the event is the fact that Brighton and Hove may benefit from investment by the parent charity of LMEL, The London Marathon Charitable Trust Limited (the “London Marathon Trust”) which could be of considerable benefit to the local area and community.

This article explores organisations in sport who have been incorporated as charities and the advantages and disadvantages along with alternatives. It looks at:

• Organisations in Sport with a Charitable Status
• Advantages and Disadvantages of Charitable Status
• Community Amateur Sports Club Status
• Other Legal Structures