How to Write a Charter Document

A charter document is a document that defines structure of an organisation, small or large. The document has everything in written what happens at your organisation. This includes the mission of its establishment and running, how it is governed, whether there is a board comprising executive and non-executive directors and chairman, how one can become a member of organisation, and criteria for its functioning in other areas of operation and governance.

It is likely that all companies have something in written about what they do, how they do it and who is involved in the business of doing. Small companies do not name the documentation as a proper charter document, although there is no single universally accepted format of a charter document, a properly defined and followed structure for it.

When an organisation grows from a smaller to bigger size, it is likely to have everything defined in written and documented. This is referred to as a charter document. The size, formatting and information in it vary from a document to document, there is no set pattern for writing this document.

Instructions

  • 1

    Start With Mission

    A generally accepted standard for start of a charter document is to start with describing mission statement of the company or organisation. It is likely your company has already something defined and written in one or two paragraphs about its mission.

  • 2

    Define Target Market

    Although it is not necessary, generally an organisation describes the segment of population it serves. It can be a company selling some products and services or a social sector organisation serving a segment of population on no-profit-no-loss basis.

  • 3

    Define How You Set to Achieve Your Mission

    After you have described your mission and segment of the market you serve, define your values and efforts through which you tend to achieve set goals and mission. It can be your core strategy. For example, you value customer care more than any other thing. So define it in the charter document.

  • 4

    How to Become Member

    Your charter document should also contain information about how one can become a member of your organisation. It should set a criteria on which one can apply and become member.

  • 5

    Charter Amendment

    Charter document should also define rules and ways to amend the charter document. It is not less than a legal document and to amend information in it requires a proper system. For example, all members of your organisation should discuss and vote for change in the document.

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