Legal and Advisory Support for Arts Entities Transitioning to Non-profit Status

Ms Usha Chandradas asked the Minister for Culture, Community and Youth whether the Ministry has any plans to offer targeted legal and advisory support for arts entities to transition from for-profit to non-profit status.

Mr Edwin Tong Chun Fai: Arts entities may transition from for-profit to not-for-profit status for a variety of reasons. Depending on the circumstances and what advice in relation to the transition might be needed, we assess each on a case-by-case basis. This is because the reasons for transition, its business structures and interests of the stakeholders will vary from organisation to organisation. The complexity of legal and other form of advice will also vary accordingly.

In addition, the Government also provides support for non-profit arts organisations that are looking to become a registered charity or attain Institution of a Public Character (IPC) status through the National Arts Council's Support for the Arts (stART) Fund, which provides funding towards the associated legal costs. In Financial Year 2022, five arts organisations attained IPC status with support from the stART Fund. They are: Traditional Arts Centre, Art Photography Centre, Resound Collective, Siong Leng Musical Association and Paper Monkey Theatre.

Arts groups that are registered charities and IPCs can tap on resources, such as the Charities Capability Fund, to enhance productivity, operational efficiency, governance and management capabilities. This helps build up and strengthen their capabilities to fulfil their regulatory requirements.