The rigor with which a club’s admission process is developed, nurtured and applied articulates the quality of the club and its members’ intentions. Unlike business or professional organizations that may be legally required to be open to all vocationally qualified individuals, or groups with public service objectives that solicit open membership support, most private clubs view their admission process in the same light as an invitation to a private social event.
Soliciting New Members
New members should only be solicited and sponsored by existing members. Under no circumstances should private clubs utilize the public media, public‐access websites, ZIP code mail drops, or similar direct marketing methods of soliciting members. Publicly advertising for members not only potentially jeopardizes a club’s private and/or tax-exempt status, but also makes it difficult to reject any person who “applies.”
Clubs should avoid the terms “applicant” and “application.” While there is nothing incriminating or deceptive in these terms, they may be used to create legal standing for an applicant to sue for not being admitted. Any suggestion that a person can “apply” for membership should be avoided. The terms “prospects,” “candidates” or “nominees” are suggested, when referring to prospective new members. Documents should be referred to as “nomination forms” or “proposals.” These terms more accurately convey that the admission process is discretionary, and that no one may claim or assume membership until the club has accepted them.
The essence of a sophisticated admission system is that it operates from the inside out. After potential candidates are considered, based on a decision system particular to that club, an invitation may be extended. The invitation to join a private club should be extended from within the club membership.
The club may choose not to respond to unsolicited inquiries about membership. Any response should advise the inquirer that membership in the club is by invitation only. Some private clubs refer unsolicited inquiries to the membership committee to determine whether the person is a genuine and suitable membership prospect.
Sponsoring New Members
All private clubs should require prospective members to be sponsored or nominated by at least one, but preferably two or more members. The sponsors should know the prospect socially, not just in a business or professional context, so they can attest to the prospect’s compatibility and congeniality with the rest of the membership. Nomination forms should be made available to club members only. Nonmembers requesting such forms should be told they can be obtained only from club members. These steps will further affirm the position of the club as a group of mutual friends and acquaintances, rather than an entity offering membership to whomever would like to join.
The normal process of sponsoring a potential member is straight‐forward. A member who wishes to advance the candidacy of a friend asks the club for a nomination form. The form requires data on the potential candidate: name; address; community involvement, if any; years known by the sponsor and on what basis; other club memberships; professional affiliations; and why the potential sponsor feels this person would be a welcome addition to the club.
The more stringent the sponsorship requirements, such as requiring written endorsements from multiple sponsors or requiring the sponsor to have known the prospect for a defined period of time, the stronger the club’s position. The customary club practice is for all nominations to be supported by written recommendations from two or more voting club members in good standing.
Preferably, board members themselves should not be allowed to sponsor candidates if they are approving candidates for election. This practice ensures their neutrality and reduces any undue pressure placed on the board by prospective members. In addition, some club bylaws may prohibit any member from sponsoring more than one or two prospective members in a given year; or, they may require sponsors to have a specified tenure as members before they may propose candidates. These practices may restrict membership growth, but they will prevent a small group of members from dominating the process or changing the member profile of the club.
Some clubs also bar members from sponsoring work associates in order to prevent undue pressure being placed on them at work. Other clubs only permit candidate suggestions; that is, members do not actually act as formal sponsors. The membership committee investigates the credentials of recommended persons, who do not even achieve the status of candidates until the membership committee determines they are suitable and notifies them they are being considered for membership. Even then, an invitation to join may or may not be issued.
However, the greater the members’ involvement in the admission process, the more defensible will be the club’s claim that it is a private organization where the members decide with whom they wish to associate.
On a related note, clubs are advised not to permit corporations to purchase one or more membership slots that can then be assigned to select employees (without the club’s prior approval of the employee as a designee member). This would entail avoiding the club’s normal membership process, which is never advisable. For tax-exempt purposes, corporate-sponsored memberships are permissible provided the club is required to vet all designees of the corporate-sponsored member, and all voting rights are exercised by one of the designees.
Clubs should always insist on retaining control over the admission process of those nominated for membership under any corporate auspices; corporate member designees should have to comply with the same requirements as all other nominees for membership.
More information about the admission process can be found in NCA’s “Model Membership Admission Process” in the Club Director Reference Series.
Cindy Vizza is NCA’s publisher & senior director of knowledge management.