National Lottery syndicates at work have become extremely popular in an attempt to increase the chances of winning (and for fun, of course). However, have you ever thought what would happen if someone didn't pay their stake during a winning week? What if someone demanded that they were entitled to a bigger share of the winnings than other people (perhaps because they have been in the syndicate for longer)?

In most cases, there would be no legal way of finding a solution. However, the answer is to create a signed agreement by all members of the syndicate. Although there is no fixed (or legal) way to produce an agreement, you should make sure it covers all angles to avoid any possible disputes.

An agreement will settle all disputes (if done properly) and can be used as legal evidence if a member of the syndicate disagrees with how any winnings are distributed.

Firstly, the agreement must state the names of each member of the syndicate in addition to their chosen numbers and how much they will pay each week. Each member must sign to confirm their details and contributions. Distribute copies of the agreement to all members and keep the original safe.

The agreement must state your policy of how any winnings are split or used (i.e. £10 wins will be put towards next week's tickets). If all members contribute the same amount each week (i.e. £1) then it is likely that you would distribute any winnings equally. You may allow someone to have a higher percentage of the winnings if they pay more than everyone else (on agreement).

Create a rule for those people that fail to pay during a given week - will you give them, say, until the day of the draw to pay up, or will you exclude them from the syndicate for that week?

Also make sure that you state which draw(s) (Saturday, Wednesday or both) you are contributing to.

By having an agreement all recorded members will avoid inheritance tax on any large winnings. The absence of an agreement, however, may result in such tax being liable to all those in the syndicate (aside from the person that will take responsibility for the winning ticket).

Most importantly, make sure that you create a new agreement for every change in the syndicate i.e. new members, opting out members, changed policies, changes to what people pay, etc.

Finally - dedicate a manager of the syndicate who will be responsible for collecting the money, buying the tickets, and maintaining the agreement.