A community interest company (CIC) is a limited liability company created with the specific aim of providing benefit to a community. It is a relatively new legal structure, designed to meet the needs of social enterprises and not-for-profit projects, which combine the pursuit of a social purpose with commercial activities.
A community interest company shares many of the features of a limited company, in that it is incorporated and the financial liability of its Directors is limited to a nominal amount.
Community interest companies cannot also be charities, but the form provides recognition of the organisation’s not for personal profit status and community benefits, whilst providing greater flexibility than charitable status.
Type of organisation: Community Interest Company (CIC)
Legal Status: Incorporated
Governing Document: Memorandum and articles of association
Common examples: Waste recycling, day care centres, local transport provision
A community interest company:
A community interest company is usually appropriate where some or all apply:
For more comprehensive information, visit the CIC Regulator’s website.