Registration of a CIC company vs. charity company incorporation: often, a business with a philanthropic purpose stands to gain a considerable advantage by using a community interest company (CIC) or charitable company structure. Although both vehicles are adopted by organisations that use their profits to benefit the community, many owners find that a CIC offers a more flexible and advantageous way of conducting business. Take a look at the benefits a community interest company can provide, or contact Coddan Formations Agent for further expert information on what might be the best solution for your business needs.
Fewer reporting requirements - compared with a charitable company, a community interest company needs to be accountable to fewer public bodies and regulatory agencies. This lessens the burden of paperwork and enables the CIC to enjoy a good degree of flexibility in its day to day activities. In comparison, a charitable company still has to be accountable on a regular basis and open to a higher degree of scrutiny. If required, Coddan Formations Agent can undertake all the necessary reporting requirements, providing polished, appropriate reports and statements whilst freeing you up to concentrate on other priorities.
No trustees, paid directors - particularly if you're setting up a small charitable business and want your activities to remain discreet and anonymous, a requirement to provide trustees can be burdensome. Luckily, when entrepreneurs opt for a community interest company, there’s no need to identify trustees and the organisation has more freedom in its scope of operation. Coddan Formations Agent can offer expert insight into the key role trustees play and whether they would be an asset or a liability to your venture. Should you then decide that trustees aren't the best option for your project, Coddan Formations Agent are happy to suggest a number of useful alternative approaches.