Community Interest Companies (CICs) are limited companies, with special additional features, created for the use of people who want to conduct a business or other activity for community benefit, and not purely for private advantage.
What does a community interest company (CIC) do?
CICs are organisations pursuing social objectives, such as environmental improvement, community development and inclusion, fair trade, support services etc.
Every CIC must:
- Meet the Community Interest Test, passed by the CIC Regulator
- Only use its assets and profits for the community specified (or pass them to another body with similar features), known as the asset lock
- Register at Companies House in the same way as a normal company with the same incorporation documents but supplemented by a Community Interest Statement.
RCP21 CIC Objectives
The objectives of the Company are to benefit the community and in particular (without limitation) to promote and undertake activities which contribute to:
(a) Economic regeneration for the benefit of the public
(b) Security and crime prevention
(c) The conservation, protection and improvement of the physical and natural environment, particularly by reducing the harmful environmental impact on business and industrial activity;
By growing capacity, transferring good practice, and sharing know-how that maximises the economic benefits and added value of business and industrial areas to local communities.