Co‑operative Community Interest Company

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Registration as a co‑operative community interest company using Co‑operatives ^UK model rules.

Co‑operatives ^UK has several sets of model rules to enable organisations that wish to register as a community interest company (CIC) but also work co‑operatively.  Each model, whether this is a company limited by guarantee or by shares, provides a choice of what type of membership the company should have.  The choices are:

(a) a general membership provision that enables individuals and organisations to become members of the company;

(b) employees of the company only;

(c) users of the company's services only.

An organisation can only be registered as a CIC if it satisfies a statutory "community interest test".  In order to meet the community interest test the organisation must carry on activities which a reasonable person might consider are activities that are being carried on for the benefit of the community.  The community may be the community or population as a whole or a definable section of the community in the UK or elsewhere.  However an activity which the reasonable person might consider benefits only the members of a particular body or employees of a particular employer is not considered an activity which meets the "community interest test."  In order to pass the "community interest test," the community served by the CIC must be wider than just the members of the CIC. 

For example, if the co‑operative CIC were established to operate a debt advisory service, the co‑operative CiC could define who is eligible to be a member of the Co‑operative CIC, but the debt advisory service would have to be available to the whole population (or a genuine defined section of the community) in a given geographical area, and not just restricted to the members of the CIC in order for the co‑operative CIC to receive and maintain CIC status.

Co‑operative Community Interest Company (CIC) - Company Limited by Guarantee

With an asset lock, not solely for the advantage of a limited group of people, has a wider community focus

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