There are over 70 Community Interest Companies in the West Midlands.
"Community Interest Companies 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." (CIC Regulator)
The CIC was introduced by Government to support the sector by creating a modern and appropriate legal vehicle and to help raise the sector’s profile.
A CIC is a limited liability company. Its additional features include:
- a statutory "lock" on the assets and profits of CICs;
- a "community interest test" which companies must pass in order to be registered;
- an annual report explaining how their activities have benefited the community and how they are involving their stakeholders.
Registration of a company as a CIC has to be approved by the Regulator who also has a continuing monitoring and enforcement role.