WMFN Roundtable: Experiences Funding Social Enterprises
The Community Interest Company (CIC) is a corporate structure that was first introduced in 2005. It is designed for social enterprises or not-for-profit projects and is structured like a normal limited company, so it’s limited by shares or by guarantee. At heart, a CIC is shaped and driven by its community purpose, which is set out from the start in its constitution.
The CIC structure has become a more popular entity within the landscape of the VCSE social economy sector. Funders have seen a growth in applications from CICs. VCS infrastructure bodies that provide advice and information have seen more groups driven by a social purpose, looking to establish a CIC as their legal structure. The number and make-up of the Board of Directors; the role of a legal asset lock and whether it’s a company limited by shares or dividends are some of the considerations of grant makers.
The roundtable discussion will be based on Chatham House rules, where members can share experience of funding social enterprises and CICs. If you are already funding SE and CICs, or might be considering them as well as those not sure, this would be a great opportunity to share experience and knowledge.
In particular:
Share the criteria being (e.g open to legal structures with safeguarding on social purpose, public benefit, legal asset lock or constitutional asset lock and non distribution of profit to members or directors)
Share positive experience of funding SEs and CICs
Share the challenges in funding and supporting SEs and CICs
Sharing any research or evaluation undertaken by a funder/funders on the value and benefit of funding SEs and CICs