........the day it became a Community Interest Company.
What is a Community Interest Company? Here - en.wikipedia.org/wiki/ describes
A community interest company (CIC) is a new type of company introduced by the United Kingdom government in 2005 under the Companies (Audit, Investigations and Community Enterprise) Act 2004, designed for social enterprises that want to use their profits and assets for the public good.
Overview by http://www.communitycompanies.co.uk/community-interest-companies
The Community Interest Company (or CIC) is a relatively new type of company established by the Companies (Audit, Investigations and Community Enterprise) Act 2004 and regulated by The Community Interest Company Regulations 2005. The CIC model is designed to provide an effective legal form for enterprises which aim to provide benefit to the community or to trade with a “social purpose,” rather than to make a profit.
While social or community enterprises may elect to become charities, in many cases this is not possible, and in others it may not be desirable. CICs therefore occupy an important position in company law – they are a means of making clear that the intention of an enterprise is to provide community benefit, while also conferring many of the advantages commonly associated with a limited company.
A CIC may be limited by shares or by guarantee. Most are limited by guarantee. CICs limited by shares are subject to a dividend cap (explained in further detail below). This is a means of making sure that, while investment can be generated through issuing shares, the CIC model cannot be exploited for personal gain. In this way, the CIC can reassure the public that the motives behind it are genuine, while still maintaining an effective means of attracting financial support.
Most notably, CICs are not subject to the more onerous regulations and limitations which apply to charities. In particular, they can be trading enterprises benefiting from the advantages of limited liability and (if limited by shares) can issue shares and pay dividends. This provides relative freedom for the day-to-day running of the CIC, provided that the relevant caps and regulations are adhered to.
At https://www.gov.uk/set-up-a-social-enterprise gives a brief overview of Community interest companies (CICs)
A CIC is a special type of limited company which exists to benefit the community rather than private shareholders.
To set up a CIC, you need to apply to Companies House, and:
include a ‘community interest statement’, explaining what your business plans to do
create an ‘asset lock’- a legal promise stating that the company’s assets will only be used for its social objectives, and setting limits to the money it can pay to shareholders
get your company approved by the community interest company regulator - your application will automatically be sent to them
The CIC regulator has guidance on CICs, including the forms you need to set one up.
It was the best I could think of when 6 months after the end of my contract with Locality and no where else to turn, I used my legal knowledge to put together a formation document and with support of some members of the community set up South Westminster Community Organisers, SW1CO.
The beginning of a new chapter. The promise I had in September 2012 of a new way of organising in the community will turn to fruition in South Westminster and no demise under my watch! The start of twelve months of re-engagement, re-connection and reappraisal of what SW1CO is to mean in the community.
A few people joined in the journey and over the next few days, I hope they will share their involvement with you. So watch out for update.
Be Active. Be Involved. If you are not In, You Won’t Have Your Say!
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