A CIC is a new type of limited company in the United Kingdom, designed for social enterprises that want to use their profits and assets for the public good.
CICs will be easy to set up, with all the flexibility and certainty of the company form, but with some special features to ensure they are working for the benefit of the community. This is achieved by a “community interest test” and “asset lock”, which ensure that the CIC is established for community purposes and the assets and profits are dedicated to these purposes.
Registration of a company as a CIC has to be approved by the regulator who also has a continuing monitoring and enforcement role.
If you’re in the U.S., read up on business structures here.
At Bplans, it's our goal to make it easy for you to start and run your business. The Bplans glossary of common business terms will help you learn about key small business and entrepreneurship topics.
