Abstracts: October 23rd, 2003

This report from the Department of Trade and Industry sets out details of a new company form for social and community business. It is designed specifically for enterprises that use their profits and assets for the benefit of the local community and / or the wider public. Community Interest Companies will combine entrepreneurial spirit with a sense of social purpose to deliver new opportunities and services where they are most needed.This new company form will provide a platform for dynamic and sustainable businesses with strong social objectives. It will enable social entrepreneurs to attract investment from new sources. It will also benefit the communities in which they operate and contribute to the Government’s wider aim of prosperity for all. The CIC fills a gap in the range of legal forms that are currently available. It will combine the well-understood company model with a test of community benefit and a simple and transparent mechanism to lock profits into the company. It will be a useful tool for many organisations undertaking social enterprise activities.

The report is published by the DTI and is available at: http://www.dti.gov.uk/socialenterprise