A CIC stands for Community Interest Company. It is a special type of limited company in the UK designed for social enterprises that want to use their profits and assets for the public good.
Social Purpose: CICs must have a clear community benefit. Their activities should support a specific community or social cause.
Asset Lock: Profits and assets are generally restricted from being distributed to shareholders or owners and must be reinvested into the company or the community.
Regulation: CICs are regulated by the CIC Regulator, in addition to Companies House.
Structure: It is limited by guarantee. There is no pay for trustees who will be people from the town who care about the community they live in and want to give back
Non-profits that want more flexibility than charities.
Social enterprises blending commercial activity with social goals.
Groups wanting to access certain grants or contracts that require social purpose organisations.