Dear all, I am a director of a Professional Body for Private Tutors and we are considering converting our company limited by guarantee into a CIC. We are seeking funding so that we can expand our membership reach and assist with events during the year to benefit our community of Tutors which will serve to benefit the students we tutor.
1. Would the Association would qualify to become a CIC?
2. What grants or donations may be available to the Association a. as it is currently formed and b. if it was able to register as a CIC?
3. Would CIC registration restrict the activities of the Association as a professional body?
I appreciate your feedback in advance. Ariane
1. You must satisfy the community benefit test, but this is a really low bar: the CIC’s activities must be "carried on for the benefit of the community". I see no problem in a professional body registering as a CIC.
2. I can't really answer that as funding is a huge topic, and depends on what type of activities are planned. I'm not aware of any funders that would fund a CIC but would not fund any other company limited by guarantee (provided that it had appropriate objects and restrictions in its articles).
3. Not that I can see, provided your activities are "carried on for the benefit of the community". Of course, you would be subject to an asset lock, etc, as explained in detail in the regulator's guidance: https://www.gov.uk/government/publications/community-interest-compa...
Thank you James!
1. Community benefit test - our members (tutors and affiliate members) are our community. So we benefit them in terms of professional development. Is this a wide enough scope? Is it also beneficial to say that our community is also the students that our tutors teach/guide. A better tutor = benefits for the student?
Yes point 2 is a large topic to cover and available funding opportunities are likely to change over time. Would you say it would be best to be prepared to apply for funding as and when opportunities arise ie, register as a CIC and have a business plan/project proposal ready so that when opportunities come our way we are ready to apply
3.The Association generally carries out networking activities, conferences, seminars and workshops for it's members. Members pay the Association an annual fee and also pay for some of the events as mentioned. Would this 'trade' still be able to continue? The funds are used to re-invest back into the Association and no Director benefits anyway as the company is limited by guarantee at the moment.
1. Probably, but remember that your activities will have a knock-on effect on the wider community, e.g. better quality of training available to the public from your members
2. Yes, I'd say so. Don't register as a CIC just to get funding, unless you have a particular funder who is making that a stipulation.
Many thanks! Extremely helpful.