Hi all, i was wondering if anyone can help me. I am trying to help someone to turn their existing CIC into a wholly owned trading subsidiary of their newly set up charity. The CIC was set up to provide mentoring and coaching services, but it would now like to send any money made to the charity to sustain it (and itself of course). The CIC regulator has told me the procedure how to do this i.e passing the appropriate resolution and submitting amended articles showing the new charity number. However, my question is, for the CIC to be wholly owned by the charity, is the above amendment sufficient or do we have to involve a solicitor and, for example, have ownership papers drawn up or something. Im just wondering whether there is anything else we have to do to make the CIC a wholly owned subsidiary of the charity.
Start the CIC if there is a time-issue, perhaps just issue one share at the start which you can transfer to the Charity when it is formed. The Charity formation process is independent and takes a little longer so to some extent you wont be able to precisely co-ordinate incorporation anyway.
ps you can also leave the 'nominated asset locked body' part on the forms blank and add the Charity details later.