I am about to form a CIC limited by guarantee, partly because this seems to be the only 'not-for-profit' CIC model generally accepted to potential grant funders.
I am the sole Director.
a) How much should I put on the IN01 as the guarantee sum?
b) Is there an advantage to arranging for the registered office to be other than my residential address? This service is offered by a local admin outsource company but I have already contacted two of them to see what this might cost but neither have yet responded so it doesn't bode well as a precursor to any kind of working relationship.
I have the approval of my Housing Trust to run a business that doesn't require clients to visit so that doesn't present any issue in itself nor for the immediate future as I will be the sole employee also for at least the next 3 months.
If you are looking for grant funders you will probably need more than one director. However, turning to your questions -
a) You can put any amount and use any currency, but in practice people put £1 as a nominal amount.
b) Not a huge advantage in my view for a small CIC. If you have an office you are going to be working out of, then you can put that, but I wouldn't pay to use someone else's address for your registered office. Some people prefer to use an external address so their home address isn't publicised.
Thank you James.
Just what I needed to know and helpful mention concerning Directors and funders - not relevant right now but could be if things move ahead and that becomes a tactical or strategic factor.
Some service that - post a question before finishing a late work stint and the reply is there, ready in the morning!
Some supplementary questions. The IN01 is complete and I have filled out the CIC 36 - but am slightly confused that on that form the words Community Interest Company are inserted on the blank form.
Now looking at the Model Constitution - where it asks for either 'Community Interest Company' or 'C.I.C' to be specified when completing the company name.
Should this choice be then reflected in the CIC 36 or are they using the CIC 36 merely to assess that the proposed company, specifically named in the other documents is a generic 'Community Interest Company' - and therefore 'Community Interest Company' should be left unaltered there?
Where it uses the term 'authentication' on the Memorandum - do they mean signature?
Yes, the model CIC36 form is very cluttered. You can just delete the words "community interest company" and insert the full name of your CIC. I have attached a lightweight version of the form that I use.
Yes, authentication means signature.