Hello all, im new to the ning network and looking forward to swapping tips and experiences.
I'm part of a team setting up a CIC in Westminster, London and working with Westminster City Council to set up a membership based organisation offering affordable co-working space for start ups and entrepreneurs from sectors including social, third and ethical. It's a membership based organisation and we focus heavily on providing a peer to peer based learning environment to support startups as a means to access knowledge, resources and investment. The reasons for establishing or business as a CIC are obvious as our outcomes are wider than being financially sustainable - we aim to deliver social outcomes also in terms of supporting growth in the sectors our start ups work in. We aim to integrate our members via an IPS structure as a member of the CIC in addition to the key investors. The purpose is to give meaningful ownership and engagement with our investors in terms of voting rights on how the space is operated, the services they need and also giving weight to the end users in relation to the investors vote. The aims of the IPS are to raise a minority stake of investment but primarily as a governance tool. Does anyone have any experience of such a structure or have any comments on hiw to achieve the effect if not via a IPS? We have been made aware that this use of the IPS may not meet the approval of the FSA as we intend to raise some investment through it. However, for us the purpose of investment raising is to give the members a shareholding- as a union. Legal advice so far without spending heaps of money has not turned up any real guidance. Any comments appreciated! Thanks.