"Definitely a bit of a minefield so professional help is recommended. In addition to James reply here is a simple online resource that is a good basic read.........potential tax implications are perhaps the biggest…"
"You can generally assign the partnership's debt to the CIC but you would need permission from your suppliers, lenders, etc, and if the CIC hasn't been trading an has no track record they are unlikely to provide this."
The word "convert" is misleading. What happens is you would incorporate a CIC, and then the CIC would buy (or be gifted) the assets of the partnership and take over running its business. Yes, a CIC is a type of limited…"
Hi again,Sorry this feels like a very simple question but I can't find an answer!Our business is currently officially a partnership, not a LTD co.I know to our customers it'll look like we're converting to a cic, but legally is that the process I need to follow, or will we really be ceasing to trade as a partnership and starting a new business?All the paperwork I can see on the .gov website seems to assume we'll be a 'company', but I guess I don't know what's included in that definition.See More
The general rule is that the practice of protecting the capital you've already invested is the same as that in a normal LTD company. A contract as you've mentioned would work, perhaps get an accountant to help ensure it is…"
Hi All,Firstly, I'm so grateful this resource exists! Our local VDA (where I'd have previously been able to get this info) has just closed down. To the point: I'm full of questions as we seek to convert our small business (still officially a partnership) into a CIC. It's a board-game themed tea room. Our background is in community and youth work and we want to become a CIC (not-for-profit) to be able to realise our potential in the local community (gaming is amazing at bringing people together…See More
Guidance on how to set up a CIC especially where communities need to work together before they actually create the CIC e.g. collect funds commission work from advisors ahead of formation as some market testing or preparatory workSee More