CIC Association

Serving Community Enterprise


Can you give me some help in making this decision - what are the advantages/disadvantages of each and of a CIC limited by guarantee or by share? Which might be better for attracting investors and/or grants? How might an exit strategy influence my decision?

Thanks for your help!


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hi James

in answer to the question in your title, I added a post in the forums in July about Co-ops and CICs

in terms of your other questions about shares vs guarantee:

share makes it easier (in theory) to attract private investment, and for allowing you to redeem your 'sweat equity' if you exit the enterprise at a future date;
guarantee (usually) makes it more attractive to attracted support from the majority of grant making bodies.

there have been a few discussions around these issues before in the forums here, so feel free to have a poke around - I usually find the search box at the top corner of each page a good way to find the stuff I'm after.




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