1. Charitable Incorporated Organisation
Trustees must be eligible -
Registration is with the Charity Commission (CC)
Need 3 trustee board members
Report to the CC only
there is no minimum income threshold to register a CIO
C.I.O
Charitable Incorporated Organisation
All trustees are volunteers
Hire staff & recruit volunteers
Can take up to 40 working days to register
Your charity must have ‘charitable purposes’ the public benefit and charitable objects
An individual should never be an employee and trustee of a charity
Can apply for funding – receive increased support from funders
You need a bank or building society account
The CIO is a separate legal entity and so it can enter contracts, hold property and employ staff in its own name.
The governing document is a constitution
Eligible for business rates relief and other tax benefits
Assets are locked and if wound up assets/funds would be transferred to a charity with similar purpose
Blue – Key Information
Green – Information that should be considered

2. Can convert to a charity
From sept 2018 a C.I.C will be able to convert directly to a C.I.O
The governing documents are; Memorandum of Association & Articles of Association
Asset Locked – can only transferred assets to other asset-locked bodies
Can convert to a charity
Register with Companies House
Can open with one director
C.I.C
Community
Interest
Company
£35 fee to set up & £15 fee per annum to submit report – Mandatory
the only “ways out” of a C.I.C is dissolving or becoming a charity
The C.I.C will either be a C.I.C limited by guarantee or limited by shares
Being a CIC will not give you an automatic right to grants or other funding although the nature of your activities or location may do so.
The directors can be paid or unpaid and have the same rights and duties as any other directors
May be eligible to get small business rates relief
Grant funders are less likely to fund C.I.C by shares
To open a C.I.C you will need;
IN01 – application to register a company
CIC36 - application to form a CIC
Memorandum of Association
Articles of Association
Report to the CIC Regulator which is part of Companies House
Most grant funders prefer to engage with C.I.C’s who have at least 3 unrelated directors
There are no other tax benefits
Blue – Key Information
Green – Information that should be considered