Firestarter Podcast 7 - The pros and cons of Community Interest Companies part 1

This is the Firestarter Podcast which is the world's first podcast for social enterprises in health.

This week's podcast features an interview with Adrian Ashton looking at the pros and cons of Community Interest Companies (CICs). This is part 1 of the interview and was recorded at Cafe 72 in Todmorden - the most child-friendly cafe we have ever seen :)

This podcast covers:

• The history and development of Community Interest Companies
  
• Why you should never chose your legal structure based on someone else telling you that's what you should be
  
• Companies limited by guarantee are not a bad default structure
  
• CICs are a "bolt on" to existing limited company structures
  
• The key elements of a CIC
  
• Limited by shares vs limited by equity
  
• Why children should not be listening to this podcast
  
• Limitations on the community you are set up to benefit
  
• Issues around the asset lock and how you can incorporate this in any company
  
• Co-ops are not legally defined in the UK

Main pros of being a CIC

• Kite-mark that you are a social enterprise
  
• Provides assurances with public sector commissioners
  
• The CIC regulator is very helpful and supportive

Main cons of being a CIC - part 1

• Much more bureaucracy in setting one up and in annual reporting
  
• The Chair has much more power than the other Directors
  
• The role of alternate directors

More from Adrian at www.adrianashton.co.uk

You can subscribe to these podcasts via iTunes if that is easier,

Podcast 7 - This can be downloaded here

The music is "Fire Dance" by djbouly and is brought to you under a creative commons licence.