1. t,.,(,
A SUMMARY GUIDE TO LEGAL STRUCTURES FOR SOCIAL ENTERPRISE
Separate
I No I Yes I Yes I Yes I Yes I Yes I Yes I Yes I Yes
legal identity
Limited
I Yes I Yes I Yes
liability I No Yes Yes Yes Yes Yes
Memorandum
Governing
I Various names eg Memorandum Memorandum
and Articles
Memorandum
Constitution, and Articles of and Articles Rules Rules and Articles of I Rules I Constitution
documents of
Rules Association of Association Association
Association
I
Objects I Any I Any Any
Benefit of the Benefit of Benefit of the Benefit of the Benefit of the I Benefitof the
community members community community community , community
Companies Financial
None/ Charity Financial Companies Companies
Registration I Commission (if
House/ Charity Companies Financial Services
Services House/CIC House/CIC
Services I Charity
Commission House Authority Authority Commission
charitable) Authority Regulator Regulator
(if charitable)
Charitable Can be Can be Unlikely Can be No No No Can be I Yes
Registration £40-£950
None £20 £20 £40-£950 £40-£950 £35 £35 tba
Fee
Asset lock Yes but weak Yes but weak No Yes No Yes Yes Yes Yes
Loan Capital Yes Yes Yes Yes Yes Yes Yes Yes Yes
Equity Yes
Capital
No No Yes Yes Yes No (nominal) Yes I unlikely
Usually one Usually one Usually one Usually one Usually one Likely to be
Member Usually one Usually one Usually one
member one member one member one member one member one one member
voting vote per share member one vote vote per share
vote vote vote vote vote one vote
i C;uide to Legal Structures for Social Enterprise © Wrigleys Solicitors I.LP 2006 (cmb) 26