Blog authored by Rosie McBride, who runs the National CLT Network’s Incorporation Service
Legal incorporation can be expensive, complicated and time-consuming. We’ve improved our Incorporation Service to save CLTs time and money - and all the headaches along the way!
We’ve been running our Incorporation Service since 2015 (back when it was called the Model Rules Sponsorship Service), and in that time have proudly helped over 60 CLTs incorporate and pass this vital milestone.
There are a number of legal formats that a CLT could incorporate as. Here at the National CLT Network, we help groups incorporate as Community Benefit Societies as it is the most popular format choice for CLTs - over 70% of CLTs go this route!
We have template constitutions known as ‘Model Rules’, fill out applications on the CLTs behalf and act as the liaison with the regulator, the Financial Conduct Authority.
To make our Incorporation Service even better, I sent out a feedback survey to previous users. Below you will see the key suggestions from the CLTs who responded and the action we’ve taken to improve our service as a result.
Clearer guidance on making amendments to the Model Rules
While our Model Rules have been designed with the majority of CLTs in mind, there are times when a CLT may need to make some changes.
Our Model Rules now come with a covering note explaining key objects to help groups think about any changes they might want to make.
More guidance on the implications of choosing various legal formats
Choosing the right format is vitally important as it can impact on the kind of activities a CLT can undertake.The essential ‘Guide to Legal Formats’ resource has now been updated with the newest guidance.
I'll also be running a webinar on this subject in September, in collaboration with Anthony Collins, which will lay out your options and also allow you to ask your burning questions on incorporation.
More guidance on next steps after incorporation
Incorporation is only the beginning! Once a CLT has incorporated there are then a number of responsibilities (to both the FCA and their community) to be aware of. You'll receive a brand new resource on ‘next steps’ after you incorporate to help you think about what comes next.
The National CLT Network’s help doesn’t stop after incorporation and all CLTs who use our service will receive this resource and be supported with any of the steps detailed in it - and beyond!
These changes will make incorporation even easier for your CLT. You can read more about our Incorporation Service here, contact me with any questions you have and don’t forget to join me for our webinar on legal incorporation!