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marygillie / Advisor-club-development-queries

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Is a Community Benefit Society the only model that is possible? #24

Open CommEnergyWales opened 5 years ago

CommEnergyWales commented 5 years ago

We had a discussion about whether a Community Benefit Society was the only option for an EL club and whether you could potentially set it up as a CIC or Company Limited by Guarantee. There was some thought that this may be easier to set up an administer. Is this possible?

ghost commented 5 years ago

Energy Local clubs are Cooperatives not Community Benefit Societies.
It may be possible to use other organisation formats and have the same safeguards as a Cooperative. Energy Local took legal advice and considered all formats before selecting the Coop as the most approporiate. Energy Local have financed the approval of the constitution for the Energy Local Club Coop to keep costs to a minimum for communities. We would not accept another format unless a community wanted to finance the cost of a solicitor to demonstrate that the same safeguards have been put in place within another organisational format.

marygillie commented 5 years ago

The constiutional explainer will highlight the safeguards in terms of fair governance, participation and decision making. I can't think of any reason why a club would not use it. Other organisational types can be used alongside a Coop as dmoenstrated by many different communities.