Dundee Academy C.I.C

[islaydarkblue]

Dundee Academy C.I.C which is a Community Interest Company has today been listed on the Companies House website.
https://find-and-update.company-info...mpany/SC763813

[BP33]

Dundee Academy C.I.C which is a Community Interest Company has today been listed on the Companies House website.
https://find-and-update.company-info...mpany/SC763813

And?

[BCram]

Think companies are a way of making financial risks ring fenced.

[islaydarkblue]

Think companies are a way of making financial risks ring fenced.

This is a company limited by guarantee which means that it will not have any debts.
I understand that if the fans buyback of Dens Park had gone ahead a Community Interest Company was going to be set up to own Dens Park.

[BCram]

limited liability' if the company goes into liquidation*- whereby each of the members"guarantees" to pay a nominal sum ( usually £1) towards the company's debts if it goes into liquidation.
My understanding is that this means the company may have debt but the responsibility for repaying the debt is limited to the total amount guaranteed by the people who set up the operation. It is also not planned to be a profit making operation. If the Academy were to be run by DFC then DFC would be responsible for the payment of any debts, which is why I thought my explanation to BP33 question might be helpful.

[islaydarkblue]

limited liability' if the company goes into liquidation*- whereby each of the members"guarantees" to pay a nominal sum ( usually £1) towards the company's debts if it goes into liquidation.
My understanding is that this means the company may have debt but the responsibility for repaying the debt is limited to the total amount guaranteed by the people who set up the operation. It is also not planned to be a profit making operation. If the Academy were to be run by DFC then DFC would be responsible for the payment of any debts, which is why I thought my explanation to BP33 question might be helpful.

Companies limited by guarantee are very common as the liability in the event of it going bust is limited to £1 per member or director.
They are known as a ‘not for profit’ company and they cannot pay any dividends to members.
In Scotland they must submit their annual accounts to OSCR which is the Charity Regulator. OSCR is based in Riverside Drive Dundee.
There are lots of private members golf clubs throughout the U.K. who are a Company limited by guarantee.
In the event of a golf club closing down due to a lack of members which has happened in recent years in Scotland the members of a golf club which is a company limited by guarantee would only have a liability of £1 per member.

[BP33]

limited liability' if the company goes into liquidation*- whereby each of the members"guarantees" to pay a nominal sum ( usually £1) towards the company's debts if it goes into liquidation.
My understanding is that this means the company may have debt but the responsibility for repaying the debt is limited to the total amount guaranteed by the people who set up the operation. It is also not planned to be a profit making operation. If the Academy were to be run by DFC then DFC would be responsible for the payment of any debts, which is why I thought my explanation to BP33 question might be helpful.

Thanks for that.