Accountants for Community Interest Companies (CICs)
Community Interest Companies sit in an awkward middle ground.
They trade and need to be commercially viable, but they also have a defined community purpose and additional obligations.
For many CICs, the challenge is not technical.
It is keeping the finances, reporting and structure aligned with both sides – the business reality and the community interest.
Who this is for
We work with Community Interest Companies across the UK, including:
- Established CICs delivering ongoing services
- Organisations that have converted into a CIC
- CICs moving beyond the early stage into something more structured
Clients come from a range of sectors – sport, education, community services and more.
Most want experienced, practical support without unnecessary cost or complexity.
If you are responsible for a CIC and want the financial side handled properly, you are in the right place.
What we do
CIC accounts prepared properly
CIC accounts need to reflect both trading activity and community purpose.
They also feed directly into your CIC report and public disclosures.
We:
- Prepare accounts that show how the CIC actually operates
- Present income and expenditure clearly and consistently
- Reflect grants, donations and trading income sensibly
- Highlight issues directors should be aware of
So the accounts are both compliant and usable.
Corporation tax and CIC status
Being a CIC does not change the fundamentals of corporation tax.
But the mix of income types can make the position less obvious.
We:
- Prepare corporation tax returns correctly
- Distinguish between different income streams
- Apply reliefs and allowances properly
- Explain the tax position clearly
This avoids confusion and incorrect assumptions about how CICs are taxed.
Supporting the community interest focus
The structure exists for a reason.
That needs to show in the numbers.
We:
- Help directors understand how the asset lock affects decisions
- Ensure information needed for the CIC report is available
- Highlight where transactions may not sit comfortably with the CIC’s purpose
- Work alongside legal advisers where needed
This keeps the financial side aligned with the mission.
Getting systems and records into shape
Many CICs grow faster than their systems.
We:
- Put in place simple, workable bookkeeping processes
- Help track different income streams clearly
- Tidy up historic inconsistencies
- Build a base that supports future reporting
So things hold together as the organisation grows.
A real example – when the purpose is clear but the numbers aren’t
We worked with a CIC delivering community-based services.
The organisation had grown steadily.
New funding streams had been added. Trading income had increased. Activities had expanded.
The purpose was clear.
The numbers were not.
Over time:
- Different income streams had been recorded inconsistently
- Grant income and trading income were not clearly separated
- Reporting to the board had become difficult to interpret
- Some decisions were being made without a clear financial picture
Nothing was wrong in isolation.
But taken together, the position was starting to drift.
We stepped back and focused on clarity.
We:
- Reviewed how income was being recorded and classified
- Separated trading, grant and other income properly
- Restructured reporting so directors could see what was actually happening
- Ensured the accounts and CIC report aligned
The result was not a change in purpose.
It was a change in control.
Clearer reporting. Better decisions. Greater confidence from the board.
And importantly, a position that would stand up if reviewed by funders or regulators.
How we work with you
Our approach is steady and proportionate:
- We agree what is needed and keep it appropriate to your size
- We gather information in a focused way
- We prepare the work and explain it clearly
- We remain available as things change
Most of this is handled remotely, which suits CICs across the UK.
A quick word from the team
In charities, the technical side matters – but so does how it is communicated.
As Matthew puts it:
For most trustees, the challenge isn’t willingness – it’s clarity.
Once the accounts and reporting are presented properly, people can see what’s going on and make better decisions.
Our role is to make sure the numbers are right, and that they are understood.
That is where good support makes a difference.
FAQ
A CIC is a limited company set up to benefit the community, with an asset lock and specific reporting requirements.
Yes. CICs are subject to corporation tax in the same way as other companies, although their income mix may differ.
It is a public report explaining how the CIC has fulfilled its community purpose and how its activities align with that.
The structure is similar, but the presentation and supporting information need to reflect the community interest and funding sources.
Yes. We support both the financial and reporting aspects and help ensure everything aligns.
Yes. We support CICs across the UK, with most work handled remotely.
If you run a Community Interest Company and want the financial side to stay aligned with your purpose – and properly controlled – we should talk.
Carter Collins & Myer
Accountants & Tax Advisors
Chichester House, 2 Chichester Street, Rochdale OL16 2AX
01706 868010
www.uk-ccm.com