36:
2201:
2626:
1963:
2616:
2636:
115:
1008:
asks for confirmation that the company is not a charity or that permission has been obtained from the
Charity Commission to convert from a charity to a CIC). The Registrar will conduct the normal checks for registration and pass the papers to the Regulator of Community Interest Companies, to determine whether the company satisfies the community interest test.
1003:
Formation and registration are similar to those of any limited company. New organizations can register by filing the Form IN01 and memorandum and articles of association together with a Form CIC36 signed by all their directors, explaining their community credentials, to the
Registrar of Companies for
992:
CICs must file a "community interest company report" (form CIC34) as part of their annual submission to
Companies House. This includes confirmation of directors' remuneration and some explanation of their social impact or evidence of the social benefit that they have provided over the last financial
911:
The "asset lock" refers to provisions in the company's articles that ensure the assets of the company are, at least mainly, applied for the benefit of the community. The precise terms are specified in legislation. Assets not applied directly for the benefit of the community may only be exchanged for
943:
Members of the board of a charity may only be paid where the constitution contains such a power, and it can be considered to be in the best interests of the charity. It means that, in general, the founder of a social enterprise who wishes to be paid cannot be on the board and must give up strategic
825:
CICs have proved popular, with some 10,000 registered in the first ten years of the status being available. CICs tackle a wide range of social and environmental issues and operate in all parts of the economy. By using business methods to achieve public good, it is believed that CICs have a distinct
1007:
Existing companies can convert to a CIC by passing resolutions which make changes to their name and their memorandum and articles of association and by delivering to the
Registrar of Companies copies of these documents, together with a fee of £35, and a form CIC37 (which is similar to a CIC36, but
844:
The community interest company emerged from many sources, often citing the absence in the UK of a company form for not-for-profit social enterprises similar to those in other countries. A first significant proposal for a new company form in the UK was advanced in 2001 in "The case for the Public
840:
that do not have charitable status find it difficult to ensure that their assets are dedicated to public benefit. Before the CIC regime was introduced there was no simple, clear way of locking the support of such a company to a public benefit purpose, other than applying for charitable status.
924:
not a charity, even if in all other respects it meets the requirements of charitable status. They are more lightly regulated than charities, which can be advantageous. On the other hand they do not have the benefit of charitable status, such as a favourable tax treatment: CICs are liable to
872:
In order for a company to be registered as a CIC, the
Regulator must be satisfied that that "a reasonable person might consider that its activities are being carried on for the benefit of the community", or at least a section of the community. This
912:
full value or transferred to another "asset-locked body". The only exceptions are distributions to the company's members for the purpose of returning paid-up capital, or paying dividends and interest (which are subject to caps).
1614:
853:. Stephen Lloyd of Bates Wells Braithwaite is also credited with having conceived of the idea of the "Community Interest Company" and led much of the work on establishment of that legal company form in the UK.
1623:
1016:
The 2004 act created the officer known as the
Regulator of Community Interest Companies, who is appointed for a term of up to five years by the relevant Secretary of State – from 2016 to 2023 the
1480:
996:
A CIC is expected, though not absolutely required, to specify an "asset-locked body" in its articles of association, to which any surplus assets will be transferred when the company is
815:
1424:
1085:
811:
in the United
Kingdom intended "for people wishing to establish businesses which trade with a social purpose..., or to carry on other activities for the benefit of the community".
947:
They are looking to work for community benefit with the relative freedom of the non-charitable company form to identify and adapt to circumstances, but with a clear assurance of
1017:
1315:
1562:
985:
When a CIC is requested, the CIC regulator considers whether the application meets the criteria to become a CIC. If satisfied, the regulator advises the
Registrar in
1596:
1105:
1945:
1153:
818:. They enjoy the flexibility and certainty of the company form, but with statutory provisions to ensure they are working for the benefit of the community. The
1510:
845:
Interest
Company", by Paul Corrigan, Jane Steele and Greg Parston of the Public Management Foundation. This proposal was based on research funded by the
2667:
2476:
1004:
England and Wales, or the
Registrar for Scotland, with a fee of £35. Since 11 March 2019, CICs can be registered online for a reduced fee of £27.
664:
2526:
1999:
1555:
1472:
2086:
1789:
2682:
380:
622:
2646:
1027:
Louise Smyth was appointed as Regulator in September 2020; she is also (since 2017) Chief Executive and Registrar for England and Wales at
1124:
2692:
2377:
1967:
1633:
1548:
1398:
17:
1535:
819:
2078:
1587:
1021:
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CICs are identified explicitly with social enterprise. Some organizations may feel that this is more suitable than charitable status.
900:
The articles of a CIC must also provide that its assets cannot be used except for the benefit of the community. This is known as the
1450:
577:
2360:
786:
2640:
2200:
2082:
2052:
1174:
Paul Corrigan, Jane Steele, and Greg Parston (2001). "The case for the public interest company". Public Management Foundation.
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1950:
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control of the organization to a volunteer board, which is often unacceptable. This limitation does not apply to CICs.
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2090:
1737:
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1148:
418:
79:
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a CIC as a subsidiary, in which case (exceptionally) there are no restrictions on distributions to the shareholder.
50:
2105:
1502:
1046:
979:
495:
396:
1317:
Office of the Regulator of Community Interest Companies: Information and guidance notes. Chapter 6: The Asset Lock
1000:. If such a body is not specified, the Regulator's approval must be obtained before any distribution can be made.
2336:
2332:
2314:
2243:
2060:
1087:
Office of the Regulator of Community Interest Companies: Information and guidance notes. Chapter 1: Introduction
2629:
2586:
2581:
2074:
1985:
1605:
1259:"The Community Interest Company Regulations 2005 - UK Statutory Instruments 2005 No. 1788 PART 2 Regulation 6"
1245:"The Community Interest Company Regulations 2005 - UK Statutory Instruments 2005 No. 1788 PART 2 Regulation 4"
1231:"The Community Interest Company Regulations 2005 - UK Statutory Instruments 2005 No. 1788 PART 2 Regulation 3"
2576:
2190:
1849:
1040:
954:
The definition of community interest that applies to CICs is wider than the public interest test for charity.
321:
255:
2521:
2008:
1912:
1907:
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505:
849:, Gordon Roddick, and the Office for Public Management, and was influenced by the example of the American
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1902:
989:
who, provided that all the documents are in order, will issue a certificate of incorporation as a CIC.
164:
149:
2516:
2365:
2229:
1301:"The Community Interest Company Regulations 2005 - UK Statutory Instruments 2005 No. 1788 SCHEDULE 3"
1287:"The Community Interest Company Regulations 2005 - UK Statutory Instruments 2005 No. 1788 SCHEDULE 2"
1273:"The Community Interest Company Regulations 2005 - UK Statutory Instruments 2005 No. 1788 SCHEDULE 1"
737:
672:
461:
331:
159:
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2056:
2012:
1814:
1609:
632:
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174:
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44:
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and valuable role to play in helping create a strong, sustainable and socially inclusive economy.
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1300:
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be a political party, a political campaigning organisation or a subsidiary of a political party
869:, and large-scale organizations operating locally, regionally, nationally, or internationally.
772:
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144:
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61:
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1917:
1892:
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846:
597:
129:
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2070:
962:. In so doing, it will lose its charitable status, including tax advantages. A charity may
722:
659:
1977:
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8:
2531:
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1876:
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is met primarily by including a suitable objects clause in the articles of association.
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Parliamentary Under-Secretary of State for Employment Rights, Competition and Markets
1600:
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entrepreneurs who want to do good in a form other than charity. This may be because:
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1107:
Office of the Regulator of Community Interest Companies: Leaflets. Information Pack
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2015:
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1624:
Parliamentary Under-Secretary of State for Services, Small Business and Exports
1618:
1479:. Department for Business, Energy & Industrial Strategy. 6 September 2020.
948:
861:
CICs are diverse. They include social and community enterprises, social firms,
2661:
2506:
1473:"Louise Smyth appointed as interim Regulator of Community Interest Companies"
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489:
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106:
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2100:
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866:
567:
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1103:
1083:
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703:
240:
225:
220:
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2234:
1323:. Department of Business, Energy and Industrial Strategy. pp. 4–5.
1093:. Department for Business, Energy & Industrial Strategy. p. 8.
760:
526:
476:
1113:. Department of Business, Energy & Industrial Strategy. p. 5.
814:
CICs were introduced by the UK government in 2005 under Part 2 of the
2536:
2460:
2350:
2345:
2264:
2259:
2140:
1443:"Companies (Audit, Investigations and Community Enterprise) Act 2004"
1333:
Companies (Audit, Investigations and Community Enterprise) Act 2004,
1217:
Companies (Audit, Investigations and Community Enterprise) Act 2004,
2511:
2501:
816:
Companies (Audit, Investigations and Community Enterprise) Act 2004
732:
807:, pronounced "see-eye-see", or colloquially, "kick") is a form of
837:
210:
1314:
Office of the Regulator of Community Interest Companies (2016).
2279:
2150:
1018:
Secretary of State for Business, Energy and Industrial Strategy
373:
Charitable incorporated organisation (England and Wales)
2427:
27:
UK company using their profits and assets for the public good
1425:"CIC business activities: forms and step-by-step guidelines"
2115:
2007:
822:
provides oversight, which is intended to be "light touch".
114:
2412:
978:, either limited by shares or limited by guarantee. Thus
1632:
Parliamentary Under-Secretary of State for Legislation:
1597:
Minister of State for Trade Policy and Economic Security
1055:– a similar type of legal structure in the United States
1946:
Department for Business, Energy and Industrial Strategy
1913:
Office of the Regulator of Community Interest Companies
1536:
Office of the Regulator of Community Interest Companies
958:
A charity can convert to a CIC with the consent of the
932:
Those who may want to set up a CIC are expected to be
1570:
1125:"The rise and rise of the community interest company"
1348:"How to: Decide between charitable and CIC status"
1149:"Social enterprises seen as the driver for growth"
1147:
1104:Regulator of Community Interest Companies (2016).
1084:Regulator of Community Interest Companies (2016).
982:and unincorporated associations cannot be CICs.
2659:
2527:Environmental, social, and corporate governance
1503:"Companies House announces new Chief Executive"
1790:Advisory, Conciliation and Arbitration Service
887:be set up to serve an unduly restrictive group
381:Scottish charitable incorporated organisation
1993:
1556:
969:
780:
1399:"CIC Incorporations: The New Online Process"
915:
2000:
1986:
1563:
1549:
1373:"CIC34: community interest company report"
884:be primarily focused on political activity
787:
773:
2668:2005 establishments in the United Kingdom
1588:Secretary of State for Business and Trade
1022:Secretary of State for Business and Trade
880:In order to meet this test, CICs cannot:
820:Regulator of Community Interest Companies
80:Learn how and when to remove this message
43:This article includes a list of general
2361:Pollutant release and transfer register
1183:
14:
2660:
1145:
482:Limited liability limited partnership
397:Industrial and provident society
2146:Principles for Responsible Investment
1981:
1544:
1483:from the original on 6 September 2020
1453:from the original on 29 December 2010
1156:from the original on 11 December 2022
579:Gesellschaft mit beschränkter Haftung
2683:Social economy in the United Kingdom
2635:
29:
1932:Business and Trade Select Committee
24:
2325:Environmental full-cost accounting
1951:Department for International Trade
1513:from the original on 1 August 2017
1509:. Companies House. 1 August 2017.
856:
49:it lacks sufficient corresponding
25:
2704:
2693:Department for Business and Trade
1738:Competition and Markets Authority
1572:Department for Business and Trade
1529:
1184:Brindle, David (29 August 2014).
906:
2634:
2625:
2624:
2614:
2199:
2106:Extended producer responsibility
1962:
1961:
1634:The Baroness Jones of Whitchurch
1345:
1047:Community Contribution Companies
624:Société à responsabilité limitée
113:
34:
2315:Eco-Management and Audit Scheme
1495:
1465:
1435:
1417:
1391:
1365:
1339:
1327:
1307:
1293:
1279:
1265:
1251:
2587:Socially responsible marketing
2582:Socially responsible investing
1449:. Part 2, s27 and Schedule 3.
1237:
1223:
1211:
1177:
1168:
1146:Bounds, Andrew (9 July 2013).
1139:
1117:
1097:
1077:
896:carry out unlawful activities.
13:
1:
2577:Socially responsible business
1850:Central Arbitration Committee
1070:
1041:B Corporation (certification)
2673:Community interest companies
2522:Environmental pricing reform
2053:environmental responsibility
1908:Office of Manpower Economics
1011:
506:Massachusetts business trust
7:
2552:Market governance mechanism
2408:Global Reporting Initiative
2378:standards and certification
2285:Social return on investment
1855:Competition Appeal Tribunal
1835:Regulatory Policy Committee
1810:Small Business Commissioner
1805:Financial Reporting Council
1795:British Hallmarking Council
1730:Non-ministerial departments
1127:. Third Sector. 1 June 2015
1034:
693:Piercing the corporate veil
389:Community interest company
364:UK / Ireland / Commonwealth
352:Economic interest grouping
10:
2709:
2688:United Kingdom company law
2492:Community interest company
2436:Community-based monitoring
2270:Genuine progress indicator
1903:Groceries Code Adjudicator
970:Formation and registration
851:public benefit corporation
829:
801:community interest company
462:Limited liability company
18:Community Interest Company
2610:
2517:Environmental degradation
2469:
2426:
2400:
2366:Sustainability accounting
2298:
2230:Ethical positioning index
2208:
2197:
2022:
1959:
1938:
1926:
1885:
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1842:
1823:
1782:
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1728:
1712:
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1653:
1642:
1578:
916:Comparison with charities
673:Internal affairs doctrine
668:and estoppel corporations
2678:Types of business entity
2547:Health impact assessment
2418:Sustainability reporting
2387:Toxics Release Inventory
2181:Transparency (behavioral
2156:Social impact assessment
2045:Corporate accountability
1815:Trade Remedies Authority
1186:"Stephen Lloyd obituary"
929:like any other company.
97:This article is part of
2602:Supply chain management
2542:Global justice movement
2341:profit-and-loss account
1702:Bidesh Sarkar (interim)
1065:Social entrepreneurship
875:community interest test
343:Societas unius personae
205:General corporate forms
64:more precise citations.
2567:SDG Publishers Compact
2329:Environmental conflict
2136:Organizational justice
655:Business judgment rule
2557:Product certification
2356:Life-cycle assessment
2275:Performance indicator
2166:Social responsibility
2131:Organizational ethics
2061:social responsibility
1939:Preceding departments
1918:Pubs Code Adjudicator
1898:Certification Officer
1893:British Business Bank
1693:Beatrice Kilroy-Nolan
1655:Permanent Secretaries
1606:Minister for Industry
1043:– a global initiative
847:Gulbenkian Foundation
599:Naamloze vennootschap
589:Kabushiki gaisha
406:Limited company
2562:Public participation
2497:Conflict of interest
2087:inequality in the UK
2079:in the United States
2071:Environmental racism
1061:in the United States
980:Registered Societies
951:distribution status.
863:mutual organizations
723:Beneficial ownership
660:Corporate governance
496:Delaware corporation
323:Societas cooperativa
2532:Ethical consumerism
2482:Benefit corporation
2374:metrics and indices
2176:Sullivan principles
2091:injustice in Europe
1877:Post Office Limited
1869:Public corporations
1800:Competition Service
1713:Departmental Chief
1152:. Financial Times.
1059:Benefit corporation
738:Corporate registers
698:Rochdale Principles
452:Benefit corporation
278:Sole proprietorship
2620:Environment portal
2392:Triple bottom line
2320:Emission inventory
2225:Double bottom line
2171:Stakeholder theory
1831:Low Pay Commission
1761:Insolvency Service
1748:Executive agencies
1715:Scientific Adviser
1447:legislation.gov.uk
960:Charity Commission
539:Aktiengesellschaft
511:Nevada corporation
2655:
2654:
2572:Social enterprise
2477:Bangladesh Accord
2337:management system
2333:impact assessment
2310:Carbon accounting
2240:Impact assessment
2191:UN Global Compact
2083:in Western Europe
2035:Aarhus Convention
1975:
1974:
1863:
1862:
1724:
1723:
1675:Directors General
1666:Crawford Falconer
1601:Douglas Alexander
1592:Jonathan Reynolds
1020:, since 2023 the
976:limited companies
809:social enterprise
797:
796:
678:Limited liability
640:
639:
549:Ansvarlig selskap
436:Unlimited company
273:Shelf corporation
268:Shell corporation
256:Limited liability
90:
89:
82:
16:(Redirected from
2700:
2638:
2637:
2628:
2627:
2618:
2203:
2121:Little Eichmanns
2002:
1995:
1988:
1979:
1978:
1965:
1964:
1780:
1779:
1772:Non-departmental
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743:Registered agent
688:Drag-along right
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333:Societas privata
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60:this article by
51:inline citations
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2290:Whole-life cost
2220:Corporate crime
2211:
2204:
2195:
2126:Loss and damage
2096:Ethical banking
2040:Climate justice
2027:
2018:
2006:
1976:
1971:
1955:
1934:
1922:
1881:
1859:
1838:
1819:
1776:
1773:
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1756:Companies House
1742:
1720:
1719:Julia Sutcliffe
1714:
1708:
1699:Andrew Mitchell
1681:David Bickerton
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1405:. 13 March 2019
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1029:Companies House
1014:
987:Companies House
972:
927:corporation tax
918:
909:
859:
857:Characteristics
832:
793:
748:
747:
728:Civil procedure
718:
710:
709:
683:Tag-along right
650:
642:
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611:
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591:
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561:
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541:
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500:statutory trust
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295:
293:by jurisdiction
292:
291:Corporate forms
283:
282:
263:Private limited
231:Holding company
206:
198:
197:
179:
125:
124:By jurisdiction
86:
75:
69:
66:
56:Please help to
55:
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35:
28:
23:
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15:
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11:
5:
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2101:Ethical code
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2051: /
2047: /
1966:
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1402:
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1376:
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1357:30 September
1355:. Retrieved
1352:Third Sector
1351:
1346:Jump, Paul.
1341:
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1190:The Guardian
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1141:
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1129:. Retrieved
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332:
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216:Conglomerate
160:South Africa
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2592:Stakeholder
2370:measurement
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2066:Dirty hands
1690:Caleb Deeks
1610:Sarah Jones
902:asset lock.
704:Ultra vires
424:proprietary
241:Partnership
236:Joint-stock
226:Corporation
221:Cooperative
62:introducing
2662:Categories
2596:engagement
2451:Fair trade
2302:accounting
2235:Higg Index
2212:accounting
2028:principles
1705:Ceri Smith
1517:31 January
1487:31 January
1457:31 January
1383:22 October
1071:References
922:ipso facto
761:Law portal
609:Osakeyhtiö
528:Aktiebolag
477:Series LLC
45:references
2537:Euthenics
2502:Disasters
2461:ISO 19011
2401:Reporting
2351:ISO 14031
2346:ISO 14000
2265:ISO 45001
2260:ISO 26000
2141:Pollution
2075:in Russia
2049:behaviour
1783:Executive
1580:Ministers
1198:0261-3077
1049:in Canada
1012:Regulator
974:CICs are
920:A CIC is
838:companies
649:Doctrines
419:by shares
135:Australia
2630:Category
2428:Auditing
2249:equality
1968:Category
1927:Scrutiny
1843:Tribunal
1824:Advisory
1511:Archived
1481:Archived
1451:Archived
1409:17 March
1154:Archived
1035:See also
998:wound up
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666:De facto
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830:History
633:more...
251:Limited
246:General
211:Company
191:Germany
175:Vietnam
58:improve
2280:SA8000
2254:social
2210:Social
2151:Racism
2024:Ethics
2009:Social
1507:GOV.UK
1477:GOV.UK
1429:GOV.UK
1403:gov.UK
1377:GOV.UK
1219:Part 2
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627:(SARL)
602:(N.V.)
592:(K.K.)
582:(GmbH)
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519:Others
484:(LLLP)
429:public
408:(Ltd.)
383:(SCIO)
354:(EEIG)
314:
186:France
145:Canada
47:, but
1886:Other
1335:s. 26
1321:(PDF)
1111:(PDF)
1091:(PDF)
562:(A/S)
552:(ANS)
464:(LLC)
399:(IPS)
391:(CIC)
375:(CIO)
346:(SUP)
336:(SPE)
326:(SCE)
155:India
2116:Harm
2011:and
1519:2021
1489:2021
1459:2021
1411:2019
1385:2023
1359:2015
1205:2024
1194:ISSN
1162:2015
1133:2015
618:S.A.
612:(Oy)
572:(AS)
542:(AG)
532:(AB)
316:(SE)
2026:and
1053:L3C
964:own
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140:BVI
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