Case Study: Blenheim CDP
Name of organisation
Company limited by guarantee (CLG) with charitable status.
Where, what and how
Blenheim CDP is the charitable company formed by the merger of two separate charities – The Blenheim Project and Community Drug Project.
Both worked in similar fields dealing with drug rehabilitation and treatment and the merger was mutually beneficial. They chose to merge their operations by transferring the activities of one company into the other and then closing the non operational company. They then adopted a new name.
The organisations wanted to retain limited liability status as they operate in a field with relatively high risk and by retaining one of the pre-existing companies, not all staff and activities had to be transferred.
Why the form fits
A CLG provides Blenheim CDP with limited liability. Charitable status allows it to protect its social mission and provide its core services.