Frequently Asked Questions (FAQs)
Q. Are you FoOLs? A. Yes, but only by name! We commonly use the acronym FoOL since Friends of Otley Lido can be a mouthful! However, there is nothing FoOLish about our project. The site is currently an eyesore - a wasted community asset - but has huge potential and needs bringing back into community use. Lidos around the country are experiencing a magnificent resurgence with many previously closed already re-opened or looking to re-open. Our plan to bring the lido to fruition follows the industry standard approach used by local authorities and other lidos.
Q. What is a Community Interest Company (CIC)? A. A CIC is a social enterprise that uses its profits and assets for the benefit of the community. In many ways it is similar to other companies and subject to similar legal requirements. For example, FoOL is registered with Companies House (No. 10008956), we have company directors, and we file tax returns and pay corporation tax. Additionally, annually we have to file a Community Interest Company Report (CIC 34) with The Office of the Regulator of Community Interest Companies (CIC Regulator)Â which details our activities, how they have benefitted the community, stakeholder consultation, rumuneration to directors, and any transfer of assets.
Q. Are you currently fundraising? A. Yes! However, we try to split our fundraising efforts into three main types. Firstly, our on-going fundraising efforts through community events, donations, sales of merchandise, etc. Typically these cover the modest costs of running the Community Interest Company (e.g. administration, insurance, website, etc.) whilst simultaneously providing opportunities to engage with our community. Secondly, we identify and apply for grants applicable to our project and our current - or next - phase of work. Typically, these require us to specify how the money shall be spent. Thirdly, fundraising campaigns or large events. We do not feel we can continually ask our amazing supporters to fund the project in a general sense. Nor, as a small organisation, are we able to invest the resources to continually run large fundraising campaigns and events. Instead, we identify in advance when additional funds shall be required and then plan and run campaigns and events to raise the necessary funds. By doing this, our supporters know exactly what we are raising funds for. It shall be obvious when these campaigns and events are being run by the marketing and publicity accompanying them on our social media, website, around the local area, in the media, etc.!
Q. What happens to the money that FoOL fundraises and receives in grants? A. The money is paid into our bank account to be used to progress the project. We have modest costs associated with running the Community Interest Company (e.g. administration, insurance, website, etc.). The majority of the money is used to progress the project in a strategic direction or channelled into specific areas if this was a condition of the donation, grant, etc.
Q. Do FoOL Directors or Committee members receive a salary, fees or similar payments? A. No. To date FoOL has been a Community Interest Company (CIC) run by volunteers. The only money paid to Directors or Committee members is / was for reimbursement of expenses incurred on behalf of FoOL and after production of a receipt. Generally, payments are made directly from one of our accounts or paid by card thus avoiding the need for reimbursements. We have procedures in place to obtain quotes and approve purchases before they are made.
Q. Do FoOL advisors and/or consultants receive a salary, fees or similar payments? A. There are a number of people who offer their services on a pro-bono basis - this is shortened from the Latin phrase 'pro bono publico' meaning professional work undertaken voluntarily and without payment. Some do this on an on-going basis and others as a one-off. This helps us reduce costs so we have more funds left that can benefit the project in other ways. However, we ensure any pro-bono work offered would be completed to the necessary standard before it commences and confirm this on completion. This is part of our due diligence processes. Like any company we also commission professional services or consultants when external expertise is required. Where the fees are likely to be significant we seek quotes or put the contract out to tender and undertake a thorough appraisal process to ensure we are obtaining the best possible value. This is also part of our due diligence processes.
Q. How will you fund the project? A. The exact capital required shall depend on the scale of the project and approach adopted - e.g. one-off ('big bang') versus phased. However, there are number of funding sources available including: • National Lottery • Sport England • Community Ownership Fund • Levelling Up Fund • Corporate / Commercial Sponsors • Fundraising (e.g. Crowdfunding) • Loans
Q. When are you opening? A. The first step is to identify if we can deliver a viable business on the site and what the business shall look like. If this produces a positive outcome that is acceptable to stakeholders, the next steps would be to secure a lease with Leeds City Council and raise the capital for the project - these are interconnected. Therefore, there are a number of steps before we can start to transform the site. Additionally, there are a multitude of factors including the scale of the project, the approach adopted - e.g. one-off ('big bang') versus phased - which shall impact the time required to both raise the capital and complete the necessary work before we can open. We shall provide updates on the details and potential timescales as the project progresses.
Q. What will happen to any profits the company makes once operational? A. Any profits will be reinvested back into the company either as working capital or capital investment (either immediately or into a fund for future capital projects).
Q. What happens to any remaining funds if FoOL does not succeed with its plans? A. As a Community Interest Company (CIC) we are 'asset locked' meaning that if the company were to cease we would be legally obliged to ensure "any assets owned by the CIC are passed on to benefit another community-based company or organisation". The CIC Regulator oversees and ensures all legal requirements are being met.