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BMF seeks to alter corporate structure

Builders merchants trade organisation the Builders Merchants Federation is to hold an EGM next week, seeking to change its corporate structure.
The process was begun at the BMF’s Annual General Meeting in September when members gave their unanimous approval to the principle that BMF should change its corporate status from that of an unincorporated body to that of a limited liability organisation. The EGM is being held at the Royal Lancaster Hotel in London on November 25.

The proposed new BMF structure is that of an Industrial and Provident Society (IPSOC), the key benefits of which are:

  • Limited liability – which means the personal liability of members will be limited to the amount of their (£1.00) share capital.

  • Member control – retention of members’ equal stake in the organisation and equal say in the management and other affairs of the organisation.

  • Corporate body status – BMF will be able to act, sue and be sued and can own property, land and other assets in its own name without the need for trustees

  • Contracts can be made, varied or discharged in the same way as companies registered under the Companies Acts.

  • Favourable tax position.

    BMF needs to call this Extraordinary General Meeting to seek approval for the new rules that will govern the BMF’s new structure, though they have been kept as close to the current BMF Objects and Rules as possible.

    One further change is proposed and that is to make it easier for all members to have their say at general meetings by allowing postal or electronic voting.

  • About Fiona Russell-Horne

    Fiona Russell-Horne
    Editor-in-Chief across the BMJ portfolio.

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