A community buyout is when a community group comes together to take on an existing business or asset.
This is in contrast to when a community establishes an enterprise to take ownership of a new business or asset, such as purchasing a new solar array to generate renewable energy.
Community buyouts are increasingly common in the UK, with groups having purchased and taken on the running of existing shops, pubs, football clubs, piers and transport services. Most of which are delivered through setting up a community co-operative.
They mainly arise when a community is driven to rescuing a local business threatened with closure or, in exceptional circumstances, where the community feels poorly served by the business.