Operating Framework and Product Approval

As with any business, student companies set up as part of the Company Programme must operate in line with their legal responsibilities. All students, business advisers and centre leads must read our Operating Framework to ensure they know what products/services they can offer and those that are not covered by YE Insurance.

All student companies will need to register for YE Trading Station, an online trading platform that allows them to promote and sell their product or service online. As part of the registration for Trading Station, students will need to complete a product/service approval process, outlining what product or service they would like to offer and providing evidence that this does not breach or infringe any of the rules set out in the Operating Framework. Some products and services are not covered by YE Insurance (further information in the tab below).

Centres do have the option of providing their own insurance should their student company want to produce something not covered by YE Insurance.

The Operating Framework will be made available on completion of registration to YE Online where further information can be found, including explanation videos for students.

All Young Enterprise student companies are, for the year of their operation, functioning as branches of Young Enterprise.

Copyright and Intellectual Property

When students name their student company and start to develop their brand, care needs to be taken to not directly or overtly imitate, copy or trade using existing company names, trademarks or copyrights.

Company websites, online trading and the use of social media all mean that student companies have a much larger ‘reach’ than they would have had just a few years ago. Companies and products that may, in the past, have had little presence outside their local community can now have a wider impact and this increases their potential for unwanted scrutiny.

> Legal Status of Student Companies
Under the Companies Act 2006 a Company must complete its name in legible lettering on all business stationery, whether in hard copy (printed) electronic or any other form. Common items of stationery include:
  • Company letters
  • Order forms
  • Official publications
  • Invoices
  • Receipts
  • Websites

In addition, you will be breaking the law if your student company does not show the YE place of registration, registered number and registered office address in legible lettering on the following items:

  • Student company letters
  • Order forms
  • Websites
  • Emails

The YE registration details vary depending on your location:

Young Enterprise in England and Wales (including the Channel Islands) Young Enterprise Northern Ireland Young Enterprise Scotland
A Company Limited by Guarantee No. 712260
Charity No. 313697
Registered office: Young Enterprise, The Coram Campus, 41 Brunswick Square, London, WC1N 1AZ
A company Limited by Guarantee No. NI 32769
Charity No. XR 21328
Registered office: Grove House, 145-149 Donegall Pass, Belfast BT7 1DT
A company Limited by Guarantee registration No. SC133649
Charity No. SC018180
Registered office: 40 Wellington Street, Glasgow, G2 6HJ
> YE Insurance Cover

The following notes on insurance are for general guidance only. They are not an exhaustive synopsis of the Young Enterprise Insurance Policy; there is more information on YE Online, or please contact the support centre for specific detail.

Products and Public Liability (Including Prohibited Products)

Young Enterprise has effected Products and Public Liability Insurance, under which there is an indemnity up to £10,000,000 to cover such amounts as it may legally be liable to pay in respect of accidental death, bodily injury, or loss of or damage to, material property not belonging to or held on trust by Young Enterprise, happening in connection with its occupation as a youth training organisation.

The Products Liability extends the policy to include any goods sold or supplied by Young Enterprise but excludes:

  • “Operating with the U.S.A. or Canada”, or any territory under their jurisdiction
  • trading with those countries shown on the United Nations Sanctions list
  • the cost or value of any product lost or damaged due to defects;
  • the direct or indirect costs of repair or replacement of any product;
  • losses resulting from damaged products designed by you or on your behalf and subsequently sold or transferred to some other party;
  • any liability assumed on behalf of Young Enterprise by means of an express agreement or contractual undertaking if such a liability would not otherwise have arisen.

The Young Enterprise insurance does not cover the manufacture or operating in any of the following products or activities:

  • the repair and maintenance of mechanically propelled vehicles;
  • the manufacture, storage, filling, breaking down or transport of explosive gases;

Also not covered by the policy are manufacturing, reconditioning, alteration, repair, sale or supply of:

  • cosmetics and beauty preparations including Henna products and face paints, other than the re sale of proprietary branded products, including soap, perfumes and bath salts;
  • goods for use as component parts in aircraft control;
  • goods for animal consumption;
  • goods for use in the repair and maintenance of mechanically propelled vehicles;
  • acids, gases including helium balloons, explosives, fireworks and chemicals; drugs and pharmaceutical products;
  • fertilizers, crop and weed spraying preparations;
  • the manufacture, modification or sale of any product which has to be plugged into the mains electricity supply.

Please note that:

  • Young Enterprise student companies must not trade in alcohol or tobacco products or set up events where alcohol or tobacco are being sold or served even if students are not directly involved in serving these products.
  • Young Enterprise student companies must not act as Travel Agents, Tour Operators or Taxi Services
  • Young Enterprise student companies must not run gambling activities with the exception of raffles where cloakroom tickets are sold exclusively within the school or college.
  • Young Enterprise student companies are not allowed to produce or manufacture foodstuffs, nor buy unbranded products for consumption, nor those subject to refrigeration and special storage arrangements, together with products of a sell by date under 3 months, or which would have reached the sell by date at time of sale.
    • Exception: student companies may deal with food where the student company is being run as part of a recognised catering course and where insurance cover already exists. FOOD HYGIENE CERTIFICATE IS NOT A CATERING COURSE. Written permission should be requested from the Young Enterprise Support Centre and must include evidence as described above.

The insurance policy does not cover:

  • liability arising directly or indirectly from ownership, possession or use by or on behalf of Young Enterprise of any mechanically propelled vehicle for which a Certificate of Motor Insurance is required, or of any aircraft, hovercraft or watercraft;
  • liability arising directly or indirectly for loss or damage to property owned by or in the custody or control of Young Enterprise, Advisers or Students;
  • the first £100 of each and every loss arising from Third Party Property Damage and depending on specific circumstances this may be higher. (No excess applies to Public and Product Liability).

The indemnity provided by the policy is extended to individual participants in the Company/Team/Start-up Programmes (i.e. Students and their Advisers) while they are engaged in its recognised activities, provided that they observe completely all the terms of the policy and provided also that they are not entitled to an indemnity under any other policy. This extension of the policy applies also in the event of one participant making a claim against another.

As guidance in terms of personal possessions or clothing, these are not covered for loss or accidental damage by the owner except in circumstances whereby Young Enterprise or their employees can be held legally liable for negligence.

Materials Damage Insurance

Young Enterprise has also effected a materials damage insurance to cover property belonging to Young Enterprise student companies.

The insurance policy does not cover:

  • the first £100 of any one claim and depending on specific circumstances this may be higher;
  • theft unless from premises involving entry to or exit from these by forcible or violent means;
  • the loss of cash.

It is assumed that sponsoring organisations and the owners and occupiers of premises will insure themselves against any damage to the buildings while these are used for educational purposes; such contingencies are NOT therefore, among the risks against which Young Enterprise is insured, if such premises are deemed to be in the custody or under the control of Young Enterprise.

Business Advisers and Centre Leads should ensure that the Young Enterprise Support Centre is advised when an accident occurs.

It should be noted that there is NO personal accident cover on individual participants in the Company/Team/Start-up Programme and all members should be aware that this cover is up to the individual concerned, as indeed many schools have their own schemes available to the parents of students.

Other

In case of any doubts regarding insurance, reference should be made to the Young Enterprise Support Centre who issue the insurance statement. Please email [email protected].

Any group considering products or services that are not covered by the YE Insurance policy, can arrange their own insurance cover if desired. You must be able to demonstrate that the level of any cover established is at least equivalent to that provided via YE. You must send a copy of the policy to the YE Support Centre prior to commencing with the product/service.