All community licenced stations sell advertising. That makes them commercial stations as Neil says.

Case in point: Let's take Vibe in Watford. Or Radio Jackie: Good programmes, successful, sounds big, would never know it is a community licence. If it was allowed to get more ad revenue, it would do even better.
You have them, now compare them with many other tinpot community stations that sound like hospital radio, they have no format, who are struggling financially, well they should go bust and the licences go to a proper radio station who knows how to do radio, like Radio Jackie.

The licence is no excuse for what you do with it. You can either run a popular well run, tight radio station that will succeed, or you can sound like Hospital Radio/appeal to a very limited audience...

'C' is a commercial station. Yet it has decided not to go for an audience, nobody is listening so it sells very little paid ads anyway.