About Shares in Bread for Good Community Benefit Society
- Each share is £1 and the minimum investment is normally one hundred shares, except as part of special membership offers.
- The maximum investment is set at £3,000 to avoid over-dependence on any one investor. Donations are also welcome.
- Each member will have one vote, irrespective of the number of shares held.
- Application for shares must be made to the Board of Directors and must be paid in full on application.
- No interest is likely to be paid on shares in the first five years. A small rate of interest may be payable after this time, at the discretion of the Board of Directors.
- It is possible that investors may be able to set 50% of the cost of their shares against tax under the terms of the government’s Seed Enterprise Investment Scheme. However, this depends on confirmation by HMRC that this is a qualifying trade for which advance assurance can be provided.
- The value of shares of a deceased shareholder may be transferred to another person in accordance with his/her wishes.
- This is a long-term investment. Shares cannot be sold. Having regard to the long-term interests of the Society and the need to maintain prudent reserves, it is unlikely that the Board will allow withdrawal of shares in the foreseeable future.
- Anyone from the age of five can own shares and become a member, but shares can only be withdrawn once the member reaches the age of 16.
- The value of shares cannot increase beyond their nominal value of £1. However, their value may fall if the Society makes a loss, and shares will only be repaid at the value shown in the balance sheet at that time.
The Community Shares Standard Mark is awarded by the Community Shares Unit to offers that meet national standards of good practice.
For more information about community shares, the Community Shares Standard Mark and the Community Shares Unit go to: communityshares.org.uk
The Security of Your Shares
A Community Benefit Society is registered with, but not authorised by, the Financial Conduct Authority. Therefore the money you pay for your shares is not safeguarded by any depositor protection or dispute resolution scheme.
The share offer is exempt from the Financial Services and Markets Act 2000 or subsidiary regulations, which means you have no right of complaint to the Financial Ombudsman. Your shares are fully at risk and you should therefore be prepared to lose part or the whole value of your investment.