Crowdfunder launches Community Shares

Crowdfunder, the UK’s No 1 crowdfunding platform, is set to revolutionise UK community funding as it launches its first community share offer in partnership with The Community Share Company.

The Community Shares Company has worked on some of the most-high profile British community share offers to date including Hastings Pier, the first ever UK charity to issue community shares.

Community shares enable the communities to get together to buy shares in a project that has a strong community benefit - often making that project more sustainable or viable.

The new product is suitable for community groups looking to raise significant funds from community shares. It creates an online community share solution which enables projects to easily create community share offers and digitally engage their community through a crowdfunding platform purpose built to connect them to people who can invest.

The first project to go live with Crowdfunder Community Shares is Positive News, a quarterly magazine that for 22 years has pioneered journalism that shines a light on kindness, cooperation, creativity and innovation aiming to influence mainstream media. The magazine hopes to raise £200,000 from their thousands of readers and supporters, which will help them move to a new, more sustainable business model.

Phil Geraghty, MD, Crowdfunder said: "Here at Crowdfunder we are dedicated to helping communities come together to make their great ideas a reality. Our crowdfunders have had incredible success using rewards-based crowdfunding, so we are delighted enable communities to take the next step in funding by offering community shares in partnership with The Community Shares Company. "

Dave Boyle, Founder, The Community Shares Company said: “Community shares are growing year-on-year, with over £70M raised in the last 5 years. It’s the cheapest and easiest way for community projects - like saving pubs, buying football clubs or renovating historic buildings - to raise the six and seven figure sums they need.

“With Crowdfunder Community Shares, we’ve used our combined expertise to ensure groups can spend as much time as possible banging the drum amongst their supporters to raise money - and avoid sleepless nights worrying about BACS transfers or bouncing cheques.”

Barry Sheerman, MP and Chair of the Westminster Crowdfunding Forum, said: "Crowdfunder has played a huge role in the education and understanding of rewards-based crowdfunding and it's a pleasure to see the company continue to grow their offer by expanding into the delivery of community share issues. It's an exciting time in the alternative finance world and I'll look forward to seeing communities embrace the new opportunities open to them."

Community shares are only possible for co-operative societies and community benefit societies. Interest can be paid on investments, which can also be withdrawn, but only if the enterprise is doing well enough to be able to afford it. Investors are primarily people who support the project and want to see it succeed, but because community shares can attract a tax break and be repaid over time, it can attract larger sums than normal donations.

Groups who want to know more about share issues should visit www.crowdfunder.co.uk/communityshares where they can find out more and register their interest. Crowdfunder and the Community Shares Company will work to guide them.

* Join the conversation online with #OwnedByTheCrowd and #OwnTheMedia with @CrowdfunderUK and @PositiveNewsUK