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Loan Note Scheme for the new Changing Rooms

Loan Note Scheme for the new Changing Rooms

Richard Ordidge18 May 2016 - 06:58
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As part of the overall fund raising initiatives, the club has been examining raising additional funds via a members loan note scheme.

In our last communication update we announced that as part of the overall fund raising initiatives, the club has been examining the opportunity to raise additional funds via a members loan note scheme.

There has been careful consideration of the level of indebtedness the club can finance through it's overall commercial activities and having been through this process we are now in a position to clarify the details of the scheme. In high level terms it will be as follows:

* The term of Loan Note Scheme (2016) is 10 years
* Notes will be issued in multiples of £1000 and club members can hold more than one note
* Repayment of the Notes will be one fifth of the principal amount issued in each year in years 6-10.
* All Loan Notes will be repaid in full on completion of the term, 1st July 2026
* The annual interest rate that members will receive on the amount outstanding in respect of your Loan Notes will be 5%
* Interest on the principal amount of Loan Notes outstanding will be paid semi-annually on 30 June and 31 December each year
* The Loan Notes are transferable
* The Loan Notes are unsecured

Whilst it is not yet possible to state precisely the level of funding via this mechanism, as we are still awaiting final confirmation of the level grant monies available, the Management Committee has reviewed the finances of the club, in particular the inflows of cash over time in order to ensure that interest payments on loans made through this scheme are manageable. Ultimately it is this that will determine the amount raised via this scheme.

At this stage we are asking whether you are interested in entering the scheme and the amount of your commitment following which there will be an additional note to members with all the information required to submit applications.

It is anticipated that the Loan Note scheme will be available to members by 30 June 2016.

In the interim should you have any questions regarding the scheme please contact Richard Ordidge at richard.ordidge@outlook.com.

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