Sharesave schemes

1
Share-save schemes

• AIMS OF SESSION
• Highlight types of share-save schemes
• Identify issues facing Trusts wanting to set up
  schemes
• Shareholders United share-save scheme

2
Share-save schemes

• Acquire influence, ownership and representation
• Provide investment in Clubs
• Fund specific projects
• Emergency fund in crisis

3
Factors influencing shares-schemes

• Availability of shares in the club
• Listed Plc clubs
• Clubs as Private limited companies
• Affordability of scheme members
• Price of shares
• Attitude of supporters towards the current regime
• Attitude of current regime towards supporters

4
Carlisle United Trust (CCUIST)

• Shares not available regime hostile to Trust
  involvement supporters hostile to regime
• Wait for opportunity
• Over 1000 members 2 per month min since May
  2001 raised over 90,000 (150,000 by March
  2003) 4,000 a month new ownership allowed
  opportunity for a full supporter representation
  on the Board and a 25 shareholding in the club

5
Experiences of other Trusts/Supporter groups

• Dover Athletic Supporters Trust (DAST)
• Crystal Palace Supporters Trust
• CherrySave - Bournemouth Supporters Trust
• No guarantees
• Patience
• Negotiation skills

6
Issues facing Trusts setting up schemes

• Skills requirements recruit vigorously
• Aims Clear, well publicised
• Affordability use SO or, even better, DD
• Technical databases etc.
• Knowledge FSA requirements etc.
• DONT REINVENT THE WHEEL run everything past
  SD!

7
Share-save schemes at a Plc Club Manchester
United

• Man Utd FACTS AND FIGURES
• Listed on the LSE with 260 million issued shares
• 34,000 shareholders
• annual turnover of 129 million
• 24 million profit

8
Share-save schemes at Plc Club Man Utd
Supporter-shareholder trust

• Shareholders United Aims of Trust
• - Long term acquire a 10 shares to prevent
  hostile takeovers, and widen share ownership
• - prevent further commercialisation of club
• - address issue of Social exclusion
• - Plc or club?

9
Shareholders United Share-Scheme

• FACTS AND FIGURES
• 1200 members
• 350 in share scheme
• Average 10,000 monthly payments
• Over 100,000 shares under control
• Ownership resides with individual
• Achieve 10 of club by 2047

10
Shareholders United - Achievements

• Resolutions Dividend Reinvestment Scheme move
  AGMs to weekend supporter director on the board
• Quarterly meetings with club officials
• Links with institutional investors for voting
  strategy at AGMs
• Media profile
• AGMs proxy voting

11
SU Share-save schemeLessons for other Trusts

• Massive skills base needed ongoing recruitment
• Complying with Financial Services Authority
  regulations etc. (see Supporters Direct)
• Constant need to professionalise and step up
  efforts publicity and membership - mailouts
• Support from Supporters Direct
• Model share scheme
• Database template
• New initiative costs match funded