Tribe will be the first company to trial crowdsourcing as a potential capital stream for a UK festival. For one month, Tribe Festivals will offer a number of shares via the Crowd Cube platform to up to 200 individuals. In return for the share capital of £1,000, new investors will receive a pair of tickets for life to Wychwood, plus up to 12 tickets each year for friends and family that can be purchased at half price.
Investors wishing to buy shares in Tribe Festivals will also be entitled to discounted tickets to other Tribe-owned or run projects.
A potential investment of £1,000 will buy 10 shares. This will give a small return by dividend when the company starts reporting a profit, but investors will also receive:
£240 of free tickets
£840 of savings in tickets for friends and family
£50 of bar credit
£50 of merchandise
Investors would be free at any time to sell on their shares under current market rules and the new investor would then benefit from all of the above opportunities.
Graeme Merifield, co-founder and festival director of Wychwood Festival, said: "Just after the 2011 Wychwood Festival we had a big rethink about where we want to take the festival and our other projects. I’m very pleased to say that we have a new and exciting team on our board and we want to expand our Tribe business into a number of other events, so it seems only fitting that we invite those who have been loyal to our current festival portfolio over the last eight years, to come and join our Tribe."
Could this catch on? Would you buy shares in your favourite festival?
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