Organic feels that the minimum share-holding in Hereford FC is too high.
Background:
At last night's well attended HUST meeting, the Hale consortium, who are hoping to obtain the main lease on Edgar Street, confirmed that the minimum shareholding in the proposed new club would be 2000 one pound shares.
The total number of shares in the club will be 500,000.
Of those the three supporters who have promised to give £50,000 each to help set up the club will receive 50,000 shares each.
HUST will be given half the shares, 250,000.
The remainder, 100,000 shares, will be sold to supporters.
No one person may own more than 24% of the club.
Several supporters made it clear at the meeting that they would like to purchase shares but wouldn't be able to afford the minimum £2000.
However in response it was said that it would be much easier for the new club if there were only a small number of shareholders. Reference was made to Hereford United (1939) Ltd where there were pages of shareholders with just a few shares.
"Administratively for a football club, it could be a nightmare" said Phil Eynon at the HUST meeting.
It was suggested supporters put their money into HUST to help them purchase shares if they couldn't afford £2000.
Opinion:
I feel the minimum figure of 2000 is too high. Whilst I expect that the new club will be able to sell 100,000 shares over a period of time, with a 2000 minimum just 50 supporters would be able to buy into the club.
Worse if, say, five supporters want 10,000 shares that will leave just 50,000 between other applicants which would equate to just 25 supporters.
Why not go for a minimum of 500 shares (£500)?
That way more supporters will be able to purchase shares. And if five would like 10,000 shares, it still means that 100 could buy 500 shares each.
Those on top table last night said they wanted to include all fans. Having 2000 shares as a minimum does the exact opposite, it excludes fans.
The view that those who can't afford £2000 should put what they can afford into HUST to help them buy shares is all well and good but gives supporters just that one option.
So I ask Jon Hale and his group to take another look at this issue. It's not too late to change the figure of 2000. And if the figure is changed, I suspect there will be a few more supporters who will then vote yes to the project when the HUST vote takes place next week.
At the moment it looks like them and us. That can't be the intention, can it? It should only be us.
'Forever United -Let's Make It Happen'.