Thursday 24th August 2017,

Wychwood Festival Fans Invited to Invest in Acclaimed Music and Arts Event by Tribe Festivals

Wychwood Festival Fans Invited to Invest in Acclaimed Music and Arts Event by Tribe Festivals
Today we can bring you perhaps the most intriguing entry to the festival guide we have ever seen here at Young Academic. The boutique family event, Wychwood Festival have engaged crowd-sourcing platform CrowdCube to sell shares to festival fans and expand its business.
Wychwood Festival 2012

Tribe Festivals Ltd, the rights holders of the hugely popular Wychwood Festival and joint owners of the Cheltenham Comedy Festival, have today launched an innovative new model that invites fans and supporters of the Wychwood Festival the opportunity to become shareholders in the annual family weekender.

In a challenging financial year that has seen many festivals, both large and small, crippled by a host of external factors including the wealth of free events available to people across the UK through the London Olympic Cultural Olympiad programme, Tribe will be the first company to trial crowdsourcing as a potential capital stream for a UK festival. For a one-month period, Tribe Festivals Ltd offer a number of shares via the Crowd Cube platform to up to 200 individuals.

In return for the share capital of £1000, new investors will receive a pair of tickets for life* to Wychwood (valued at £280 each year), plus up to 12 tickets each year for friends and family that can be purchased at half price. There will also be a host of additional benefits to new investors, who can buy their share here: www.crowdcube.com

Investors wishing to buy shares in Tribe Festivals Ltd will also be able to reap a host of other benefits as an investor in the company including discounted tickets to other Tribe-owned or run projects. There will also be a host of benefits available to investors onsite at Wychwood Festival each year.

New investors will be able to take advantage of EIS relief and will be entitled to a share of profits from the business going forward. A potential investment of £1000 will buy 10 shares in Tribe Festivals Limited, out of an available 200,000 shares in the company. This will give a small return by dividend when the company starts reporting a profit. However the main financial benefit comes with the free ticket opportunity that comes with the shareholding:

Each Year investors will receive:

£240 of free tickets (at 2013 prices- ticket prices generally increase slightly each year)
£840 of savings in tickets for friends and family
£50 of bar credit
£50 of merchandise
Total value £1100

With this benefits package in place, investors would have potentially already seen a return on their investment in Year 1 and can then continue to expect this as a minimum year on year thereafter. With EIS Eligibility, the investment would actually only cost £700 in real terms, meaning if the investor just took their free tickets and bar/ merchandise for 2 years again they would already be in a return situation. This is also excluding other event opportunities that Tribe may have. If the investor is unable to come to one or more festivals their free tickets can be transferred to friends/family, so the saving is never lost. In addition to this, if the investor brought any new business opportunity or sponsorship opportunity to the company they would also get a profit share from that event of 30% or sponsorship commission of 20% of the opportunity.

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.

Enterprise Initiative Scheme:

Enterprise Investment Schemes (EIS) have the following benefits:

• 30% Income Tax Relief for investments up to £1 million p.a., reducing net cost to investors to 70p per £1 invested.
• Tax Free Growth – no capital gains tax payable on gains realised on investment.
• Loss Relief – losses to net cost (i.e. below 70p per £1 invested) can be off set against income in year of disposal or previous year, reducing capital at risk to 35p per £1 invested.
• Capital Gains Tax Deferral – capital gains deferred up to amount subscribed for shares. •Applies to gains arising three years prior to, and one year after, issue of qualifying shares.
• 100% relief from inheritance tax for EIS qualifying investments held for more than two years.

For Wychwood Festival fans who simply wish to buy tickets to the festival, a limited number of early bird tickets are available from the Wychwood Festival website or by calling +44 1993 700558.

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”.

* “For life” means the lifetime of the festival in its current form and/or for the lifetime of the investee or his/her spouse

MORE INFO ABOUT TRIBE FESTIVALS LTD

Tribe Festivals Limited run a number of successful events in the UK, including festivals and programming for various bodies. Tribe Festivals Limited include a core number of individuals who have many years experience in putting on live events. The overhead costs are relatively low with a small number of employees, and for each event a number of highly experienced individuals are brought in, who we have worked with for a number of years, to deliver each project. In-house we are responsible for new business generation, event programming, marketing, sponsorship procurement, ticket fulfilment and project management. Building on the current successes of the business we want to expand our portfolio of events to include:

• Further UK Festivals funded by clients who want to work with Tribe UK Touring Comedy Projects
• Classical Events in Stately Homes
• Sporting Events
• Parties and Team Building Events for Corporate bodies High End Wedding Parties
• Charity Events and Fundraisers

Events we have previously worked on include programming music for The Cheltenham Gold Cup, RHS Flower Shows, and programming the Scarborough Open Air Theatre including a summer 2011 show with Elton John.

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About The Author

Charles Whitworth is the Editor of the Young Academic publications. Graduating from the University of Liverpool with a Bachelor of Arts degree in Journalism in 2008, Charles learnt his trade in newsrooms such as IPC Media and Sky. He has now developed as a top sports, music and current affairs journalist and has been printed in a range of publications including The Guardian. His interests include Cricket, Football, Rugby, Music and Current Affairs. Fresh from the editorship of Student Times he now takes the reins at Young Academic - the premier student news portal. Connect with me on Google+

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