The Honest Men Trust - Ayr United Community Initiative

As you would expect, The Honest Men Trust are consulting those trusts who have ran similar schemes, in order to learn from their experiences. THMT are also still in discussions with professionals so that our Centenary Fund doesn't fall foul of the FSA. The Gersave scheme cost a 5 figure sum to ratify, our scheme is easier to implement because Ayr United Football and Athletic Club are Private Limited Company. Once the scheme is ratified we will be able to announce further detail. In the meantime we have received a number of questions about the scheme and now provide some answers.

Q. What happens to the money in the 3 years leading up to the Centenary?
A. The funds lodged will be monitored. Interest accrued on the Account, will help pay for any Bank charges and set-up costs.

Q. Why do you ask for all contributors to join The Trust?
A. The administration of the Account and the monitoring of the Standing Orders, all have a time and cost implication on The Trust. Personal Bank Accounts have bank charges. Most importantly it allows the Trust to keep those who contribute informed of the progress and negotiations as to its eventual determination.

Q. Who decides when the fund is transferred?
A. In keeping with our democratic views, the transfer of funds will be decided by those who contribute to the Centenary Fund, IE One member One vote.

Q. Why have minimum Personal Levels?
A. When the time comes to transfer the individual funds for shares it will make the job easier and reduce the administration and cost of the exercise for both The Trust and AUFC. The Minimum Personal Level has been set at £100 over the 3 years, inclusive.

Q. Why join The Trust in this instance.
A. Company Law dictates that for a Share Issue of a Private Limited Company, existing shareholders (The Trust is an existing Shareholder) will have Pre-Emption rights.

Q. Why did THMT choose Triodos Bank?
A. Triodos are an ethical bank, consistent with The Trusts objectives, they offer a competitive market rate and also offer a 0.25% bonus on some of their Reserve Accounts. Like the Trust they are regulated by the FSA.

Q. Will the shares be owned by The Trust?
A. The plan is to gather funds both individually and collectively, Individuals will receive individual shares, groups will receive shares in the name of their groups or companies.

Q. What sort of targets, if any, (both financial and non financial) are The Trust hoping to realise?
A. The Trust hope to raise £50K in the first instance, a non-financial target would be to reinvigorate the shareholding and make AUFC AGM a more constructive consultative exercise.

Q. Who will decide the timing and utilisation of the funds accrued in the Centenary Fund ?
A. The democratically elected Trust board will monitor the Centenary Fund and lobby for a Share Issue in AUFC. Those who contribute will vote upon what happens to the funds. The Centenary Fund looks to make an investment in perpetuity for fans and the local community.

Q. Will people have to join The Trust in order to buy into the scheme?
A. Individuals will be asked to join the Trust, this is in exchange for the administration and also an important way of keeping in touch with those who contribute.

United Support Centenary Fund In Principal 16/2/07

Ayr United Board members have reacted positively to the Honest Men Trust Centenary Fund and described it as " a good idea ". At a recent Partnership Forum they agreed in principal to support this initiative. This is a boost for United fans who wish to invest in the Club, and help secure the long term future of United, as well as providing a welcome financial boost to the Club in their Centenary year. The Honest Men Trust have been asked to submit their proposal in writing to aid further discussions. Further details will be announced once agreed.

Honest Men Trust Centenary Fund Launch : Press Release 12/12/06

The Honest Men Trust (The Ayr United Community Initiative) today launched their most ambitious project to date. The Trust are aiming to help to secure the long term future of Ayr United FC by launching the THMT Centenary Fund. Aiming to make a substantial investment in AUFC by the time of the club’s Centenary in 2010, the Trust are asking members, fans, businesses and the whole community to invest in the Centenary Fund. The Fund will be an additional Contingency Sum for the Stadium Project, used to assist the board to meet the ambitions of the supporters and the needs of the club.

All funds raised will be a solid investment in the club in exchange for shares in the club, rather than loans, which will require to be repaid at some point in the future. Trust Chairman Fraser McCallum said today “The aim of The Honest Men Trust has always been to help to secure the future of Ayr United as a community resource, and we hope that the launch of the Centenary Fund will underline our commitment to the club in the long term.”

Any decision about the exact timing and any stipulations regarding the handover of the proceeds of the fund will be made with consultation of all interested parties. It is envisaged a separate board may require to be put in place compromising Club, Trust and Community Interests. Mr McCallum continued, “At the moment, Ayr United is a privately owned company and Mr Cameron and his board have been working hard to stabilize the recent, well known financial difficulties. We simply want the supporters and people of Ayr to have a say in what happens to the club going forward.”

Fraser McCallum concluded “THMT envisage the Centenary Fund as an opportunity for a substantial Community Buy-In and to gain a significant shareholding for Ayr United fans to hold in perpetuity.”

Contact centenaryfund@thehonestmentrust.co.uk for further information or questions.

Further announcements will be made early in 2007.