According to a recent article in The Visitor, B4RN is proposing to raise £3m through what is being referred to as a “Crowdfunding initiative”. What they are in fact doing is selling bonds that will pay a 4.5 per cent gross interest per year for its seven-year term and the minimum investment is £50.
The article says “As a community benefit society, its profits are reinvested back into the community”. It also, however, points out that “As with all investments, capital is at risk and returns are not guaranteed.”
As I pointed out last December, B4RN has been trading since 2012, seven years this year. In that time they have never, not in any year, made a profit. Their losses up to March 2018 total £862,208.
The placing is being handled by, what I understand to be, a reputable Bank. But I am sure that the diligent people of Whittington will think long and carefully before joining the “Crowd”.
You can read the full article at this link: “The Visitor”