Share Offer | Kilve Village Shop

KILVE COMMUNITY SHOP BENEFIT SOCIETY LIMITED
Community Share Offer Document

£20,000 Share Offer | £130,000 Community Project
Kilve Community Benefit Shop Society Limited (CBS)
HOW TO CONTACT US

Write to us at our registered office:

Crossways, Hilltop Lane, Kilve Bridgwater TA51SR

Telephone: 01278741046

E-mail: jimmorrisstgeorges@gmail.com

Visit our website: www.kilvevillageshop.co.uk

Introduction

This document sets out an opportunity to invest in Kilve Community Shop Benefit Society Limited through the purchase of community shares.

Following the closure of the village shop in 2025, the community identified a clear need to restore access to essential goods and services. This share offer document explains the project, the share offer, and the risks involved, enabling you to make an informed decision.

This offer is issued by Kilve Community Shop Benefit Society Limited for the benefit of the community and not for private profit.

Share Offer at a Glance

Minimum Raise: £15,000
Target Raise: £20,000
Maximum Raise: £25,000

Share Price: £1
Minimum Investment: £10
Maximum Investment: £3,000

Offer Period: 1st June 2026 until 1st August 2026

If the minimum target is not reached, funds will be returned in full.

What is a Community Benefit Society?

A Community Benefit Society (CBS) is a legal structure registered under the Co‑operative and Community Benefit Societies Act 2014.

Key features: One member, one vote
Limited liability
Asset lock (Assets cannot be distributed to directors, members, or shareholders, ensuring the organization remains focused on its social mission.)
Community ownership
This ensures the shop operates for long-term community benefit.

The Project

The Kilve Community Shop will provide essential goods, local produce, and convenience items from a central location within the village.

The shop will also act as a community hub, supporting social interaction and local economic activity. Community Need

Kilve and surrounding villages (approx. 1,000 residents) have limited access to retail services.

Residents travel 6–12 miles for essentials. Public transport is limited, and the A39 presents safety and congestion challenges.

The shop will:
Improve access to goods
Reduce isolation
Reduce travel and emissions
Strengthen resilience.

Market Opportunity

Customers include:
Local residents
Tourists and holidaymakers
Walkers and cyclists
A39 passing trade
Hinkley Point workforce

Limited competition creates a strong trading opportunity.

Business Model

The shop will operate 7 days per week, subject to staffing levels.

Staffing:
Part-time manager
Volunteer workforce (70–80%)

Product mix:
Essentials
Local produce
Convenience goods

Use of Funds

Total Capital Requirement: £130,000

Modular building: £46,000
Delivery: £1,000
Fit-out: £8,000
Site works: £17,000
Services: £8,000
Planning: £16,000
Stock: £9,000
Contingency and project resilience (including inflation and unforeseen costs): £25,000

Prices shown do not include VAT, all VAT will be reclaimed

Our plans for the shop are linked to grants being available from two large funders, Hinkley C give grants through the Somerset Community Foundation, we have applied for £50,000 from this fund, we also have applied to the Fairfield Trust for £20,000, we are confident that if our share issue is successful, we will be successful in gaining funding from these sources, and the more we raise the better our chances.

B. Projected Annual Revenue

Assumptions: 6 days/week, 52 weeks/year, £8.50 average spend, in its last year of trading Kilve Shop had a turnover of £350,000.

E. Operating Surplus/Deficit

Withdrawal of Shares
Shares may be withdrawn with effect from 2029, subject to the following constraints: A provision in the financial projections has been made to cap the withdrawal of shares in a year:

Withdrawals are capped at 10% of the value raised by the share offer, Applications are made in line with our Withdrawal Policy. All withdrawals require three months’ notice and shall be paid in the order in which applications are received by the Society until the maximum total withdrawal allocated for the year has been reached.

The level is reviewed by the Committee, who reserve the right to refuse withdrawals in order to ensure the effective management of finances. In exceptional circumstances, the Committee may, at its discretion, waive the notice required for a withdrawal.

Members must hold their shares for a minimum of 3 years.

The Committee has the discretion to suspend withdrawal of shares if circumstances dictate

Withdrawal / Inheritance on death of a member

After 3 years of trading, it is anticipated that there will be greater clarity on the level of reserves required to continue having a shop in Kilve. In anticipation that some investors may wish to withdraw some of their share capital and that the level of trading is in line with the needs of the business, the Management Committee may be in a position to allow some withdrawals from year 4 onwards and will agree and publish the terms of a withdrawals policy for members at that time.

On the death of a Member, their personal representatives can apply for withdrawal of the Shares. The Committee will prioritise the withdrawal of shares for those Members who have died. Alternatively, a deceased members Shares can be inherited in accordance with the terms of the Member’s will or under the rules of intestacy, subject to Committees approval of the new member who shall hold the shares. A nomination form can be requested from the Committee Secretary. Members may nominate who will inherit their property in the society in the event of their death, to be resolved with suitable evidence of entitlement in all instances. If the beneficiary is already a member of society, the maximum individual shareholding rule still applies and if it is exceeded any excess should either be paid in cash or converted into a loan. If the beneficiary is not already a member, the transfer of shares will be subject to the Committee approving the beneficiary into membership. Shares above £3000 in value can only be transferred under the terms of the settled will and testament of a member under probate law.

Can I pass my shares onto my family?

Yes. Members may nominate a beneficiary who can inherit their shares upon their death but must notify us who that beneficiary is.

What if someone dies without beneficiary notification?

If it comes to our attention that a member has died without nominating a beneficiary to us, and has not left any instructions in their Will, we will attempt to contact their next of kin to arrange the shares’ transfer to their estate.

Interest

To keep the administration easier the minimum level of investment on which interest is paid will be £200

After the first three years interest may be paid subject to performance and approval by members. Interest can only be paid from profits generated by the shop
The Management Committee shall determine the basis for calculating and paying interest to members, the rate of interest to be paid in any year and this decision is to be approved by resolution of the Members at the Annual Members’ Meeting. The agreed rate shall not exceed 5%, or 2% above the base rate of the Bank of England, whichever is the greater and shall in any case be no greater than the rate required to attract and maintain capital.
Investment should be considered primarily for social return.

SHARE OFFER SUMMARY

Kilve Community Shop Benefit Society Limited is offering the sale of shares in support of the proposed Kilve Village Shop.

You will be able to buy shares online or by completing an application form and providing the money to support your application.

The offer opens at 9.00am on 1st June 2026 and closes at 5:00pm on 1 st August 2026. We may extend the offer beyond this initial period by up to 6 weeks, if we believe that by doing so we will increase the chances of reaching the target.

The target for the share issue is £20,000. To reach our overall cost to set up the business, we will seek the remaining funds through grants, donations, fundraising events and if necessary, loans.

If we are unable to raise £15,000, there is a real risk that the project will not go ahead as planned. In the event less than £15,000 is achieved, we will assess whether it is still feasible to progress with the project, albeit with a smaller building and correspondingly reduced turnover.

Were the share offer to be so successful that we can raise more than £20,000 in shares, we may continue to raise funds up to a maximum of £25,000 to eliminate the need for any borrowing and in case the other funding is not awarded. Shares will be sold on a first come first served basis. Once the £25,000 is reached the share offer will be closed.

The minimum investment per person is £10 and the maximum investment per person is £3,000. The minimum investment has been set at £10 to encourage as many people as possible to be involved, however, to reach our target we will need people who can afford to invest larger amounts to help us in this endeavor.

This share offer document:

Invites you to invest in the business and become a member of the Kilve Community Shop Benefit Society.

Describes what we are seeking to do and why we think this will benefit our community.

Explains the community share offer and provides information about Kilve Community Shop Benefit Society Limited.

It has been produced by and is endorsed by the Kilve Community Shop Committee.

This share offer document should be read in conjunction with the Society’s Business Plan which is available via our website: www.kilvevillageshop.co.uk. The Society rules are also available on the website

Hard copies are available on request please call Tel, 01278 741046

THE INVESTMENT

Our Business Plan illustrates in detail how we will raise the money required. This is available via our web site at www.kilvevillageshop.co.uk. and details our full set up costs.

We require £130,000 to construct the building, fit it out with shelves, purchase initial stock and ancillary equipment, employ a manager and have cash flow support.

Our target for the share offer is £20,000.

In addition to this we will seek funding, primarily from Somerset Community Foundation, Fairfield Trust, and The National Lottery to bring us up to the total funding requirement of £130,000. Within our total of £130,000 we would also look to have contingency funds of £25,000 to allow reserves for the future and/or for contingency during the building phase.

We are running this share issue at the same time as the applications for funding from Somerset Community Foundation, and Fairfield Trust funding are being considered, and the results will be announced as soon as possible. If we were to be unsuccessful in our bid for this funding (which we do not believe will happen), we will hold the funds raised through this share issue in a separate account, we will then consult with investors as to their wishes – it may be possible to provide a lower cost option as a stop-gap, or investors may wish for their money returned. Please note that if funds have already been banked by the society after being paid over via Crowdfunder, any refund will not include the fees which will have been paid to Crowdfunder and their payment provider, Stripe, which we expect to be in the region of 6% of the sum invested.

HOW MUCH WILL SHARES COST?

The shares will cost £1 each. You can buy a minimum of 10 shares (£10), up to a maximum of 3000 shares (i.e. a maximum investment of £3000). Regardless of the number of shares owned, each member will have an equal right to vote at each Annual Members Meeting on how the shop is run and is also eligible to vote and stand for election on and for the Management Committee.

OTHER GRANTS AND SPONSORSHIP

We will continue to seek investment from other funds as they arise and will seek sponsorship from companies with an interest in our community.

TAX RELIEF

To claim tax relief investors must be taxpayers

The Seed Enterprise Investment Scheme (SEIS) offers some of the UK's most generous tax reliefs to encourage early-stage investment. Key benefits include 50% income tax relief (up to £200,000 annual investment), after three years, and 50% reinvestment relief. Investments must be held for three years

Key Benefits Explained

If we get approval from HMRC for the SEIS scheme you will be able to claim 50% tax relief on any investment you make. , so a £3,000 investment will enable you to reduce your income tax liability by £1,500 in either the current or previous tax year.

Loss Relief: In the unlikely event the society fails, if you have invested £3,000 you can offset your net loss (£1,500) against your taxable income. At a 45% tax rate, this saves you an extra £600, meaning your total "out of pocket" loss is only £900

CGT Reinvestment Relief: If you reinvest a gain from selling another asset (like a second home) into these SEIS shares, you can exempt 50% of that original gain from CGT.

Inheritance Tax (IHT): After holding the shares for two years, they generally become 100% exempt from inheritance tax.

The management committee will make an application for Advance Assurance document from HMRC relating to the offer that will attract SEIS, this assurance will ensure that tax relief is available. The management committee will notify investors when this assurance has been given. if any investors investment is predicated on receiving the tax relief, they should inform the committee and the committee can advise them if for some unforeseen circumstances HMRC do not grant the assurance.

Important Condition: You must hold the shares for at least three years to retain the income tax relief

FUTURE PERFORMANCE

We believe the use of the shop by the local community will be immediate on the shop opening. Like most new businesses, it may take time to get trade to the levels we will be happy with, but we do forecast a small profit by the end of year 3, continuing to rise over the following years. These figures are available in more detail in the Business Plan, available via www.kilvevillageshop.co.uk

IS MY INVESTMENT GUARANTEED?

No. This is a long-term investment for the benefit of the community. It is not the same as the more familiar investment in a private sector business where investors hope to make capital gains from an increase in the value of shares held which are freely marketable.

The value of shares in the Society cannot increase beyond their nominal value of £1 per share and may be reduced if liabilities exceed assets. However, because the shares are issued by a corporate body, no further liability can fall on you as a shareholder. The Society cannot guarantee a return on your investment.

Profits not needed for the development of the business will be used for the benefit of the local community. At the sole discretion of the Management Committee, a proportion of the society’s trading profits may also be used to fund interest on share and share capital withdrawal, in line with our Society’s rules (which are available on our website), from the 4th year of trading onwards. The society proposes to direct any surplus funds first and foremost to the community projects the shop will be able to support. In any event, interest is capped at no greater than 5% or 2% above UK bank base rate, whichever is greater.

The Society is subject to an asset lock and therefore cannot be sold for the benefit of its member shareholders. In the event of a solvent winding up, assets would be sold, and after creditors are paid, shareholders can be repaid up to the value of their shares. Any surplus will be put to community use. If the Society’s liabilities are more than the assets, shareholders will lose their investment.

RISKS

We have identified a number of risk factors for the business. These include:

Inadequate funding, i.e. failure to raise sufficient capital at the outset

Dependency on a volunteer workforce

Theft or damage & vandalism

This list is not comprehensive, and any trading activity is vulnerable to change or unanticipated risk. For more details please look at the Business Plan available on our website: www.kilvevillageshop.co.uk

You need to be aware that this share offer is not protected by the Financial Services Compensation Scheme and investors have no recourse to an ombudsman; you could lose some or all of the money you invest.

However, please also bear in mind that this share offer has been put together by members of our community for the benefit of all the members of our community, rather than for individual financial gain. We would not do it if we did not believe in it. The shop is especially valuable for the elderly and vulnerable members of our community. The shop is key to a vibrant community.

ABOUT THE SOCIETY

Kilve Community Shop has been set up as a Community Benefit Society, which is the a legal structure that may offer community shares, which are a special type of share that may be withdrawn after an initial trading period of three years. It trades as a business for the benefit of the village community and is registered with the Financial Conduct Authority. Number 9675 https://mutuals.fca.org.uk/Search/Society/32206

Its constitution is based on model rules developed by Plunkett UK (https://plunkett.co.uk )a charity which supports ventures like community shops and community pubs. The rules are available to view on our website www.kilvevillageshop.co.uk

It is owned by its members and membership is open to anyone who supports our aims, is over 16 years of age and buys the minimum investment of shares. The Society is run by a Management Committee, which has overall responsibility for the shop. The Society has limited liability, so members are protected up to the limit of their investment in the event of the Society’s insolvency.

The Society is run democratically, and the Management Committee is appointed on a one-member, one-vote system. All members will have the opportunity to participate by attending the Annual Members Meeting (and other members’ meetings), voting for the Management Committee, standing for the Management Committee and volunteering (although you do not need to be a member to volunteer for the shop).

Committee members. (I AM AWAITING MORE INFORMATION FROM MEMBERS)

Jim Morris Chairman, retired farmer.

Leonard Eden, Treasurer retired engineer and business owner.

Rachel Lewis, Secretary civil servant

Helen Morris-Ruffle Planning consultant

Andrew Ruffle Advertising & marketing consultant

Juliet Eden

Heather Morris Retired nurse and midwife

Paul Cuff Landlord

HOW TO APPLY FOR SHARE(S) & BECOME A SOCIETY MEMBER

Our preferred method is using Crowdfunder, but we are happy to help you if you are unable to use this method – see below.

ONLINE USING CROWDFUNDER

Our preferred mode of payment is using Crowdfunder. This is an online service that allows you to make your investment (or pledge as it is known on Crowdfunder) safe in the knowledge that your money is being handled by a company who handle investments and funding as their main business. The money will be kept safe from other funds and will be handed over to us at the end of the share issue. If, for any reason, the share issue were to be withdrawn, they would return your money to you.

OTHER PAYMENT OPTIONS

In the event you are unable or unwilling to invest using Crowdfunder, please see our website, which will explain the other options that are available to you. However, we would strongly urge you to invest via Crowdfunder. We are happy to help guide you through the Crowdfunder process so please get in touch if you would like any help, either by email jimmorrisstgeorges@gmail.com or by telephone 01278741046.

FREQUENTLY ASKED QUESTIONS ABOUT COMMUNITY SHARES

Why should I become a Shareholder and Member?

You are invited to become a Shareholder and Member of Kilve Community Shop Benefit Society Limited because you have an interest in the local community. It is important that as many members of the community as possible participate in this venture and help to raise the necessary funds to acquire and fit out the village shop, however small that investment may be. Many individuals have already indicated their support.

Who will benefit from this venture?

The community of Kilve, Holford and surrounding villages will benefit directly from having a village shop secured for the future and run for the benefit of all of us. Any surpluses, after investment in the business will be used to benefit the community in accordance with the Society’s rules. Members may also be able to be paid interest out of trading profits should those revenues be sufficient, and it may be possible to offer capital withdrawals from either accumulated reserves or new capital. This may only happen after the first 3 years of trading and at the discretion of the Management Committee.

What’s the difference between a Member and a Shareholder?

None. Membership of the Kilve Community Shop Benefit Society Limited is attained by making the minimum investment of £10. As a shareholder you automatically become a Member of the Society.

What voting rights do I have as a Shareholder?

You will be able to attend and vote at Society meetings and stand for and vote for the Management Committee. In a Mutual Society, the rule is one member, one vote. So, no matter how large or small your shareholding, you have an equal voice.

Who can buy shares?

Any individual over the age of 16 can buy shares in Kilve Community Shop Benefit Society Limited and become a member. You do not have to live in Kilve, Holford or in the area. The Management Committee may refuse any application for membership at its absolute discretion.

Shares can also be purchased by companies or legally incorporated bodies and will be the property of that company; a nominee will need to be elected on behalf of the company. Groups of people including families, clubs, and Parish Councils can also buy shares, but they will be held on behalf of whomever makes the payment online or by cheque offline.

Is there a business plan?

Yes. Copies are available on our website www.kilvevillageshop.co.uk

Is it a good business proposition?

The community shop model has proved to be very robust. More than 800 community businesses have been established in the UK with the help and advice of Plunkett UK, with a greater than 99% success rate after 5 years. It is well proven that communities that work together to set up such a venture will support it in the future.

Am I being asked to pay an annual subscription?

No. All shareholders are members from the point they invest, until they cease to be a member by either resigning from membership or withdrawing their shares (with the agreement of the Management Committee).

Who is organising this? Can I trust them, do they have a personal interest? The Management Committee making this share offer is a group of volunteers who believe passionately in the shop. They do not have a personal financial interest in this project beyond the amount they have invested themselves.

What is my liability, should I invest?

Your liability is limited to the value of your shares.

Will my investment increase in value?

Shares can go down in value if our auditor were to suggest a revaluation, but they cannot increase in value above their original price.

Can I sell my shares?

No, these shares cannot be sold. They are a special type of share known as a ‘withdrawable’ share. The only way to recover their value is to apply to withdraw your shares from the community venture itself (see below).

How do I get my money back if and when I need it?

To enable the business to build up sufficient reserves, our rules state that no withdrawals can be made in the first 3 years of trading. The two exceptions to this are as a result of death or bankruptcy. From the 4th year of trading onwards, shareholders may request to withdraw their investment by giving 3 months’ notice in writing. However, all withdrawals are at the sole discretion of the Management Committee having regard to the current and future needs of the business. If you already anticipate wanting to withdraw your investment, you should reconsider whether this is the right investment for you.

Will my investment remain confidential?

We are required by law to keep a Members Register in which the names of members but not the amount they have invested, are viewable by other members. Information on what has been invested will be known only to the Chair, Treasurer, and Secretary, for administrative and management purposes. Individuals have the right to view any information about themselves that is held by Kilve Community Shop Benefit Society Limited.

What are the long-term plans for Kilve Shop?

The campaign to set up a community shop only started in 2025. A lot of support has been gained for the project, and we all look forward to the shop opening and thriving. Once a sound financial footing has been gained, it is the ambition of Kilve Community Shop,

Committee to be able to put money into community projects as well as secure the future for Kilve Shop, through exploring other possible services we might provide to the community.

Can I buy shares in the Shop through my business?

Your business can buy shares in the shop, although you need to have a named individual who is the business representative. The Shop is a Community Benefit Society and not a charity, so your business cannot claim tax relief on a charitable payment.

Can I buy shares as a gift?

If you wish to buy shares as a gift, the easiest way to do this is for you to give the person you’re buying the gift for the cash and ask them to apply for shares via our Crowdfunder website. This means they can confirm their wish to become Society member and take advantage of tax relief, should they be eligible.

Can I pass my shares onto my family?

Yes. Members may nominate a beneficiary who can inherit their shares upon their death but must notify us who that beneficiary is.

What if I move house?

It is vital to keep us updated of any change to your address, as there are provisions in the Society’s rules that enable us to cancel shares from untraceable Members. The ability of people who leave the area to withdraw their share money will depend on the approval of the Management Committee considering factors such as the trading position of the shop at the time and future capital needs. In addition to trading, we may also be able to accept investment from new members (such as people who might move into your house) which could then be used to support the return of your investment to you.

Will I get a share certificate?

Yes. Every Member will receive a share certificate.

What if the shop fails? If the shop became insolvent, then it would have to close. All those who have invested/donated will receive their money back from any remaining funds after paying creditors.

APPLY FOR SHARES NOW AT:

www.crowdfunder.co.uk

Any questions?

If prospective members have any questions, they are invited to contact any member of the Management Committee. For general enquiries about Kilve Community Shop Benefit Society Limited

Email: Jimmorrisstgeorges@gmail.com

Telephone: 07545 963157

Web: www.kilvevillageshop.co.uk

Insert /facebook address

Thank you so much for your support!

Kilve Community Shop Committee