How will the local currency work for traders and businesses?
To participate a trader must join Stroud Pound Co-op Ltd. Basic membership is currently
£10 for the first year (special offer). Future charges to be decided at Stroud Pound
Co-operative AGM in June 2010.
Participating traders undertake to accept Stroud Pounds as payment, or part-payment,
for goods or services.
Participating traders will be listed in a directory/website and can display a ‘Stroud
Pounds Welcome’ sign.
Traders can spend Stroud Pounds with other participating traders/businesses and may
give change in Stroud Pounds to willing customers.
If traders do not spend the local currency in the local network it can be exchanged
back into sterling less a redemption fee of 3% for the first £500 redeemed (5% thereafter).
Sterling will be repaid by on-line bank transfer. Of this redemption charge 3%
goes to fund local charities or social enterprise projects.
To encourage the money to remain in circulation Stroud Pounds will lose 3% of their
value every six months – on March 31st and September 31st. Traders may, like consumers,
extend the value of vouchers by purchasing and affixing stamps amounting to 3% of
their value. Vouchers can then be used for a further six months.
Trader members have a free listing of their products and services on the website
(with a link to their own sites) and in the ‘Where to spend Stroud Pounds’ catalogue.
From a tax perspective, anything paid for in Stroud Pounds is accounted for in the
same way as Pounds Sterling.
What are the benefits for local traders and businesses?
The Stroud local currency will benefit individual traders and businesses by:
Loyalty! The local currency operates as a kind of loyalty scheme. With Stroud
Pounds in their pockets, consumers will shop in Stroud rather than on the internet
or further afield;
Advertising! Each participating trader is listed on a regularly updated website
and in a catalogue distributed to participating consumers;
Good will! Businesses that accept Stroud Pounds in exchange for goods and services
are demonstrating their support for the local community;
Support for local not-for-profit organisations! 3% of any redemption fee goes
to a local charity or social enterprise;