We are offering 1000 two-year fixed rate £100 community bonds at an interest rate of 6% per annum. In plain English that means that if you invest £100 today, in two years’ time we’ll give you £112.36 – guaranteed.
Better than the Banks
Currently Moneysupermarket’s featured ‘market-leading’ savings product is a two-year fixed rate cash ISA which earns 2% AER. Invest with us and your money money will be working three times as hard for you, as well as working hard for the local community too!
Enterprise Investment Scheme
Investors in The Big Lemon qualify for the Enterprise Investment Scheme (EIS) which provides tax payers with tax incentives when they invest. More information can be found from the HMRC website.
Risks
No investment is 100% secure, and even the biggest banks can fail. Having said that, bonds are one of the safest investments, because they are not tied to performance, so as long as the business doesn’t go out of business (and we’ve no intention of doing that!) you get the agreed return on your investment.
The Big Lemon has been growing steadily over the last few years, consistently improving its performance and resilience year on year. The following table shows the last four years’ financial performance, with each year better than the one before, and last year being our best yet!
| 2012 | 2013 | 2014 | 2015 (Draft) | |
| Total Income | £391,340 | £530,195 | £616,873 | £654,564 |
| Cost of Sales | £295,996 | £442,984 | £473,436 | £481,937 |
| Gross Profit | £95,344 | £87,211 | £143,437 | £172,627 |
| Overheads | £90,690 | £80,513 | £103,413 | £101,656 |
| Profit | £4,654 | £6,698 | £40,024 | £70,971 |
Summary
The Big Lemon is offering a fantastic investment opportunity, with much better rates than savings accounts and ISAs, a lot less hassle than property, and much less risk than the stock market. With our community bonds you get the best of all worlds: a great rate, incredibly low risk, and no hassle at all.
| Investment per bond | £100 |
| Period | 2 Years |
| Return on investment | 6% pa |
| Total amount returned to you after two years (per bond) | £112.36 |
| Closing date for applications | 29 February 2016 |
| Eligible for tax relief under the Enterprise Investment Scheme? | Yes |
I’m in, what do I do now?
If you’d like to invest in The Big Lemon please complete the following:
Upon receipt of your form we will send you an invoice for your bonds with payment information. We will reserve your bonds for seven days. Upon receipt of your funds we will issue a bond certificate within 14 days.
The Big Lemon does not accept investments from companies, only from individuals. We reserve the right to refuse investments and we do not need to give a reason. Maximum investment per person £40,000. The Big Lemon does not give financial advice and you are advised to seek independent financial advice on your investments.