Q&A
What are the characteristics of a bond like the Canaries Bond?
It is an innovative and effective way for an unlisted company to raise funds from a non-institutional audience (e.g. general public). Bonds like the Canaries Bond are typically issued at a fixed interest rate over a set period of time (e.g. 5 years). The investor is repaid through interest payments at regular intervals, until the maturity of the bond at which point the initial investment (principal) is repaid.
Who is issuing the Canaries Bond?
The Canaries Bond is issued by Norwich City Football Club plc, a public limited company incorporated in England and Wales with registered number 00154044 and with its registered office at Carrow Road, Norwich, NR1 1JE.
Who can invest in the Canaries Bond?
Any individual of at least 18 years of age or a company or charity that satisfies the conditions of Application and completes the Appropriateness Questionnaire can invest in the Canaries Bonds. Investors must be resident in the United Kingdom or a country where you may legally receive financial promotions of the nature provided by Tifosy and are legally entitled to invest in the type of investments offered. Tifosy does not advertise investment opportunities to people in the United States, Canada, Australia, Japan or any other country where it would be unlawful for our capital raises to be advertised. Investors must not register or view details or key documentation if they are resident in these countries.
How many Canaries Bonds can I apply for?
The minimum amount of Canaries Bonds for which you can apply is £500. You can, subject to availability, apply for as many Canaries Bonds as you wish, in increments of £500.
Can companies invest in the Canaries Bond?
Yes, in the ‘Personal Data’ section, just select ‘on behalf of a company’ and proceed with the application.
How much is being raised?
The target is to raise £3,500,000 by the issue of the Canaries Bond. The Canaries Bond may be issued when the minimum investment threshold of £2,000,000 has been reached. In order to satisfy demand, up to £5,000,000 of Canaries Bonds in total may be issued.
What happens if the minimum investment threshold is not reached?
Should the minimum threshold of £2,000,000 not be reached, the Canaries Bond will not be issued, and monies will be returned to investors.
What happens if the £3,500,000 target is not reached?
Should the minimum threshold of £2,000,000 be reached but funds fall short of the target of £3,500,000, the Club will issue the Canaries Bond, and will look into further funding options to cover the shortfall. The Club has undertaken to continue with the planned developments regardless of the outcome of the Bond issuance.
What return do I receive on my investment and is the interest rate fixed?
The Canaries Bonds will yield a fixed return on your initial investment of 8% (gross) per annum comprised of 5% in cash and 3% in Club Credit. Interest is paid annually. In the event that the Club is promoted to the Premier League you will also be paid a one-off promotion bonus of 25% (gross) on your initial investment.
How does the one-off Promotion Bonus work?
The Canaries Bonds will pay a one-off promotion bonus of 25% in the event that the Club is promoted to the Premier League during the term of the Canaries Bond. This bonus will be paid by the Company on September 30 following promotion. The Promotion Bonus will only be paid a maximum of one time. If the Canaries Bond has been redeemed or the Club is not promoted during the term of the Canaries Bond the Promotion Bonus will be not be paid.
Will I be taxed on my returns?
If you are a private investor then all interest (both cash interest and club credit interest) and potential bonus paid on the Bonds is subject to withholding tax at 20%. This amount will be withheld by the Company at source and paid to HMRC on your behalf. Investments made through a UK corporate may be paid interest gross and should be accounted for by such corporate as part of its corporation tax return. It is your responsibility to report the interest on your tax return as appropriate and pay or reclaim any tax that may be due.
Can I pay by instalments or top up my holding of Canaries Bonds?
No, unfortunately you will not be able to pay for your Canaries Bonds in instalments, nor can they be topped up. All Applications must be accompanied by an online payment or bank transfer for the full amount of Canaries Bonds applied for. The Company is unable to accept Applications that are not accompanied by payment for the full amount of Canaries Bonds applied for.
When can I invest until?
The application period will be open until 23:59 (UK time) on Friday 25th May. However, if the demand is very high and applications for the full amount of bonds issued come before that date, the application period may close early.
Can I change my mind?
Yes, there is a cooling-off period of 14 days, which begins on the date your completed Application has been received. You have the option to cancel your investment within this period by emailing canaries@tifosy.com, in which case your money will be returned and no interest will be payable. After 14 days, your Application will be irrevocable and will not be capable of being terminated or rescinded by you.
Are the Canaries Bonds transferable?
No, the Canaries Bonds are not transferable and they cannot be sold or traded. The interest coupon and redemption of principal are payable to the original Bondholder.
What if I can't pay £500, or don’t want to invest in the bond, but still want to support the Academy?
The minimum investment amount for a bond to be cost-effective is £500. Sums below £500 to support the Academy development can be donated to the Club directly. If donating under £500, donors will not receive a Canaries Bond or any interest return. The Club will be announcing details of other ways supporters can support the project over the coming weeks.
What do I need to do before deciding whether to invest?
You should read the documentation in full, including the Invitation Document, the Bond Instrument document, and the Q&A document, and make sure you fully understand the risks involved. Click "Invest Now" to submit an application through the Norwich City FC campaign page on the Tifosy platform.
Do I need to discuss an investment in Canaries Bonds with a financial advisor?
You are strongly recommended to seek the advice of an independent financial advisor.
Where can I receive additional support or request more information?
Additional support can be obtained through the following methods:
- Drop-in sessions at Carrow Road Stadium, from 10.30am to 3.30pm on Weds 4th April, Thurs 19th April, Fri 27th April and Tues 8th May. Just come to stadium reception.
- Call +44 (0)20 7349 0622 between 9am and 5pm.
- Email canaries@tifosy.com to ask any question, or to request a call back.
- Use the Live Chat box on the investment page between 9am and 5pm.
What will you do with my personal information?
Tifosy has secure systems in place to safeguard financial information. Tifosy will only use your financial information in order to facilitate interest payments or repayment of principal. No other third party will have access to this information.