The Abundance Network is one of the leading online ethical investment platforms in the United Kingdom consisting of a group of highly experienced and passionate volunteers who harvest the excess of fruits in their area and pass on the information by supporting some of the harvesting groups. The Abundance Network is the first regulated platform which renders an excellent opportunity to the investors to gain profit on the investments made on the renewable energy projects which leads to the creation of a better environment for the future generations.
The Ecology Building Society, which is a member of the Building Societies Association in the United Kingdom, has invested £250,000 through the Abundance group. The long continual loyalty for over 20 years between a building society and an ethical investment platform through finance has happened for the first time in history. Apart from the Ecology Building Society, the investment made by individuals to the Network would be from just £5 in each project. The Ecology Building Society has selected the Oak Apple Berwickshire project, which involves installation of 749 roof mounted solar panel systems having capability of 2595 kW across the domiciles owned by Berwickshire Housing Association including the localities of Duns, Eyemouth and Coldstream, which is enduring on the Abundance platform currently, to make its first investment after giving a lot of careful thinking.
7.5% of the investment made in the project is incurred as the IRR (effective rate of return), which is paid as cash twice yearly to the investors over the 20-year term project. The inhabitants of the Berwickshire Housing Association living in houses where solar panels are put in, enjoy an average of 30% reduction in the energy bills, thus offering not to pay any amount of money further towards the project.The Oakapple Berwickshire project is a perfect illustration for the Abundance reputation in action, exhibiting low-risk investments and paying lucrative return to the investors. The project also has abundant positive outcomes to the residents of the Berwickshire Housing Association due to the UK’s international pledge to cut down on the carbon footprint and the environment.
The co-founder and joint Managing Director of the Abundance group, Bruce Davis, said that they’ve been admiring the Ecology Building Society’s allegiance to the ethical and sustainable finance which is being done for over 30 years and are feeling proud as the Ecology Building Society has chosen the platform of Abundance and its projects to make their first investment after due diligence process. He also mentioned that he is hoping that this collaboration of the two organizations would help to shape the future of the ethical finance for the coming 30 years too.
The Chief Executive Officer of the Ecology Building Society, Paul Ellis, acknowledged that they’re pleased to get involved in the Oak Apple Berwickshire project and that it would be great fit for them as the project addresses the desire of the members of its society to tackle the fuel paucity, support social housing and add to the growing renewable capacities of the United Kingdom. He mentioned that he believes that investing via crowd funding platforms allows the institutions to stand alongside individual investors and improvise the chances of creating an impact in diverse funding packages through their investments. He also said that they have been impressed with the rigor of the Abundance’s underwriting and are expecting to develop the mutual relationships further in a healthy way.
The first investment of the Ecology Building Society increased the minimum raise of £500,000 funds to the Oak Apple Berwickshire project to more than £1.5 million though the target total remains to be £3.1 million. Since the commencement of the Oak Apple Berwickshire project, the Abundance group has raised funds over £9.5 million into its ethical projects.
The investment in the project is made through the purchase of a Debenture- official IOU’S that commit to pay returns on top of the original capital and are very long term investments where the capital invested is considered to be at risk if there is a significant collapse in the price of the energy, extended periods of energy production than estimated and extended failures in the operation which are not recovered by any maintenance warranties or contracts. The returns of the project would be paid in single or twice yearly payments over the project term that could vary any time and are not readily realizable.
The investors who wish to get their cash earlier than commitment can sell their holdings to the other investors through the Abundance website where the Abundance provides a Bulletin Board which is similar to that of the eBay without auction to allow the sellers and buyers find each other.