The Colorado Solidarity Fund is an investment club of Coloradans who seek to grow and strengthen the solidarity economy in Colorado. By combining our resources, we aim to make capital available to co-ops for start-up, conversion, and expansion while earning a modest return.
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At CSF, we envision a Colorado where collective economic power is maximized and transforms the economic landscape – where our investments thrive and businesses contribute to the economic, social and environmental well-being of our communities.
Some frequently asked questions include:
Why do people join Colorado Solidarity Fund (CSF)?
How is the club structured?
How do new club members join?
How do members participate?
How much money will members make?
What is the risk of investing with Colorado Solidarity Fund LLC ?
Let's take these one by one:
Why Join CSF?
Our members join for a variety of reasons:
They want to invest in local businesses.
They believe in the cooperative business model.
They want to divest from Wall St.
They want to see more worker-owned businesses.
They want to learn about business investing in a supportive environment.
They value the way that investment clubs distribute risk.
How are we structured?
Members may contribute monthly or annually. No single club member can own more than 20% of the total assets.
Our club meets eleven times per year throughout Metro Denver. No member can miss three consecutive meetings or contributions in a row.
Colorado Solidarity Fund is an LLC but our governance is similar to cooperative businesses. When we make decisions, each member has one vote, regardless of how much money they have invested.
Officers are elected each year in February.
HOW DO NEW MEMBERS JOIN?
New members have opportunity to join once per year, in August and September. To learn more about the club contact us using the newsletter form.
We believe in a cooperative future in which all can contribute and thrive.
Each member contributes $20–$200 per month and a $25 admin fee to join.
Members participate in decision making by attending meetings in person, attending meetings via video conference, OR voting online through Loomio, our decision making platform. Members cannot miss three meetings in a row.
Occasionally act on a subcommittee to vet potential investments and bring a proposal to the club.
What if a member wants to leave?
If someone wishes to leave the club, other club members may purchase their shares; the club as a whole may also repurchase the exiting member’s shares.
Our main goal is to invest in co-ops, so we limit the amount of money available each month to repurchasing an exiting member shares. Club members should consider investments to the club as long-term investments. We ask for a minimum of one year’s investment.
How much money will members make?
Our group is focused on patient capital, so investing in coops through this particular club is not a get-rich-quick scheme. Our loans and investments will typically offer modest rates of return in order to support the growth of local cooperatives. If co-ops offer preferred stock or make direct public offerings, returns could be higher.
Each year, members pay an annual $25 fee, which covers for club expenses such as copies, fees associated with the Secretary of State, accounting support, childcare, and language interpretation. No club member benefits financially from the fees, and no officer or member is paid for their role within the club. When possible, we employ the services of local cooperatives.
Whats the risk?
Membership in Colorado Solidarity Fund LLC involves a significant and substantial risk of loss and may not be suitable for everyone. Any investment in the company should be considered long term and illiquid. Members should only join the club with money they can afford to lose. There is no guarantee that members will profit from membership in this company. It is possible that members will lose all or some of their capital contributions.