BACKGROUND

The average South Africa household spends around 33% of their income on Groceries, clothing, health and recreation per month. What if some of that money could be used to build the economy? Secondly; there are great entrepreneurs doing amazing work in the economy who are stifled by cash-flow / capital to grow their businesses. What if we could collectively help them and get paid for it?

SOLUTION

Welcome to The People’s Fund Card. How it works is that we negotiate discounts from a large list of retailers on your behalf. We then channel those discounts into economy building projects such as the other campaigns on The People’s Fund or finance entrepreneurs doing work for government and corporate organisations. These entrepreneurs then pay you a royalty every time they get paid.

Example:

Bongane runs an internet company called MySurfer. He wants to roll out Wi-Fi across Soweto and sell a gig of data for R20. But he needs hotspots that cost R10 000 per hotspot. He is willing to pay R1 per gig of data he sells to the person who buys the hotspots for him. So we then take everyone’s discounts and buy a hotspot for Bongane; then he pays us R1 every time someone buys a gig of data. These proceeds are then paid out every January to The People’s Fund Card Holders, which is you.

Example 2:

Mpho has a contract with government to deliver toilet paper every month. She has to deliver 5000 per month and government has agreed to pay her R100 000 per month for this delivery. The problem is that it costs her R50 000 to produce and deliver these toilet papers but all her suppliers need to be paid upfront and government pays her 30 days after delivery. She comes to us and we  agree to fund the costs and she agrees to pay us R6000 from the total invoice. Now she can deliver on time (the number one cause of delays for government projects is that the entrepreneurs who they try to empower usually ask for delays and exstensions because of lack of capital capacity to deliver on the projects). So the public has a well oiled government; Mpho can continue to run her business; You as a card holder earn a return and we collectively grow the economy.

HOW IT WORKS

REGISTRATION:

1. You buy a card (up to 6 for five other family members. Great for giving your children an allowance too) for R100 each.
2. At end of the campaign we will contact you with some forms to sign.
3. We then deliver your card for you to use at any of our participating retailers.

USAGE:

1. You decide how much you want to put in the wallet every month for groceries, clothing, health & recreation
2. When at the till point of each of our retailers; you simply swipe your card and earn these discounts
3. We then channel these discounts to the projects we have and you earn for building the economy

Here are some of the participation retailers

PAYMENT:

1. On the second of January every year, we pay you out your proceeds for the year. We chose January because it is one of the toughest months in the country.
2. All payments will be managed on the Stokfella.mobi app; an FSB regulated company.

EXPECTED RETURNS

NB!! First & foremost, we need to declare that this does not constitute financial advise in anyway and that we have made our projections based on historical yields. Buying assets that will be run by a small business is risky and you should only commit money you are willing to lose. Luckily, these are discounts that you would not have existed without the The People’s Fund Card in the first place.

Every person is different but we have made a table of expected cash-out in January for different spending amounts. The January Payouts increase from year 1 to around year 5. From year 5 they basically stay the same forever.

NB: There is a handling fee associated with the payment gateway you choose to use on the checkout page.

Direct Bank Transfer 0%

i-Pay Instant EFT 3%

Payfast R3 + 5%

Scroll down & select how many cards you would like to buy by selecting the relevant orange box (R100 = 1; R200 = 2; etc) and then click on contribute.