Frequently Asked Questions - SHARES

Why so many types of shares?
We deliberated, discussed and debated the Share Structure for over a year until we arrived at the final decision.
The reason we have different types of shares is to allow both people with lots of money, but little energy, as well as people with little money, but lots of energy (as there are not too many people with both).
For those wanting to contribute funds greater than the $100,000 membership then investment shares are encouraged, these are non-voting.

What if I do not have $100,000 (or even $10,000 for an introductory share)?
You can pay a $20,000 deposit (or $2,000 for introductory share) and then pay off the rest or work it off by Cooperative agreement.
Kanjini Co-Op has a tiered
Share Structure So you can actually join with a deposit of only $2,000.

If I can pay a deposit for a Full Membership now, do I have to pay interest on the remaining share capital?
Yes you will need to pay interest on the outstanding share capital, because you basically take out a loan from the Co-Op and enjoy the benefits of the share immediately (once accepted). We typically charge the same interest rate we pay on our loan from the bank, but for a limited time we offer half of that interest rate (for the full term of your loan form us)..

How about in-kind assistance or working my share off instead of paying cash?
Yes it may be possible for you to arrange part or even majority payment for your share by working on Co-Op projects or providing other in-kind assistance. This will be decided by the Co-Op on a case by case basis.

Can I buy a joint share together with my partner or family?
No, Kanjini has chosen to have no joint shares for various reasons.
First and foremost Kanjini Co-Op likes to treat each member as an equal individual who has one vote.
Secondly joint shares would have to first agree on how to vote and what is to happen if they cannot agree? We like the one vote - one person concept.
Thirdly the times of marriage until death are pretty much over (whether for better or worse) and in today's world of serial monogamy relationships change much more frequently. Joint shares would then have to be separated into half shares and maybe later into quarter shares or even smaller units. Joint shares would also mean joint vote, joint liabilities and joint rights and clearly some boundary would have to be set to this fragmentation. So we decided to not even start with share fragmentation and ensured that one share is always one share, it makes it simple too.
Last not least we did not want to become part of any relationship split-up dramas.
Kanjini firmly believes in the simplicity of one person = one share = one vote.

Does my life partner need to also buy a share to live with me at Kanjini?
he short answer is NO, your life partner does not have to buy a full share to live with you on Kanjini land, but it will be cheaper in the long run to do so. If you share your space with your partner both of you will enjoy lower fees than a normal visitor, but as a member he/she will not just get a vote, but also will enjoy much lower fees.

Can my children inherit my share?
Yes your children not only can but will inherit your share (unless you write them out of your will). However if you have more than 1 child the share cannot be split into half shares (see above). You may want to specify in your will which child shall get the share, or that the share shall be sold and the proceeds divided, or that the share capital shall be allocated as deposits for two or more shares.
According to Kanjini Co-Op
Rules - 24 (2) Subject to section 167(1) of the Act the board must transfer the deceased member’s share or interest in the cooperative to:

  1. the personal representative of the deceased, that is, an executor or administrator of the estate of a deceased member; or

  2. to such person the deceased personal representative may specify, in an application made to the cooperative within 3 months after the death of the member.

The person to whom the share is transferred will not have any voting rights until (s)he is accepted by the Co-Op as a member and has fulfilled her/his trial period.(Rules 24 (3))
If the Cooperative chooses for some reason to not accept the beneficiary of the estate as members, it will have to buy back the deceased members shares (Rules 24 (1)).

Isn't $100,000 too expensive if I do not even get my own house?
First of all (similar to investing in the stock market) you will be a shareholder in a multi-million dollar property and several profitable businesses (paying dividends to you from their profits, which your own house will not do). Additionally (and you cannot do this with your shares in BHP) you can enter and enjoy the Kanjini property. And last not least, you will also have first dibs on any private accommodation becoming available on the land in return for a very low maintenance contribution fee.
for example a family of two adults and two children and assume that the adults buy full shares to be eligible for the minimal maintenance contribution charged, the children would not require any shares until they turn 18. For that family to buy their own house and land instead, they would have to easily spend double as much money. Assuming they'd pay maintenance contribution for a 2BR pavilion with en-suite on Kanjini, that would be quite similar to running costs for their house, saving them a major capital expense.
And as an added bonus, they will have the benefit of living in a caring community with other kids on a great property :-)

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