Before you can access the material on this site, it is important that you acknowledge the risks associated with an application for a Plough Lane Bond.
- Loss of Capital
If the financial performance of the club deteriorates it is significantly more likely that there will not be sufficient funds available to repay the principal of your bond or to make interest payments. You should not invest more money than you can afford to lose without altering your standard of living.
- Availability of funds.
Principal and interest will only be paid on bonds from funds repaid to the Trust by AFCW PLC or a subsidiary of AFCW PLC pursuant to the terms of an onward loan to AFCW PLC or a subsidiary of AFCW PLC. The onward loan will only be repayable from funds available to AFCW PLC and its subsidiaries, taking account of budgeted expenditure and contractual commitments. Repayment of principal and interest under the bonds will therefore be subject to AFCW PLC and its subsidiaries having funds available.
- Early repayment
Your loan is repayable early at any time prior to maturity at the discretion of the Trust. The Trust will only be able to repay your loan early if the onward loan to AFCW PLC (or any if its subsidiaries) is repaid. Your loan may be repaid early if early repayment of the onward loan (or a proportion of it) is a condition to AFCW PLC or any of its subsidiaries obtaining further funding.
- Repayment before other investors
If the Trust is able to repay bonds prior to maturity then it is significantly more likely to repay those persons which have elected to receive higher interest in respect of their bonds before those persons which have elected to receive a lower interest in respect of their bonds.
Your bond is non-transferable. This means you will not be able to reduce your financial exposure other than from receipt of payments from the Trust in accordance with the terms of the bond.
- Subordination of your bond.
Your investment is unsecured. The club reserves the right to take on further secured and/or unsecured funding. If the club takes on further secured funding, this means that you would only receive payments of principal or interest if certain tests were met to satisfy the secured funder that such payments would not affect the ability of the club to meet its commitments to the secured funder. If the secured funder is not paid in accordance with the terms of its loan, the secured funder could enforce its security resulting in the sale of assets from the club and ultimately its insolvency. As an unsecured creditor of the Trust, it is highly unlikely you would receive any further payment in respect of your investment.
Visitors to this website are encouraged to seek individual advice from their personal, financial, legal, tax and other appropriate advisers before making any investment or financial decisions or purchasing any financial, securities or investment related product.