Democratic Finance Scotland is a newly launched partnership programme between Development Trust Association Scotland (DTAS) and Scottish Communities Finance Ltd (SCF). This initiative is designed to help communities become ‘agents of change’ by unlocking local wealth and control through democratic finance tools and sources.
What is Democratic Finance?
Democratic Finance:
- Funds are raised collectively within the community.
- Money is invested into democratically controlled organisations.
- Investment and membership opportunities are open to all.
- Communities act independently on their own behalf.
- Community assets and services are mutually owned and managed.
Finance:
- Organisations have a more diverse income mix, reducing grant dependency.
- Communities build networks of ‘Citizen Investors’.
- Funds are repaid to local people and organisations.
- Money is retained and reinvested locally, boosting long-term community wealth.
- Investment opportunities are affordable, fair, and well-suited to community and social enterprises.
What Support is Available?
Democratic Finance Scotland offers practical, hands-on support to community-led, democratic organisations to strengthen their financial resilience and control. This support includes guidance on exploring citizen-driven funding sources such as community shares, bonds, one-off community lotteries, and local legacy giving, helping move away from grant dependency. There will also be a focus on investment opportunities related to the renewable energy transition, ensuring that communities benefit from a Just Transition across Scotland.
Democratic Finance Scotland welcomes community and social enterprises that either have or aspire to adopt:
- A democratic, fair, and open governance structure.
- An enterprising, empowering, and sustainable approach.
- A grassroots focus on securing, growing, and retaining local wealth.
For more information, visit www.democraticfinance.scot or email info@democraticfinance.scot.
