Understanding Shares
A share represents a unit of ownership in a company or cooperative. When you purchase shares, you become a part-owner and gain certain rights, such as voting in decision-making processes and receiving dividends when the organization profits.
Benefits of Owning Shares
- Potential for dividend earnings when the organization is profitable.
- Participation in decision-making as a shareholder.
- Long-term investment opportunities and capital growth.
Membership Share Requirements
As a member, you must meet the following shareholding conditions:
- The price of one share is Tsh 10,000.
- Every member must own at least 100 shares(minimum value: TZS 1,000,000)..
- Shares may be paid gradually in accordance with SACCOS guidelines.
- A member cannot own more than 20% of the total shares.
- A member cannot reduce their shares below 100 shares.
- Dividends shall be distributed when the organization earns profits for three consecutive years.