Is it legal? Surely you just can't print your own money like a bank?
"Complementary currencies are not legal tender, only government-issued money has this status in many countries, including the United States, England and the eurozone countries. Legal tender is the only currency that must be accepted to satisfy a debt, in countries with legal tender laws. However, the parties to a transaction can mutually agree to do business with another payment form.
Complementary currencies are thus legal, as long as they meet certain requirements. Businesses that earn them are generally required to count them as income for tax purposes. Also, complementary currencies are not allowed to look like the national currency."
Why use the Ducat name for a Greater Shepparton currency?
Ducat's were a successful local business for 90 years, starting as a dairy selling milk products then branching out into other successful products such as orange juice, Big M, Mr Ds and Milky Freezes to name a few. They were widely known throughout this region and were regularly supporting schools, sporting organisations and community groups financially and with their products.
The Ducat name, brand and family were held in high regard.
Further to this the word ducat is a European gold currency that has be used for 700+ years. It was first minted in Venice in 1284. Captain Arthur Phillip and the First Fleet were given gold ducats equivalent to 30 pound stirling to buy more goods and animals at Cape Town and to continue to Botany Bay.
How does it work?
Ducats (D$) can only be spent in Greater Shepparton.
We will start with Shepparton first and then local towns within Greater Shepparton will be invited to join with their own 'town designed' Ducats.
The town's notes will be designed to show their local historic buildings, places, businesses or people.
People are invited to purchase goods and services by using Ducats' notes. This supports local businesses and the community.
They will be available at the Lost Shepparton Shop late February 2016 and we hope to launch them at the Summer Bush Market. Our intention is to start the program when we secure 20+ business with as many different categories as possible. As businesses join they will be listed below.
One Ducat is equal to one dollar. You can purchase 11 Ducats for $10 and 22 Ducats for $20.
There will be 1, 2, 5 and 10 Ducat notes.
Businesses who are participating in the program with have a D$ Welcome Here out the front of their shop.
Businesses will be able to trade D$ with each other and use D$ as change for customers.
Preference will be given to locally owned businesses.
Shepparton is the only city in Australia that will have its own local currency.
Many towns and cities around the world have created their own local currency that is legal and promotes local shopping and services. Here are a few examples around the world.
http://baltimoregreencurrency.org
http://www.saltspringdollars.com
http://bristolpound.org
Why would people bother buying D$?
Why would businesses join the program?
Business Joining Fees
Basic:
Pre Launch - $55 + Purchase Ducats for float
Post Launch (After Summer Bush Market late Feb) - $110 + Purchase Ducats for Float
Pre Launch - $150 + Purchase Ducats for float
Post Launch (After Summer Bush Market late Feb) - $300 + Purchase Ducats for Float
Includes all the above and:
Security to prevent counterfeiting
Each note will have its own serial number
We are using an advanced metal foil technique which will be stamped on each note
The notes will be laminated which will give it an obvious texture and feel to discourage photocopying.
Shepparton has a wonderful opportunity to most likely be the first Australian city to embrace its own local currency to purchase goods and services.
Some more reading about Complementary Currencies
About 10 years ago I read about a German local currency called the 'chiemgauer'.... I was inspired.
It started as a school project by Christian Gelleri, in 2003, an economics teacher in southern Germany who wanted to teach a group of 16-year-olds about finance in a novel way – by creating their own money, to be used in local shops and businesses. They called it the "chiemgauer" and eight years on, the project has turned into the world's most successful alternative currency.
In its first year it struggled to gain acceptance with only 75,000 euro traded 135 individuals using them and only a few local shops willing to accept them.
About 8 years later the turnover reached €5.1m, and the chiemgauer was now accepted by more than 600 businesses and it is estimated that around 2,500 people regularly use the currency. Read the story here.
The Mayor of Bristol in the UK accepts all of his Mayoral allowance in Bristol Pounds their local currency.
An Introduction To Complementary Currencies
Artists design banknotes for popular community currencies
Even a Perth school has their own currency for being eco-friendly
Berkshires USA - Dubbed a “great economic experiment” by The New York Times, BerkShares are a local currency for the Berkshire region of Massachusetts. Federal currency is exchanged for BerkShares at eight branch offices of three local banks and spent at more than 400 locally owned participating businesses.
An initiative of Geoff Allemand at the Lost Shepparton Shop and local traders.
(Geoff was a Shepparton school teacher for 13 years, originated and managed KidsTown for 7 years. Now owner of Lost Shepparton and the Shop. Passionate about Greater Shepparton.)
"Complementary currencies are not legal tender, only government-issued money has this status in many countries, including the United States, England and the eurozone countries. Legal tender is the only currency that must be accepted to satisfy a debt, in countries with legal tender laws. However, the parties to a transaction can mutually agree to do business with another payment form.
Complementary currencies are thus legal, as long as they meet certain requirements. Businesses that earn them are generally required to count them as income for tax purposes. Also, complementary currencies are not allowed to look like the national currency."
Why use the Ducat name for a Greater Shepparton currency?
Ducat's were a successful local business for 90 years, starting as a dairy selling milk products then branching out into other successful products such as orange juice, Big M, Mr Ds and Milky Freezes to name a few. They were widely known throughout this region and were regularly supporting schools, sporting organisations and community groups financially and with their products.
The Ducat name, brand and family were held in high regard.
Further to this the word ducat is a European gold currency that has be used for 700+ years. It was first minted in Venice in 1284. Captain Arthur Phillip and the First Fleet were given gold ducats equivalent to 30 pound stirling to buy more goods and animals at Cape Town and to continue to Botany Bay.
How does it work?
Ducats (D$) can only be spent in Greater Shepparton.
We will start with Shepparton first and then local towns within Greater Shepparton will be invited to join with their own 'town designed' Ducats.
The town's notes will be designed to show their local historic buildings, places, businesses or people.
People are invited to purchase goods and services by using Ducats' notes. This supports local businesses and the community.
They will be available at the Lost Shepparton Shop late February 2016 and we hope to launch them at the Summer Bush Market. Our intention is to start the program when we secure 20+ business with as many different categories as possible. As businesses join they will be listed below.
One Ducat is equal to one dollar. You can purchase 11 Ducats for $10 and 22 Ducats for $20.
There will be 1, 2, 5 and 10 Ducat notes.
Businesses who are participating in the program with have a D$ Welcome Here out the front of their shop.
Businesses will be able to trade D$ with each other and use D$ as change for customers.
Preference will be given to locally owned businesses.
Shepparton is the only city in Australia that will have its own local currency.
Many towns and cities around the world have created their own local currency that is legal and promotes local shopping and services. Here are a few examples around the world.
http://baltimoregreencurrency.org
http://www.saltspringdollars.com
http://bristolpound.org
Why would people bother buying D$?
- Using D$ reflects the pride and love of Greater Shepparton and demonstrates your commitment to shop locally, your support of local businesses and local history.
- It is good value. If you purchase multiples of 10 D$ you get 10% extra to spend locally.
Why would businesses join the program?
- D$ can grow your business. When people exchange dollars for D$, they will be looking to our directory for places to spend them - all of the businesses and service providers listed will get publicity in both the print and online versions of the directory.
- You will be mentioned on our Facebook page (Ducat's Currency) when you join with a photo of your business/staff. We will be inviting customers to share experiences when they use their D$ with your shop/business.
- The program actively supports and gives preference to locally owned businesses. Participating businesses will get point of sale (in the window and at the cash register) informing customers they are locally owned -
Ducat's Welcome Here: We are a proud locally owned business - There are no merchant or credit card fees if a customer uses D$.
- Use them to pay for business supplies or stock, when buying from other local businesses that accept D$, or for things/services your business would buy anyway – printing, coffee, repairs…
- Give employee incentives or bonuses in D$, or pay employees partially in D$ if they usually spend money locally and elect to accept them.
- Use them for your own purchases,
- Give D$s back as change to allow them to continue circulating and spread their use (we offer free counter tents that say “Ask for your change in D$!”
- Exchange back for Dollars if you don't want to participate any more – 11 Ducats for 10 dollars
- NOTE: If you join the program we expect your business to accept D$ as you would Dollars - NO inflating the price of goods/services when D$ are used or limit the amount of D$ a customer can use in a transaction. A business would be better served to leave the program and return all point of sale and signage. Otherwise customers will express their displeasure on Facebook or with friends.
- Also note: Customers may want to exchange dollars for D$ with you at the 10% discount rate of $10 for 11 Ducats (or any multiple thereof). If this happens, please inform them that the Lost Shepparton Shop is specifically set up for this purpose. You are free to exchange the D$ in your register 1-for-1 with dollars, but you are under no obligation to give customers the 10% exchange discount yourselves.
Business Joining Fees
Basic:
Pre Launch - $55 + Purchase Ducats for float
Post Launch (After Summer Bush Market late Feb) - $110 + Purchase Ducats for Float
- Ducats Welcome Here window/door sign
- Point of Sale sign at cash register
- Business Listing on Ducats website (Google Maps)
- Introductory business photo on Ducats Facebook Page
- Share your Ducat offers, stories, special Ducats offers on our FB Page
Pre Launch - $150 + Purchase Ducats for float
Post Launch (After Summer Bush Market late Feb) - $300 + Purchase Ducats for Float
Includes all the above and:
- Business website link on Ducats website (Google Maps with photo)
- Photo advert with online listing
- We will list your Ducat offers with advert online and social media (FB and Twitter)
- Income generated from the conversion of Dollars to Ducats will be banked at our local Bendigo Bank and held in trust.
- The first print run will be (12,000 notes) worth about $60,000 (Ducats value).
- Costs of the printing and point of sale/signage will be covered by Lost Shepparton and any interested sponsors.
- Profit will be generated from the funds held at the Bendigo Bank.
- Profit will also accrue as people buy the D$ as souvenirs, discard them or take them out of the area. This means they are removed from circulation and will not be exchanged for dollars.
- Businesses will also be invited to support the program as sponsors or patrons.
Security to prevent counterfeiting
Each note will have its own serial number
We are using an advanced metal foil technique which will be stamped on each note
The notes will be laminated which will give it an obvious texture and feel to discourage photocopying.
Shepparton has a wonderful opportunity to most likely be the first Australian city to embrace its own local currency to purchase goods and services.
Some more reading about Complementary Currencies
About 10 years ago I read about a German local currency called the 'chiemgauer'.... I was inspired.
It started as a school project by Christian Gelleri, in 2003, an economics teacher in southern Germany who wanted to teach a group of 16-year-olds about finance in a novel way – by creating their own money, to be used in local shops and businesses. They called it the "chiemgauer" and eight years on, the project has turned into the world's most successful alternative currency.
In its first year it struggled to gain acceptance with only 75,000 euro traded 135 individuals using them and only a few local shops willing to accept them.
About 8 years later the turnover reached €5.1m, and the chiemgauer was now accepted by more than 600 businesses and it is estimated that around 2,500 people regularly use the currency. Read the story here.
The Mayor of Bristol in the UK accepts all of his Mayoral allowance in Bristol Pounds their local currency.
An Introduction To Complementary Currencies
Artists design banknotes for popular community currencies
Even a Perth school has their own currency for being eco-friendly
Berkshires USA - Dubbed a “great economic experiment” by The New York Times, BerkShares are a local currency for the Berkshire region of Massachusetts. Federal currency is exchanged for BerkShares at eight branch offices of three local banks and spent at more than 400 locally owned participating businesses.
An initiative of Geoff Allemand at the Lost Shepparton Shop and local traders.
(Geoff was a Shepparton school teacher for 13 years, originated and managed KidsTown for 7 years. Now owner of Lost Shepparton and the Shop. Passionate about Greater Shepparton.)