INVESTMENTCLUB PROCESS FLOW
How to start
 The idea to start a club is
shared with others to join.
 Propose the amount to be
saved.
 Discussion on how to
formalise the club follows.
Circulation of by-laws & Election
 By laws are circulated to
members to review.
 Elect committee members &
account signatories.
 Committee proposes at least 4
names for their club.
Review of by laws
 Review of by laws by committee
members.
 Members engage a lawyer for further
guidance if needed.
 Members pass on proposed names for
cross reference & reservation by
lawyer with registrar.(5 names)
 Club president calls for a general
meeting.
Signing of by laws
 Members sign the amended by laws
and submit to investment club
officer who forwards to the lawyer
to register with the registrar of
companies
 Avail KYC for opening investment
club account
 Avail resolution or minutes to
open account with dfcu bank
 The investment club account with
dfcu bank
 Q & A ON INVESTMENT CLUBS

Q. How many people can start an investment club?

A. A minimum of four people can start an investment club

Q. Where do I get potential members from?

A. From workmates, peers, friends and family members.

Q. How do I get the by-laws?

A. A soft copy is available at all dfcu branches at no cost. You simply edit it to suit your
clubs’ needs.

Q. Can you guide me on how the club will be run?

A. The by-laws will guide you in all aspects simply read it and refer all queries to our staff at
our nearest branch.

Q. Who do I refer to if I need guidance to start or to talk to my potential members?

A. Refer to the Investment club officer or Head of SME/WIB Ext 232

Q. Why should we select at least 5 names for the club?

A. To have alternatives in case one name already exists with registrar of companies.

Q. What benefits will the investment club enjoy at dfcu bank?

i. Earn interest of 3.5% to 6.5% dependant on balance
ii. The club can borrow up to 150% of its savings after six months of
consistent savings.
iii. Quarterly forums
iv. Financial literacy sessions
v. Club clinics
vi. Networking amongst clubs

Q. What is the minimum opening balance for an investment club?

A. Ugx 50,000

Q. What are some of the benefits of starting an investment club?

i. Excellent foundation for large ventures
ii. Good avenue to pool resources (financial, knowledge and experience) for
investment.
iii. Easy and economical to form and maintain.
iv. There is shared responsibility and risk management.

Q. Can the club be registered as a company?

A. Yes it can be opened as a company where membership is based on shares.

Q. Must all members sign the by-laws?

A. Yes, they must. It’s what defines them as members of the club and its legally binding.
Q. As a staff of dfcu can I start a club?
A. Yes you can. If you open one during the 100 days challenges not only do you get free
registration you also get the initial deposit fee of 50,000