What is Shared Purchasing?

One of Loop’s new clients is GetItWithMe. They’ve got a great new site and concept that helps people get involved in shared purchasing. You want a big ticket item (think plane or boat) and know you wont use it every day of the year so think it’s sensible to join forces with some other people and buy it as a team. GetItWithMe helps you do just that - and also helps you manage the paperwork/booking and even sale of your ’share’ once you’ve got your item.

We think it’s a great idea. It’s going to be huge - anyone fancy joining me to buy a Tesla becasue there’s one listed here

The team over at GetItWithMe have just posted a blog on what shared purchasing is all about so I thought it would be good to share that here too …

So, you’ve just completed your last practical and after what seems like an endless amount of time your ready to get yourself into a plane or boat of your own; what are you options?

Broken down simply; you can either purchase outright, lease and be stuck with the monthly payments and expenses that go along with it, or you could consider sharing the cost and maintaince with a group of people in a position similar to you.

Shared purchasing (or group purchasing) allow people to club together to purchase an asset, either because they don’t have the resources available to finance the whole item or because it makes better economic sense to share the cost and the responsibility. It involves making an investment and therefore owning a part of the asset (in contrast to time share, in which you only own the use of time).

The shared purchase market is growing fast – its currently worth an estimated £1.6 billion in the UK alone. With at least 700,000 in the UK having either expressed interest in shared purchasing or currently in a shared purchase arrangement. A number of factors generally deter people from make a decision to purchase in a shared purchase arrangement; concerns about being let down by other members, arguing over usage, or being burdened with managing the arrangement. Now, using www.getitwithme.com people can buy a part of something that has always eluded them – a plane, holiday home, super car, designer handbag – with less money, less risk and much more ease.

A group of people share an asset generally in accordance with the investment they’ve put in – they buy a quarter share, they get that item for 3 months of the year and are responsible for 25% of the expenses. Co-buyers own their share of the asset: it is theirs to enjoy, or sell again. The group often operates through a ‘holding entity’ – a company, trust or suchlike, allowing members to exit or enter the arrangement without upsetting its operation, via the site if they wish.

GetItWithMe provides the perfect online meeting place where you can find people who are interested in purchasing the same things. And once you have found enough people to purchase an item, or an existing group of people with an available share, GetItWithMe gives you the support and tools you need to manage the asset, giving you more time to enjoy it. For more information about aircraft shares, check out www.getitwithme.com for all the current listings.

Well hello again!