We give you a "piece of the action".
Everything you have learned about IDI to this point has focused on the daily, and annual, benefits of being a shareholder in IDI. But IDI is not simply a company. It is your company. And IDI has developed a model whereby our shareholders are allocated a financial investment in the company based on their annual usage of the programs and services offered.
Every year, the IDI Board of Directors allocates profits earned by the company that are required to internally fund the growth required for the upcoming year. This is, in effect, an allocation of a portion of each shareholder’s patronage returns that are held back for re-investment.
But IDI shareholders do not lose these returns! Rather, at the end of each fiscal year, a complex formula is applied to allocate the majority of the retained patronage returns to each and every shareholder in the form of Preferred Share issuances. The formula applied is based on their support of IDI’s Distribution Centre, and approved-vendor programs, over the previous year. Each shareholder’s total patronage return allocations grow each year – long-standing IDI shareholders have tens of thousands of dollars of IDI Preferred Shares representing their financial equity in IDI.
When a shareholder disposes of their business and exits IDI, these Preferred Shares are redeemed by the shareholder so that they receive their equity back from the co-operative.
As a result, when IDI shareholders support the Distribution Centre and the IDI-approved vendor programs, they are not only benefiting their businesses in the short term – they are also building an equity investment that pays dividends to them in the long term, too!