Monday, 21 September 2015
Investing through the Looking Glass
This is what passes for an accurate description at the Crowdcube T Party.
East Well play More Ltd was founded by Oliver Pugh in 2014. In that year it raised money on Crowdcube. Now it's back for more. All true so far.
On the front of the pitch Oliver describes himself as a ''Driven entrepreneur with a hunger for success. EarlyBird (the company pitching) is my life passion, I'm fully invested in its success and wont stop until we make it.''
That certainly sounds encouraging and one would expect, looking at his short career, to find some entrepreneurial activity, to back it up.
So Oliver has started 6 companies since 2012. Three of these have been closed within 16 months of opening, with no trading. Another one is still open but at the First Gazette stage, one has traded and made a £4,000 profit before trying to close. The final company is the one in the current pitch. As far as we can tell this one is still open.
So in terms of activity, if we say opening a company and closing it without it trading, is a gauge of entrepreneurship, then he scores highly. We dont think any sane person believes it is though. So you have to ask how did the DD department at Crowdcube manage to pass this description of Oliver for what is an FCA regulated and accredited pitch?
It all helps to explain the lack of continuity between the claims made in the pitch about customer retention etc and the facts as we know them.
This level of accuracy is the norm on this platform and it really is time that either they got their act together or the FCA stepped in. Not really much chance of either happening this side of the looking glass. More T vicar?