Sunday, 25 October 2015
Equity Crowdfunding Tarts
Of course the new pitch doesnt mention the old pitch. It's a fairly typical example of the phoney claims made by the platforms that ECF is transparent and for the people.
Here are two examples we just happened to stumble across.
Earlybird is trying (desperately) to raise more money on Crowdcube. It's not going very well, despite increased equity offers and numerous extensions. However dont worry because the same company is on Angles Den - with its chairman as ''lead investor'' and open for investment now of £300k for 16%. They are offering 20% for the same amount on Crowdcube right now. Both campaigns are running together with different % - eh? We havent looked but you can probably find them in Aldi for £300k for 25%. What is a lead investor you might well ask when it comes to using your chairman.
Silkfred raised money on Crowdcube a while back and has failed to deliver on its projections since. It has just completed a £850k raise on Angels Den and is now overfunding. Looks like CC may have missed out on this one. Clearly Fred felt he didnt want to answer questions about dilution and projections.
Is it really acceptable that companies run simultaneous or end on end campaigns on different sites - without giving any indication that this is what they are doing? We dont think so but then we are maybe over critical of some of the ECF practices which claim to be totally transparent.