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Friday 26 May 2017

Idleman Crowdcube pitch very casual with the facts



Reading the new Idleman Crowdcube pitch you would think this company was on track. Put simply it hasnt been on track since its first Crowdcube money grab in 2015 and its now very definitely in the sidings.


As usual with Crowdcube, nothing in the pitch is a lie. It's just not all quite true or very important bits have been left out.

Example - in 2016, so only a year ago, Idleman raised £1.2m on Syndicate Room. In the section on this new Crowdcube pitch, dedicated to listing all previous funding, this fact has been totally left out. Neither the amount or the raise are mentioned. Why?

Well we think probably because the valuation in April 2016 is now the valuation in May 2017 - despite the massive progress the platform tells us Idleman has made in those 12 months. Of course as the raise on SR isnt mentioned, neither is this valuation; which means in essence that this round is a down round. 

Example - in the SR documents the projections showed revenue figures that Idleman have since missed by miles. They have of course also missed their 2015 Crowdcube projections by even greater margins. Neither fact gets a mention on the current CC pitch.

Example - In the SR 2016 pitch they show the Trust Pilot aggregate at 8 out 10 - a reasonable result. However if you go onto their page now on TP, you find they have dropped to 7.5. This is very clearly heading in the wrong direction. This gets no mention. One star reviews are not uncommon. 

There are more but to be honest we simply cant be bothered to go through them. This company has never delivered on a single target that we have seen. Any company that quotes revenue figures including vat really needs to back to kindergarten business school. Our guess is it never will get close to its ambitions. Invest if you must but at least do it with your eyes wide open. 


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