Notes Music and Coffee file further heavy losses after raising £900,000 on Crowdcube
Times are hard. Evidence is plentiful. Notes, which raised over £900k on Crowdcube in 2015, has filed losses of £380k for YE June 17.
Notes had 5 central London coffee shops open when they pitched on Crowdcube, valued at £6.8m. Now they have 10, so they have not been shy coming forward in this climate.
However, they are way off their Crowdcube target of a profit for last year of £410k. Whilst there is cash in the business, they are heavily geared and the grounds will hit the fan if things dont pick up this year. Their balance sheet is over £600k in the red and this is with rent deposits of £322k taken into debtors. Whoever heard of getting a rent deposit back? 10 units equates to lease liabilities going forward of £5.4m. Cumulative losses are touching £2m.
Projections for this year reveal a profit of £1m - lets hope they can pull that rabbit out of the hat.