Rebus raised just over £800k on Crowdcube only 8 months ago. The company and the Crowdcube experts valued Rebus at just a little over £12m pre investment.
The pitch on Crowdcube opens with -
''Rebus seeks to bring hope to ordinary Investors who have been misled into buying flawed complex financial products & solutions.''
The company appointed administrators a few days ago - its not posted anything yet with CH.
So where does that leave us?
It is not the largest failure in UK Equity Crowdfunding history as the FT claimed a few hours ago. That honour remains with the Musical Waterbabies which sank without trace over a year ago, taking over £1m of Crowdcube investors money with it. It does come a close second.
Really you would hope that Crowdcube would come up with a better line than the one they gave the FT -
“Whilst the failure of any business is disappointing, not all businesses will succeed and therefore highlights the importance of spreading investment risk with a diversified portfolio,” said a spokesperson for Crowdcube.
“Investors on Crowdcube can be assured that we are committed to ensuring transparency and have rigorous due diligence processes in place, which are spearheaded by an experienced team of legal and compliance professionals.”
We think its time for everyone to WAKE UP.
ECf is in danger of being dragged to the bottom by the failures of platforms. Very shabby.
"We think its time for everyone to WAKE UP."
ReplyDeleteDon't be so naive....people have never woken up and never will.
"rigorous due diligence processes in place, which are spearheaded by an experienced team of legal and compliance professionals"
ReplyDeleteshould be translated to:
"Lax due diligence process in place, which are spearheaded by an inexperienced team of business development managers, one legal councillor and strict compliance to current lax FCA rules".
I'm glad that they don't mention their investment professionals or accounting prowess because they are genuinely non-existent.