Doisy and Dam should now be in profit - £136k for year ending Sep17. But the Sep17 accounts just filed show yet more losses totalling £230,000 for the year. This year they are supposed to be making profits of £500k.
If and when we come across a Crowdcube funded company that actually gets close to its projections, we will let you know. It seems to be a pipe dream at the moment.
So if ALL Crowdcube funded companies fail to get close to the figures used to sell their equity, when is the FCA going to step in and say - ''Yes, this is all clearly misleading'? Because, clearly it is. We are talking about an almost 100% record for misleading projections. The normal distribution one might expect, would be for 40% missing, another 50% being there or there abouts and say 10% showing better results. Not figures showing 95% missing by a country mile and 5% max being there or there abouts. And this 5% is shrinking.
We hear ECF evangelists say that this fact is not important - you expect all start ups to miss all of their projections. We think this is nonsense. They say this simply because to say anything else would cause harm to the worst offender, Crowdcube. They prefer to trumpet the now defunct option that an upward valuation in a follow up funding round indicates a ROI for investors. Come on.
We need change.