This is THE problem. Two old Crowdcube fundees have returned for more cash. But in the pitch there is little mention of the previous raise or even failed attempts. There is no mention or even discussion of the massive gap between their earlier projections and reality. Valuations are upwards only.
Now we dont wish to comment on the investment opportunities as such. Investors must make up their own minds.
We would just like to point out that whilst not supplying information does mean that that information cannot be misleading - we assume that's why they have done this - it is not clear, fair or helpful. Investors are your clients too.
Crowdcube states at the bottom of every pitch that each one has passed its own due diligence tests and is not in any way misleading, unfair or unclear. We would beg to differ.
Why should investors, many of whom maybe new to Crowdcube, not be given what we consider to be essential information - ie what figures did the management of these two companies tell previous investors they expected to hit? Simple and factual; clear, fair and not misleading. It directly effects the current valuation and any calculation punters might make on ROI - given the new set of projections. It talks to the core of the offer - the management's ability to judge its market and extract maximum value from it over a given time.
So Crowdcube why do you consistently miss off this information? Look, no one expects start ups to hit their projections but there are near misses and out of orbit experiences. Surely it is upto investors to decide which is which. They cannot, if you don't give them the information
We have it on file, so we know the numbers.
If you join ECF.Buzz you too can have this vital insight into these investment opportunities - take a look..... https://www.indiegogo.com/projects/ecf-buzz-the-crowd-investors-information-centre/19804529
Investors - taking back control.
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