More poor results for Crowdcube funded companies keep pouring in.

Saying everything is brilliant when in fact you know its all over, is not a sensible or rational act. But is happens too often.

On the back of some alarmingly bad results for Crowdcube itself, Crowdcube announce that have they just had a record year. Well here is some more good news to add to that - 

Powervault - still in test phase and reported £1.5m loss for year when they had a loss of under half that in their projections. Time will tell.

Health-Connected - Further losses of £71,000 filed against profits of £3.6m 

Cauli Rice - as already reported way off even the altered projections. Excuses excuses.

Freetrade - Still in trials. Supposedly with revenues of £3.7m for YE Sept18.

ISO Spaces - live on Crowdcube and going nowhere. Filed loss of £250k against Crowdcube projection of £2.6m profit. Is it any wonder people dont believe them?

Witt - as reported, way off targets. 

In all, we have files on 37 companies due to report in May and June. Not one of those that have filed, have come even close to the projections used to sell the equity on Crowdcube. Not one. We have a waiting room of overdue accounts and our experience suggests most of these will go to the wall. We are not making this stuff up - it is real hardcore fact - no spin, no PRing. 

When something is so obvious, how can people still be stupid enough to swallow up more of the same. Equity Crowdfunding might work, but Crowdcube's model doesnt. It is centred on Crowdcube making commission, not on creating viable businesses. 7 years on and that is an indisputable fact.

Witt Energy top the Crowdcube pile of May disappointments

Witt raised £2.4m on Crowdcube in 2016. Their projections, used to encourage this investment, which was over 3 times their target, are now in pieces. Other companies also followed the trend in the month of May. 

Witt is a serious company creating a very serious renewable energy facility. Why then, you have to ask, are their financial projections on Crowdcube a total joke? There can only be one answer, the same one we have been giving for 3 years here - it's to get investors hands deep into and out of pockets.

There is one very consistent feature with all Crowdcube pitches. They dont just miss projections - they totally blitz them on the low side. When something is so bleedingly obviously wrong, why is it it cannot be corrected?

Witt had forecast profits for the YE August17 of £394k. They made losses of £470k. Whats more, this year, they have projected profits of £4.08m. How's that going Witt? And as we are on the topic, the one we never get off, how is this fair and not misleading?

Witt declared a £200k loan in the Crowdcube pitch, which was due for repayment in November 2018. This loan was in fact repaid in April this year in full. Obviously as the company raised an extra £1.65m on Crowdcube, they have cash. But it does seem a little odd to be giving £200k back 8 months early, when the company will need more cash soon. 

Other members of Crowdcube's over subscribed Disappointment Club for May are - 

Pallet Eater

Mush

Pobble

Tidy Books Europe.

Plenty waiting in the wings for June and plenty late filing.