At a £20m valuation, Den's new Seedrs funding round poses an interesting question.

Den are overfunding on Seedrs, having set themselves a very low target. The valuation is £20m for a company that has only just started to sell a product. Its major competition is having a 50% off sale and saw revenues fall in its last FY.

Should that ring alarm bells?

We think so. Den are late getting to market and have already raised around £5m to get to this stage. It is far too early to tell if the product is a winner or not but you wouldnt know that to read their pitch.

Their main competition has been selling into this market for a while now, is a plc and has had £12m invested. And still it has come out with its YE Sept18 numbers looking distinctly damp. Revenues were down from £3m to £2.8m on a falling GPM and a huge rise in expenses. The directors and various NEDs have been taking out large sums considering the lack of any profit.

All of that maybe an advantage to Den. But not if the falling sales figures are part of a market retraction, rather than poor management. That we dont know...yet.

We still think a valuation of £20m is bonkers. But what do we know. And why set a target a touch over £200k, with large investors putting in £50k sums. How is that equity crowdfunding and how is that transparent? We wonder what the real target is?

Having remote light switches may well be useful but is it really required? Does it really do some good for our lives and for our planet. As a child I was taught to turn out lights. What happens to all those children who have this remote system when they live in homes that are without it? They leave everything on because they were not taught to turn it off. When did we become unable to turn off lights? So is this really the next big thing?

Of course if our ECF.Buzz forum was up and running, as it will be in July, you could all discuss this without fear of the investor platform removing your comments. So if you havent already, take a look and sign up now whilst the 50% discount is still on - here
https://www.indiegogo.com/projects/ecf-buzz-the-crowd-investors-information-centre/x/19804529/