"Your Capital is at Risk, read our Risk Warning Here"
Risk Warning: Please #investaware. Investments of this nature carry risks to your capital as well as potential rewards.
Please read our risk warning and disclaimer before deciding to invest.
To help you understand the risks involved when investing in shares on Crowdfooding, please read the following risk summary.The need for diversification when you invest
Diversification involves spreading your money across different types of investments with different risks to reduce your overall risk. However, it will not lessen all types of risk. Diversification is an essential part of investing. Investors should only invest a proportion of their available investment funds via Crowdfooding and should balance this with safer, more liquid investments.Risks when investing in equity
Investing in shares (also known as equity) on Crowdfooding does not involve a regular return on your investment. Investing in a fund may help to diversify your investments and to spread the risk but general risks while investing in equity continue to apply. Please bear in mind the following particular risks for equity and fund investments:Loss of investment or tax relief
The majority of start-up businesses fail or do not scale as planned and therefore investing in these businesses may involve significant risk. It is likely that you may lose all, or part, of your investment. You should only invest an amount that you are willing to lose and should build a diversified portfolio to spread risk and increase the chance of an overall return on your investment capital. If a business you invest in fails, neither the company – nor Crowdfooding – will pay you back your investment.
Tax relief may also be lost due to your personal circumstances or due to the activities of a company.Lack of liquidity
Liquidity is the ease with which you can sell your shares after you have purchased them. Buying shares in businesses pitching through Crowdfooding cannot be sold easily and they are unlikely to be listed on a secondary trading market, such as AIM, Plus or the London Stock Exchange. Even successful companies rarely list shares on such an exchange. In addition, if you purchase B Investment Shares, these are non-voting shares and may not be attractive to potential buyers.Rarity of dividends
Dividends are payments made by a business to its shareholders from the company’s profits. Most of the companies pitching for equity on the Crowdfooding website are start-ups or early stage companies, and these companies will rarely pay dividends to their investors. This means that you are unlikely to see a return on your investment until you are able to sell your shares. Profits are typically re-invested into the business to fuel growth and build shareholder value. Businesses have no obligation to pay shareholder dividends.Dilution
Any investment in shares made through Crowdfooding may be subject to dilution in the future. Dilution occurs when a company issues more shares. Dilution affects every existing shareholder who does not buy any of the new shares being issued. As a result an existing shareholder's proportionate shareholding of the company is reduced, or ‘diluted’-this has an effect on a number of things, including voting, dividends and value.
Some businesses who pitch for equity investment through Crowdfooding offer A-Ordinary Shares, which may include pre-emption rights that protect an investor from dilution. In this situation the business must give shareholders with A-Ordinary Shares the opportunity to buy additional shares during a subsequent fundraising round so that they can maintain or preserve their shareholding. Please check a pitch, and the Articles of the company to see if the shares you are buying will have these pre-emption rights. Most companies do not offer pre-emption rights for B Investment Shares.Loss of investment
If a business you invest in fails, neither the company you invest in – nor Crowdfooding – will pay you back you investment. You should only invest an amount that you are willing to lose and should build a diversified portfolio to spread risk.Lack of liquidity
Liquidity is the ease with which you can sell your investments to a third party after you have purchased them. Investments in start-ups through Crowdfooding should be viewed as a long term and illiquid investment.
Investing in start-ups and early stage businesses involves risks, including illiquidity, lack of dividends, loss of investment and dilution, and it should be done only as part of a diversified portfolio. Crowdfooding is targeted exclusively at investors who are sufficiently sophisticated to understand these risks and make their own investment decisions. You will only be able to invest via Crowdfooding once you are registered as sufficiently sophisticated.
THE MATERIALS YOU ARE SEEKING TO ACCESS ARE BEING MADE AVAILABLE BY THE COMPANY RAISING FINANCE AS IDENTIFIED ABOVE (THE "COMPANY") IN GOOD FAITH AND FOR INFORMATION PURPOSES ONLY AND SUBJECT TO THESE TERMS AND CONDITIONS.
Important Information: This website is not directed at or intended for publication or distribution to any person (natural or legal) in any jurisdiction where doing so would result in contravention of any applicable laws or regulations. This information does not constitute an offer or solicitation in any jurisdictions in which such an offer or solicitation is not authorised, or to any person to whom it is unlawful to make such an offer or solicitation. The information herein is not for distribution and does not constitute an offer to sell or the solicitation of any offer to buy securities in the United States to or for the benefit United States person (being residents of the United States or partnerships or corporations organised under the laws hereof). None of the products listed on this site have been registered in the United States under the Investment Company Act of 1940 and interests therein are not registered in the United States under the Securities Act of 1933. Prospective investors should take appropriate independent investment advice and inform themselves as to applicable legal requirements, exchange control regulations and taxes in the countries of their citizenship, residence or domicile.
In particular, unless otherwise determined by the Company and permitted by applicable law and regulation, it is not intended, subject to certain exceptions, that any offering of the securities mentioned in such materials (the "Securities") by the Company would be made, or any documentation be sent in or into, the United States, Canada or Japan. There will be no public offering of the Securities in the United States.
In order to access the pitch you must first become a qualifying member of Crowdfooding on the basis of your status as either (i) self-certified ‘high net worth investor’, (ii) certified ‘sophisticated investor’, (iii) self-certified as a ‘sophisticated investor’ or (iv) certified as a ‘restricted investor’, in each case in accordance with the FCA’s Conduct of Business Sourcebook Chapter 4.7. Potential investors are encouraged to "cross examine" the Company by interactive due diligence and use of the available online forums to bring the "wisdom of the crowd" to bear. Access the pitch also means you agree to Crowdfooding’s most recent website terms and conditions available below and investor terms and conditions, available here which include Crowdfooding's limitation of liability.
If you are not permitted to view materials on this webpage or are in any doubt as to whether you are permitted to view these materials, please exit this webpage. Crowdfooding’s or the Issuer’s press announcements and this information page do not constitute an offer to sell securities of the Company. Further, it does not constitute a recommendation by the Company, Crowdfooding or any other party to sell or buy securities in the Company.
By registering or logging into Crowdfooding.co to view the investment opportunity, you certify that you are legally entitled to view the investment opportunities, are an authorised investor and you agree to all applicable terms and conditions on this website, including this disclaimer.
Please click here to read the full Risk Warning.