Car Wow - Crowdfunding

[PrancingHorses]

Interesting but no mention of returns on investment...

https://www.motortrader.com/motor-trader-news/auto...

[dazmanultra]

Decent enough company but can see the valuation being sky high.

[CaptainSensib1e]

Already raised the £2m capital they had targetted, good going.

[untakenname]

With Brexit uncertainty and what's happened to Pendragon I don't think this is the right time to invest tbh.

[cluckcluck]

i like their business and youtube channel, but IMO, there's something that doesn't add up. Surely opening up to the public pre IPO rather than using investors/banks makes no sense? Dunno my gut says this isn't an investment worth taking. If i recall rightly they have huge losses, and I can see this funding round getting diluted in the future.

[Nerdherder]

Business wise I think they can easily diversify into several geographies without massive outlay (single or small group of pro investors or an angel), why the need for crowdfunded investment....

[Frimley111R]

Nerdherder said:

Business wise I think they can easily diversify into several geographies without massive outlay (single or small group of pro investors or an angel), why the need for crowdfunded investment....

I think that's there plan and they lost about £16m last year IIRC.

Investors would want a say in the way the business runs but 'crowds' don't/can't because there are so many of them?

[Nerdherder]

Frimley111R said:

Nerdherder said:

Business wise I think they can easily diversify into several geographies without massive outlay (single or small group of pro investors or an angel), why the need for crowdfunded investment....

I think that's there plan and they lost about £16m last year IIRC.

Investors would want a say in the way the business runs but 'crowds' don't/can't because there are so many of them?

16m loss points to a leaky model. Sanitize/fix the model first before investing.
I'm not touching it as is for sure.

[dvs_dave]

cluckcluck said:

i like their business and youtube channel, but IMO, there's something that doesn't add up. Surely opening up to the public pre IPO rather than using investors/banks makes no sense? Dunno my gut says this isn't an investment worth taking. If i recall rightly they have huge losses, and I can see this funding round getting diluted in the future.

You assume they haven’t been to traditional funding sources first. Good non-traditional investments rarely get in front of the public, for obvious reasons.