Frankies EOI - FAQS
What is equity crowdfunding?
It’s similar to the crowdfunding you see on Pozible, Kickstarter, etc, but instead of putting money in and receiving a thing (like a product, film, etc), you put money into an operating business and you receive shares, and become a part-owner. Businesses that want to expand rapidly or raise funding for (ie) more equipment/a new venue are well suited to equity crowdfunding.
How do I make an investment?
Click on ‘Express Your Interest’ to register yourself as an interested party and we’ll let you know when our investment round opens. One we do, log on to the Birchal site (our platform intermediary) and follow the instructions to make your investment.
What’s the EOI (Expression of Interest) campaign?
This is a non-binding indication that they’d be keen to invest into the company. You can see our story, get to know the team behind Frankies and state the minimum and maximum you might invest. When we go live with our raise, we’ll reach back out to you to let you know the offer is open and you can invest then.
How is it possible that an unlisted company can have more than 50 shareholders?
Investors that come in through a CSF own ordinary shares in the company but are listed as CSF investors in the share registry. As stated by ASIC RG 261, CSF shareholders don’t count towards the 50 cap, even if you have thousands of shareholders in this category.
Is this an equity purchase?
Yes, you will receive real equity and ordinary shares in the Frankies business. The amount of equity you receive is based on the amount you invest and the value of the shares in the round. The shares are the same class as the Founders and other signification shareholders.
What rules and legislation governs this crowdfund?
Crowdfunding is governed by legislation that is covered by ASIC (RG 261) and can only be performed by accredited organisations.
Will there be a dividend?
It is the intention of the business to pay all shareholders a dividend when is profitable and in a position to do so. There will be some retained profit to re-invest in the business and some returned to shareholders. In the interim, investors will get rewards based on their level of investors e.g. discount cards, product, accomodation and other hotel services. These will be outlined during the Investment phase.
What price will be set for the shares?
This will be detailed during the live Investment stage. Contact us or come to one of our information evenings to find out more.
What is the minimum Investment?
The minimum amount a single individual can invest in this round will be determined at the conclusion of the EOI period. During the offer period, there will be tiers of investment tied to rewards and incentives which will be available on the Birchal platform. Through CSF, the general public (retail investors) can invest up to $10,000 whilst sophisticated investors can invest more with a wholesale investor certificate provided by their accountant.
How much money do we want to raise?
We have a minimum raise target of $500,000 to complete the purchase of our next venue. Our dream goal is to raise $1 million for further expansion and reinvestment into Frankies by the construction of new regional venues.
What will the funding raised be spent on?
A range of initiatives to grow the business, namely the purchase of our next venue. If we were to hit our maximum target of $1 million, our goal would be to expand into a 4th store and to place funds into the development of a Frankies Coffee Roastery.
Can I sell my shares?
Shares in private businesses are not easily transferred and generally not ‘liquid’. However it is possible to sell shares to other shareholders or back to the business during a company buy-back or an employee buy-out or to a third party purchase should the Founders wish to exit or partially exit.
An expression of interest is non-binding and indicates no commitment.
Watch our video to learn more about Frankies & our crowdfunding campaign:
CSF Warning: Always consider the general CSF risk warning and offer document before investing.