FastTrack files for bankruptcy

There is always a risk that the business you chose to support might fail. In fact, the rule of thumb is that if you want to find a growth opportunity for your money, you have to lose out on 9 of every 10 investments you make. Crowdfunding investments are high risk, particularly because you typically invest at a very early stage of a company’s lifespan. FastTrack – a former FundedByMe campaign that raised money back in December 2015 – has just announced that it has filed for bankruptcy with the Stockholm District Court.

Below is the update from Daniel Holmqvist, Chairman of the Board of Subito Services AB, sent to shareholders today (in Swedish):

Kompanjoner, aktieägare och styrelse!

Under veckan som gått har ansökan om konkurs för Subito Services AB inlämnats till Stockholms Tingsrätt. Det är vemodigt men samtidigt en viss lättnad efter en spännande berg- och dalbana som tyvärr aldrig fick tillräcklig skjuts.

Idén som vi fortfarande tror starkt på har med ambitiöst engagemang inte nått dit vi kämpat för. “Urverket” vår kodbas som skapade funktionen FastTrack lanserades sommaren 2015 med viss framgång. Drygt 70 restauranger skrev avtal och ville erbjuda sin kunder den moderna funktionen kostnadseffektivt. Dock konstaterade vi relativt snabbt att det krävdes betydligt mer än bara koden för att slutkunderna skulle använda funktionen. Vi summerar i efterhand att restaurangerna behövde avsevärt mer support än vad vi hade resurser för. En tydlig faktor till vår halvmarsch var att det löpande saknades pengar.

Förutom tillskott av kapital vid uppstart av verksamheten så har det gjorts två riktade emissioner samt en mindre via FundedByMe. Dessa tillskott har tillfälligt löst likviditeten men inte långsiktigt. Bolagets större aktieägare lånade även in 400’.- i samband med att ett kapitaltillskott om 5mkr signerades. Detta kapitaltillskott blev aldrig verklighet och vi kan i efterhand förvånas över tomma lovvärda ord utan ansvar.

Anledningen till ansökan om konkurs kommer helt av att Conevo som sedan start ansvarat för all programmering inte längre vill agera bank utan kräver sedan 14 dagar sedan full betalning på upparbetad skuld. Subito Services skulder enligt Conevo uppgår till cirka 700’.- vår uppfattning är att 350-400’.- stämmer men det är just nu en ickefråga. Direkt efter Conevos omedelbara betalningskrav stämde jag möte med deras ekonomichef för att diskutera vårt kritiska läge. Ett förslag lämnades från Conevo att skriva ned skulderna till 200’.- om omedelbar betalning kan göras. Subito Services största aktieägare har fått frågan om att lösa ev. konkurs genom ett akut kapitaltillskott om 200’.- utan full framgång. Med tanke på att det handlar om förhållandevis lite pengar och att det är bättre med lite än inget alls så är jag övertygad om att Conevo kan tänka sig ytterligare ett samtal.  Själv är jag beredd att gå in med 50.000 kronor, Kalle och Björn har flaggat för att gå in med egna tillskott för att undvika konkurs och istället likvidera verksamheten.

Om fler är intresserade så hör gärna av er till mig så ett sista förslag kan lämnas innan faktiskt konkurs.

Styrelsen är kallad till Stockholms Tingsrätt för edgångssammanträde den 25 oktober kl. 10.00.

Sammanställning kända skulder:
Conevo, enligt ovan
Leveko redovisningsbyrå, 18.000 kronor (Leveko är beredda att sänka skulden till 10’.-)
Fortnox, ekonomifunktion 600 kronor
INGA SKATTESKULDER

The ‘Crowdlottery’ campaign – an update

The ‘Crowdlottery’ campaign – an update

The path to success is paved with “failure”, says author Sarah Lewis in this interview with Forbes. Lewis points out that failure is a matter of perspective, and successful people or corporations can measure themselves against unmet goals and consider themselves failures. Forbes also writes that 90% of startups fail and, as grim as that sounds, the rest of the 10% change the world, become the Apple, Facebook, Microsoft and Spotify of the future, because they had an idea, a few hard working entrepreneurs and investors who believed in them early on.

Crowdlottery, a campaign on FundedByMe that was fully crowdfunded in 2014 has just informed their shareholders that it can’t sustain it’s operations due to lack of funding and not enough growth. For us, this news is extremely sad as we have been in contact with the Crowdlottery entrepreneur and we know how hard he has been working to make his company fly.

Nobody expects every investment to become The Next Big Thing, but investing in early companies or growth companies increases the chance to be part of that or at least be part of change. We remind you that 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 and after great consideration.

/Daniel Daboczy CEO FundedByMe

Read the words of Jasper Versteege and watch his video where he tells his story:

“Dear crowdlottery members,

Unfortunately we have to close down operations. We could not secure enough funding to continue. This means we have to fast-forward our draws in order to play out all tickets before the 27th of March (the date we would need to renew our license). After that we will cease all operations.

So from today onwards we will have a draw each 2 hours until all the remaining tickets are played out.

Good luck, and keep an eye on your inbox! 

Even though I couldn’t reach enough people to make it work, I still believe the world deserves a crowdlottery concept, a concept which is fairer and more transparent than the lottery systems governments offer, so hopefully we can make a comeback one day.

 Thank you all for participating and believing in the concept. I wish you the best of luck in all your endeavors. Power to the crowd!”

FrontOffice heads to Stockholm stock exchange from crowdfunding

FrontOffice head to stock exchange from crowdfunding

FrontOffice Nordic AB, a Swedish company reconstruction firm, announced this week that it has applied to be listed on Nordic Growth Market (NGM). This makes FrontOffice the first FundedByMe equity campaign to head for a public stock exchange from crowdfunding – and one of the first-ever Scandinavian equity crowdfunding campaigns that will give investors the opportunity to trade their crowdfunding shares on a regulated exchange, licensed by the Financial Supervisory Authority.

FrontOffice launched its crowdfunding campaign on FundedByMe on 25 November 2015 and it will run until 15 February 2016. The company has already secured 96% of the €533,000 equity goal from a total of 133 investors (as of now). Their goal is to be on this stock exchange by mid-April.

Read the full press release here and visit the campaign on FundedByMe here!

Regarding the “Jurase Park” campaign in Finland

The FundedByMe team wants to confirm that we declined to host the Finnish equity crowdfunding campaign “Jurase Park” on our platform due to lack of information and business plans, which is key to maintaining the high quality of our equity crowdfunding offering to the crowd.

For further information please contact the FundedByMe Finland Country Manager, Niclas Ahlström.

Fat Cat and FundedByMe – not a partnership made in heaven.

To date, FundedByMe has helped more than 420 companies raise more than €15 million from more than 60,000 registered crowd investors. While we act as a ‘dating site’ where investors and entrepreneurs can meet one another and ‘fall in love’ – things do sometimes go wrong. 

Fat Cat Campaign

With the Fat Cat campaign (open on the FundedByMe platform between November 2014 and closed in January 2015), despite our best efforts, it unfortunately did.

From the FundedByMe end, we followed our usual strict diligence strategy for fact and identity checking the creators of the campaign before allowing the Fat Cat campaign to go live on the platform. At first it seemed like a campaign made for success – bloggers were driving traffic to their page and the entrepreneur seemed engaged and active. 

Soon, however, we realized that all was not as it seemed. While we kept our side of the agreement, once the campaign was successfully closed our initial invoices were queried and then went unpaid and our emails remain unanswered. 

Unhappy Bloggers

But more than our outstanding invoices, the bigger concern is that Fat Cat offered shares and other rewards to bloggers who helped them drive traffic to their campaign on our platform. They have not honoured these promises, despite receiving an immense outflow of support from their digital community. We take these allegations very seriously and have, to date, not received any feedback from the Fat Cat founders, despite numerous attempts to get the full truth.

Hereby, FundedByMe wishes to publicly apologise to any bloggers who were negatively affected by the activities of Fat Cat in relation to their campaign on our platform. We wish to distance ourselves from Fat Cat and its owners and will continue to do so until these allegations have been cleared up. As we are not allowed to handle any transactions nor issue shares on the FundedByMe platform, our ability to affect this situation is limited.

What we do have is a very active social network and we can ask for their help to publicly urge the Fat Cat owners to honour their promises made to industry leaders who used their social media powers to drive traffic to the Fat Cat campaign. 

And, while you’re at it, please pay your outstanding invoice from FundedByMe too.

FundedByMe and BrewDog launches a record-breaking crowdfunding round in the Nordics

FundedByMe and BrewDog launches a record-breaking crowdfunding round in the Nordics

FundedByMe and BrewDog, the popular Scottish craft beer brewery that uses
crowdfunding as a core strategy for growth, have joined forces, embarking on a quest to
bring craft beer to the Nordic countries in the biggest equity crowdfunding round ever.

“This is a match made in heaven – not only do we love craft beer, we also share the
conviction that crowdfunding is the future! Equity crowdfunding is growing extremely fast
– at a double-digit rate – and is predicted to be bigger than VC’s and business angels
together, within five years. BrewDog is a forerunner, and serves as great proof that
crowdfunding is so much more than just financing – it is a way of inviting people to play
a vital role in the success of your business, a strategy to achieve extraordinary growth”,
says Daniel Daboczy, CEO and co-founder of FundedByMe.

BrewDog has broken world records by raising over £10 million via its latest crowdfunding
round, Equity for Punks. More than 40,000 people have invested in the brewery to date. The
company also provides a secondary market of its own, offering shareholders the possibility
to trade shares once annually. Partnering with FundedByMe is clear indication of BrewDog’s
mission to grow its company into the Nordics, where it already boasts a loyal following. It is
featured on the shelves at Sweden’s ‘Systembolaget’, Finland’s ‘Alko’ and Norway’s
‘Vinmonopolet’ (government owned monopoly chains for alcoholic beverages).

Since launching in 2007, BrewDog has had an annual growth rate of almost 170 percent,
and is opening new bars on a monthly basis. The brewery launched its latest venue in Soho
London just last week, and now operates 38 bars world wide, including three in Sweden,
one in Finland and one in Norway. BrewDog’s beer is shipped to 55 different countries
around the world, including Mexico, China, South Africa and New Zealand. These
achievements have only been possible thanks to BrewDog’s rapidly expanding community
of passionate shareholders. With the financing from the ongoing Equity for Punks round, the
company is firmly set on launching in the US, the biggest craft beer market in the world.

“With this record-breaking crowdfunding round on FundedByMe, we’ve set out to boost our presence in the Nordics. We want to give those Vikings better access to brilliant craft beer – and maybe break a couple of records
as we go. This is our biggest crowdfunding round ever. Crowdfunding should no longer be
seen as a niche alternative, but a proven, workable option for change-makers”, says James
Watt, Captain and Co-founder of BrewDog.

This investment round is currently open to the public on FundedByMe,
where the company’s prospectus detailing the offer, benefits and projections is available in
English, Swedish, Finnish, Norwegian and Danish. FundedByMe and BrewDog are planning
on hosting and participating in events in Stockholm, Helsinki, Copenhagen and Oslo during
the campaign’s duration. BrewDog offers all shareholders additional benefits including
discounts in BrewDog bars and online, free birthday beers, and of course an invitation to the
annual general meeting, essentially a beer tasting and music festival combo in Scotland.

About BrewDog
Bored of the industrially brewed lagers and stuffy ales that dominated the UK market, school friends
James Watt and Martin Dickie established BrewDog in 2007. They decided the best way to fix this
undesirable predicament was to brew their own beers. Both only 24 at the time, BrewDog’s
cofounders leased a building, got some scary bank loans, spent all their money on stainless steel and
started making hardcore beers. “We are dedicated to making cool, contemporary and progressive
beers showcasing some of the world’s classic beer styles. All with an innovative twist and customary
BrewDog bite.”

Fikabox makes “fika” more fun…

Fikabox makes “fika” more fun…

Amrit is the passionate entrepreneur behind Fikabox, which is a subscription service delivering snacks to customers in the comfort of their home or workplace. With over 100 different snacks, carefully mixed with some unique ingredients, the fun never ends. The mixes containing chocolate, nuts, dried fruit and seeds comes with creative names such as “Bollywood Masala”, “Lime cuddle” or one of the favourites “Strawberry milkshake”.

As consumers across the country moves towards the Internet from the traditional means of consuming, comfort and ease of use becomes increasingly important. Consumers are increasingly health aware and want to eat healthier-food but with outstanding taste, so the idea of Fikabox was to put that healthier and outstanding-tasting food in a box, and deliver it across the country to our subscribers.

We love surprises: And to preserve the love for surprise Fikabox created an interactive rating-system where customers can choose to rate the products through “Try me”, “Like me”, “Love me” and “Dump me”. –The more you love a product, the more often we will send it to you. Depending on customers’ ratings, Fikabox predicts what customers’ likes/dislike and chooses a selection of snacks based on their preferences. With over 100 different snacks, Fikabox promises to exceed customer expectations every time by only delivering what our customers want.

The company is only a year old, but the idea began when Amrit was living in the UK where he discovered a similar concept. He decided to challenge the traditional Swedish “fika”, which we all know is an essential part of the Swedish culture.

Together with Fundedbyme, Fikabox started a campaign to find ambassadors and investors who would like to become a part of our journey and help us grow. Within the first four days Fikabox had raised over 1,2 million SEK and with only 9 days left to go Fikabox has now raised over 1.7 million SEK and reached 91% of the required amount.

Since the launch of Fikabox, the company has established positive response from media and been awarded the “Best start-up entrepreneur 2015” and is also nominated for “Young start-up entrepreneur 2015”!

The motivation for Best start-up entrepreneur 2015 read:

“This year’s Start-up entrepreneur has always been a driven entrepreneur seeking new challenges. He is passionate about delivering the very best and the most delicious snacks for all occasions directly into your mailbox. With great enthusiasm, excellence and a professional attitude towards his business and customers, he has all the opportunities to succeed in his venture”  

The future looks bright for Fikabox. The flow of success with crowdfunding endorses that the idea and concept is a beginning of a success story.

Crowdfunding is about more than just raising money … it’s about participating and helping entrepreneurs grow.

Career on Wheels – AddSeat

Career on Wheels – AddSeat

“AddMovement has built an innovative and strong business helping people with disabilities to live a more mobile life. Now we are aiming for an international expansion”

– Marit Sundin, CEO AddMovement

The number of people in the EU using wheelchairs on a daily basis sums up to 7.6 million. However, technological improvements within the industry are needed. Marit Sundin, CEO of AddMovement, has created AddSeat – improving the life quality for people sitting in wheelchairs. FundedByMe is honored to participate in Marit’s success story – now being live as a loan campaign on FundedByMe. Check it out here!

Marit, how long have you been working with AddMovement and what have you done earlier? 

I have developed AddMovement since 2011. Before that, I have been working in the industry with a number of innovative projects. Since I have been using a traditional wheelchair since the age of three, I have daily been reinventing current solutions in order for me to become more mobile. Looking for solutions allowing me to be more efficient in all situations, everything from sports to carrying my children, have made me an expert. In other words, I have really explored the market and now I have successfully filled a market gap.

What are your plans for the company after the campaign closing? 

My plan is to take the company to the next level by successfully accomplish our development plans – to continue being a leading product on the market, both in Sweden and on the international arena, and still maintain an efficient balance sheet.

One thing I have learnt from working with AddMovement is that business innovation combined with passion for what you do is the foundation for having a stable development. The funding will help us to reach an executive audience at the events, reaching out to people who would benefit from using the AddSeat.

Recently, we have been overwhelmed with international requests for our product and we are still in the process of identifying new markets. Our international customers have shared valuable thoughts regarding special adjustments that would improve our product. For that reason, we also want to be able to use the funding towards implementing these changes. As a result, we would be able to offer more extensive product flexibility and mobility to our customers.

What are the biggest challenges with AddMovement right now? 

The biggest challenge is to convince people to make the investment of buying the AddSeat. There is no doubt about customers wanting the product, the problem lies within taking the financial step to invest in it.

There is a huge difference between Sweden and other countries. Sweden has a very safe social system where people with disabilities are given equipment for daily usage. Unfortunately, my product still falls under the category for leisure, meaning that it is not yet subsidized.

However, in other countries people are more willing to invest in products like ours, this due to the fact that they are not used to subsidized products within this area. We have taken many steps to convince authorities to change the categorization of our product. We strongly believe that the product has what is required for this change to be made. When reaching that goal, the Swedish market will expand enormously.

Have you received any external funding so far from other sources?

Yes, “Almi”, which is a Swedish Agency helping businesses in their creation process, has provided us with start capital.

Your loan campaign just went live – what is the plan for the next 45 days? 

We have many meetings planned with potential lenders and journalists. We are in contact with Dagens Industri and Dagens Nyheter to proudly tell people what we have accomplished. We want to make sure that people, today using wheelchairs, will be informed about how AddMovement can improve their daily life.

addmovement_jonaskullman_4572

What are your expectations on this process? 

Primarily, I want to spread the word about AddMovement and the knowledge about AddSeat internationally – both to individual buyers, but also broaden the knowledge to big companies. In addition, I am very excited about receiving loans since it will enable me and AddMovement to do more and reach the goals I am striving for. Crowdfunding is more than funding, it brings you ambassadors and spreads the word about the business. The campaign has been live on FundedByMe for three days now, and many people have already now shown their interest. Crowdfunding can help me reach my goal!

You have won many awards – tell us some more! Did any of them make you especially proud?  

In 2014, I became the Swedish Female Innovator of the year, which was a great milestone for me, since I have put lot of effort into making my ideas into a company. I got a lot of publicity and some commitments followed, which of course has been very fun. Also, now in September ”Tekniska Museet” in Stockholm will have an exhibition for children to be inspired to create and innovate. AddMovement and the AddSeat will be presented at the exhibition which I am both proud and excited about. It shows that any has the possibility to change our society a little bit and it encourages people to take the next step into making it real.

Sushirullen already conquered Stockholm – what’s next?

Sushirullen already conquered Stockholm – what’s next?

Johan and Margareta Falk are the two driven entrepreneurs behind the first and only fast food sushi in northern Europe – Sushirullen. 

Everything began with Johan traveling in Australia where he discovered this different but delicious sushi roll which he loved so much that he actually began to eat it every day! When Johan later came back to Stockholm, he met Margareta who also happened to love sushi and they both shared dreams of one day opening their own business. Together they decided to introduce the new sushi roll concept to Stockholm and show the swedes what they’ve been missing out on.

On FundedByMe, they decided to go with loan crowdfunding, but why? – They wanted to expand the franchise but still keep the company strong and intact – as well as they could grow the company together with customers and fans. That turned out to be a superb choice and Sushirullen successfully closed their campaign on May 28, 2015, with 29 lenders and raising over 10,000 EUR!

Sushirullen has now taken Stockholm by storm and operates successfully on three different locations – not only keeping their customers stomachs satisfied but also their wallet, since one sushi roll only costs between 25 and 30 SEK. The next step for Sushirullen is to be everywhere – they want to keep expanding to new cities, become a heavy-weight in the market and take over Swedish heathy fast food industry.

In the future, they are also considering a new equity round on FundedByMe, so keep an eye open on Sushirullen and their future plans on taking their growth to a complete new level!

Watch their testimonial here: https://www.youtube.com/watch?v=i6pgF9XC–A

More info about Sushirullen: www.sushirullen.se

How NOA Crushed the Record in European Crowdfunding

How NOA Crushed the Record in European Crowdfunding

One thing is for sure and that is that NOA Relaxation – a company specialized in beverages who reduces stress and increases focus –  is not like every other company around.

Within just 3 minutes, NOA raised its first 1 million SEK (ca. 106 000 EUR)  and managed to successfully close the campaign on FundedByMe after only 4 days, ending up with more than 9 million SEK! But how did they do it?

It all started in October 2013 with founder Noa Fridmark coming up with an idea and seeing a gap in the market. By creating a natural beverage, inspired by Swedish nature, he wanted to bring focus and harmony into our otherwise so stressful and hectic city lives. Before the campaign went live on FundedByMe, NOA spoke with tons of investors, with the purpose to gain new followers and create interest, so that the campaign could go live under the best circumstances possible. Part of NOA’s early success story was winning “Best Premium Beverage” at the WBIA (World Beverage Innovation Awards) in 2014 – widely considered as the most prestigious beverage awards show in the world. That paved the way for eventually becoming one of the most spectacular campaigns so far on FundedByMe!

Noapic2
Noa Fridmark after winning at WBIA

They also made sure to represent the company at relevant events and created crucial PR by gaining positive attention in different media, both before and during the actual launch of the campaign. By establishing early awareness of NOA’s brand and telling people when and how the campaign was going live, all entrepreneurs and investors got the right information at the right time and everything they needed in order to support the campaign.

And you have to admit that the outcome became pretty good (to say the least) – the company’s initial goal was raising 5.2 million SEK in 45 days. It turned out they didn’t need more than 4 days to close it, raising more funds in 12 hours than any Nordic equity campaign ever have done before. On the third day, reaching 9.3 million SEK and with almost up to 200 investors, NOA successfully closed their exceptional funding round!

So, what is next for NOA? Once a promising start-up, the goal is now to become a multinational company in a class of it’s own. “Right now we have the worlds attention and it has only been 15 months since the first thoughts materialised, since then we have definitely broken a few speed records and have constantly surpassed our goals.” Noa Fridmark said.

Interested in running your own campaign on FundedByMe? Or need tips on how to prepare your company for the ride to come? Watch this 2-minute video from Noa himself on how to make your company into a success story.