Cofundit - Basics Investors Jan 2011 (Crowdfunding)

Cofundit - Basics Investors Jan 2011 (Crowdfunding)

• 1.
  Funding. Crowd. Trust.SME. Loan. Transparent. Reputation. Invest. Entrepreneur. Expertise. Cofundit. Enabling broad access to private investments Loan-based Investiments in non-quoted Growth Companies Funding Growth Together Cofundit Sarl
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  Legal Disclaimer Cofundit isa Swiss company which offers an online networking platform on www.cofundit.com and also organizes investment events, where small and medium sized businesses can seek opportunities to finance their growth, consultants can showcase their expertise and individuals can optimize their portfolio of investments by participating in possible new investments alongside an indeterminate number of non-related co-investors ("Crowd Funding"). Cofundit acts as financial consultant to facilitate the financing of companies registered in Switzerland through investors from Switzerland and abroad. Cofundit has been confirmed by the Swiss Financial Market Supervisory Authority (FINMA) to be a non-regulated company. The Borrower undertakes to provide all items of information and documentation on its business, the Investment Opportunity and the Borrower itself, to its best knowledge, in complete, correct and final form, giving a true and fair view thereof in all relevant aspects. The Borrower guarantees, that such information and documentation does not and will not contain any untrue, incomplete or misleading statement of any relevant fact at the time such information or documentation was provided. With the exception of claims for gross negligence or unlawful intent, Cofundit and Cofundit’s contracting parties are released and discharged (all as direct beneficiaries hereof with a right to claim of their own) from any and all claims the Borrower may have against any and all of them in connection with the promotion of the Investment Opportunity on www.cofundit.com or at special Investment Events of Cofundit or the assessment of the Investment Opportunity by independent, third party consultants, including, with no limitation, any claims for losses of profits or consequential damages under or in connection therewith. 2 Funding Growth Together Copyright Cofundit Sarl
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  Agenda • SME financing • Investing in non-quoted companies • What is Crowd Funding? • The Cofundit Process • Bridge Financing instrument: Debt • Successful Funding, Faction Skis • Engaging with the Cofundit Community • Wrap-up / Questions / contact 3 Copyright Cofundit Sarl Funding Growth Together
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  SME face challengesto fund growth • Established SME rely on own cash flow to support • Growth SME’s do not fit traditional credit approval concepts • Insufficient funding puts limits on business development pace • SME under pressure to obtain financing from other sources SMEs are in need of Bridge Financing alternative 4 Copyright Cofundit Sarl Funding Growth Together
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  Limited access todirect investments in companies • Bonds • Equities / commodities • Structured products • Investment funds • Pension funds • Real estate Access to direct investments in non-quoted companies is usually reserved to High Net Worth Individuals 5 Copyright Cofundit Sarl Funding Growth Together
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  Cofundit enables directprivate investments Traditionally Banks / financial intermediaries Individual Enterprise Investor(s) seeking growth Disintermediation capital Cofundit Direct Investments 6 Copyright Cofundit Sarl Funding Growth Together
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  What is Crowdfunding? Funding need of one party Sourced from many Usually through the internet Mostly to support social / creative / political / startup projects Cofundit‘s aim is to broaden the reach of Crowdfunding, to support established SME‘s growth 7 Funding Growth Together Copyright Cofundit Sarl
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  How does theScreening and review work? Investment policy fit Detailed Business review Management Meeting / Face-to-face 1 week Basic background check Crowd Understand business model 2-4 weeks Like / Qualitative assessment Want to know more Quantitative Assessment Experts Financial viability 3-4 weeks Key Performance Indicators Industry trend / environment 8 Funding Growth Together Copyright Cofundit Sarl
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  How does thefunding phase work? Pays Pays CHF 600 5% sign-up success fee 9 Funding Growth Together Copyright Cofundit Sarl
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  Cofundit debt financinginstrument Borrower Profile Bridge Financing Debt facility • Swiss Based company • Private loan • Small Medium Entreprise • CHF 200k to 1mio • Successful Proof Of Concept • Term of 6 to 36 months • No Technology risk • Unsecured debt • Growth stage • All terms excl. Interest rate set by • Revenue Generating Entrepreneur • Interest rate defined by investors Optional Convertible option can be agreed 10 Funding Growth Together Copyright Cofundit Sarl
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  Cofundit Funding Case- Working Capital Bridge Loan Company Faction Skis, Verbier Industry Branded Skis Fund raising outcome Founded 2006 Funded amount CHF 170‘000 Term 6 months Track Record Repayment Bullet loan 1‘200 pair of skis sold in 2009/2010 Sold in 13 countries Interest rate 10 to 15% Doubling revenues every year Funding tranches CHF 10‘000 to 50‘000 „Cofundit helped us raising a bridge loan in 4 weeks - to secure product shipments for the 2010/2011 season. We will continue to work with Cofundit in the future“ Alex Hoye, Chairman, Faction Skis 11 Copyright Cofundit Sarl Funding Growth Together
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  Cofundit in 2010and beyond First Cofundit Swiss Regulatory Clearance First Fund Raising Live Event Closed Cofundit.com Moves to PSE Launched New Business Lausanne Office Developer Cofundit in the Press Mar May June July Oct Nov 2010 12 Funding Growth Together Copyright Cofundit Sarl
• 13.
  Join the CofunditCommunity Cofundit Internet Platform Cofundit Live Events • Funding request overview • 3 Events each month • Discussion forum • Meet fundraising entrepreneurs • Automated dealflow notifications • Meet other Cofundit members, fellow • Investor dashboard tracking investors Cofundit Investor Webcast Cofundit Magazine • Weekly • Quarterly Issue • 1-2 Companies pitching • Review transactions • Q&A • Crowd funding Topics • Investor Knowledge • Investor Views • Cofundit Partners 13 Copyright Cofundit Sarl Funding Growth Together
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  Cofundit Member Benefits Non-Member Member Entrepreneur Investor Expert Public data access Posting funding request Voting / Forum Private Messaging Free Magazine subscription Newsletter Confidential data access Invest Expert review Free Free EUR 100 / year Free 14 Copyright Cofundit Sarl Funding Growth Together
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  Questions? 15 Copyright Cofundit Sarl 15 Funding Growth Together
• 16.
  Cofundit Contact Gerrit Sindermann Business Development Manager M: +41 76 5161637 T: +41 21 6938730 [email protected] Skype: gerritskype1313 Cofundit S.A.R.L Parc Scientifique EPFL PSE-C 1015 Lausanne Switzerland www.cofundit.com 16 Copyright Cofundit Sarl Funding Growth Together
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  Appendix 17 Copyright Cofundit Sarl 17 Funding Growth Together
• 18.
  Cofundit – A3-phased approach to fund business 01 Pre-Screening / Voting Cofundit (company stage, business model, revenue -generating, background 2-4 weeks check) Cofundit members (Appeal / attractiveness of funding proposal) Free Share 02 Review & Discussion 3-4 weeks Experts: Additional confidential information Webcast: company presentation / Q&A CHF 600 sign-up Meet the Entrepreneur – Live events Review 03 . Funding 2-4 weeks Investors commit share of total funding amount @ self-chosen interest rate Entrepreneur selects best financing offers 5% success fee Standardized loan contract signing / money wired Review 18 Funding Growth Together Copyright Cofundit Sarl
• 19.
  Cofundit in thePress 19 Copyright Cofundit Sarl Funding Growth Together