What is equity crowdfunding?
When you invest in equity you buy a percentage or share of a business in the hope that the value of that company will increase over time. Hopefully the business you have backed goes on to make an ‘exit’ at a higher value than when you invested, and you will get a return on your investment and make a profit. Please be aware, investments of this nature carry risks to your capital.
Why is The Ethical Butcher crowdfunding?
The simple answer is that we have grown quickly and an injection of funds will allow us to continue this growth, we're already growing out of our current operations space.
The primary use of our funds will be to facilitate our move to a bigger purpose built unit with more fridge space and a larger packing area offering more suitable loading and unloading bays. Our new unit will also host our admin offices as well as a space to be able to film and photograph content for our ever evolving website and social channels.
We would also be looking to hire for a few positions such as a CFO and junior admin roles as well as another pair of hands on the cutting floor to prepare orders.
Any excess funds will be used as working capital and marketing budget.
How do I invest?
First of all you’ll need to pre-register here so that you’ll get access to our campaign before it goes public. Once our investment raise begins, you’ll need to register as a Crowdcube member and then simply click ‘Invest Now’ on our pitch page. You can invest from as little as £10 (although you will be prompted to make your investment in an exact multiple of the share price) to help fuel our growth.
Who can invest?
To invest in The Ethical Butcher with Crowdcube you must be over 18 years old and legally entitled to invest. You’ll also need to be a resident of the UK or a country where you may legally receive financial promotions of the nature provided.
Unfortunately Crowdcube can’t advertise investment opportunities to those living in the United States, Canada, Japan or any other country where it would be unlawful for our pitches to be advertised. Please don’t register with us if you are a resident of these countries.
When creating your Crowdcube account, please make sure you create it in your own name, as they can’t accept joint investments. You’ll also be asked to choose an investor type (such as everyday, professional, etc) and complete a quick questionnaire. This quiz is to ensure you understand the high risk nature of investing in startups and early stage businesses. If you receive independent advice you aren’t required to fill out the questionnaire.
Funding target (remove below section)
When will the campaign go live?
We’re planning to launch our campaign very soon, but the best way to get access to the campaign before it goes live to the public is by pre-registering your interest in the campaign. We’ll let you know when you’re able to invest.
Will customers be able to invest?
Yes! Customers are welcome to invest and those who pre-register their intent to invest now will have access to the exclusive private phase of our investment raise.
Who else has invested in The Ethical Butcher?
So far The Ethical Butcher has been funded by personal investment from the founders and a number of other private individuals. We also have over 200 existing investors from our 2019 crowdfunding round so you’ll be in great company.
What is Crowdcube?
Crowdcube is one of the leading equity crowdfunding platforms across the UK and Europe. You can find out more about Crowdcube and sign up for an account here.
How do I make a return on my investment?
One way you can make money from your investment is by selling your share for more than you paid for it. At Crowdcube there isn’t an active secondary market for equity investments, so you won’t be able to sell your share straight away. Hopefully, the business will grow to a point where it floats on a stock market, is bought by a larger company, or the company management buy back equity from investors. At that point, you are more likely to be able to sell your shares. Alternatively, some companies may become profitable and able to pay dividends.
How much can I invest?
You can invest anything from as little as £10.
What about rewards?
We’re excited to have some amazing rewards for our investors as part of this raise. You’ll be able to view these on Crowdcube once the campaign is live.
How has Coronavirus affected The Ethical Butcher?
Revenue in our online business increased dramatically within the first two weeks of lockdown and maintained excellent traction during the first two months of the pandemic. Our core messaging of ethics, sustainability and nutrition supported by our excellent delivery and customer service resonated with an audience let down by established suppliers. Revenue continues to be steady and stable.
What about Brexit? What impact will that have on The Ethical Butcher?
Brexit is happening and in the now likely event of a no deal we will lose a lot of our protection. It is imperative that British farmers are able to produce high quality food for a dometic market and that we are able to get this high quality produce to the whole country.
Will this investment be eligible for EIS tax relief?
Yes! The Enterprise Investment Scheme (EIS) and Seed Enterprise Investment Scheme (SEIS) are UK government schemes designed to help smaller higher-risk trading companies raise finance, by offering a range of tax relief to investors who purchase new shares in those companies. Where a business is listed as 'EIS' or 'SEIS' on Crowdcube, this tax relief will be available to qualifying investors.
I have more questions, who can I ask?
To be the first to hear when our campaign is live to our private investors, pre-register now. If you have any further questions or would like to have a chat with our Founders, contact us at email@example.com.