Spinifex Brewing Co - Equity Crowdfunding Campaign

Frequently Asked Questions

  • What is equity crowdfunding?

  • Equity crowdfunding is a process where a business allows individual investors to become co-owners in the company. There are usually hundreds of small investors who each contribute anywhere from $100 to $10,000. Investors are buying shares in the company, like on the ASX, meaning they own part of the business. The main difference is that shares are not easily tradable like on an exchange, so returns can come through an acquisition, dividends or an eventual IPO, like in venture capital.

  • Why is Spinifex fundraising?

  • Spinifex is looking to raise money to grow its business. We have seen phenomenal growth in the journey to date and now want to build our brewing capacity to have more control over supply, as well as roll out into retail and wholesale sale channels. Growth is focused both in Australia and internationally. We chose to use equity crowdfunding because we want to allow our customers and supporters to become owners in the business and share in our success. Spinifex is looking to raise up to $2.0m to:.

  • Build the 24HL (2.4m litre annual capacity) Spinifex Production Brewery within the WA Food Innovations Precinct.

  • Build the Spinifex Ale House in North Beach, as well as other retail and wholesale sales channels

  • Export into target markets (starting with Peru, Sweden, Singapore and Germany)

  • What’s in it for me?

  • If you invest in Spinifex, you will become a part owner of the company. This means if the company does well, your stake could be worth more. If we have a liquidity event, such as being bought by a larger company, listing on the ASX or buying back shares, you could make a relatively high return on your investment. We will also offer investors exclusive rewards based on their investment amount, more information is provided below.

  • How do you make money from these deals?

  • As the shares aren’t listed on a stock exchange, your investment is considered illiquid. While you can’t trade your shares, there are a few ways you can make a return. These include the brewery being bought out by a larger company, a buyback where we buy back your shares, if we pay a dividend or if we list on the ASX. Generally it’s a long-term investment but the returns should reflect the extra risk. This is however a risky investment and you should only invest what you can afford to lose, there are no guarantees of a return, even if we do well as a company.

  • Does investing cost anything?

  • We pay Equitise a fee for the raise, but there is no fee to investors to invest. It’s free and you can invest from just $250.

  • How much do I need to invest?

  • You can invest from as little as $250 in this raise, and as a retail investor you can invest up to $10,000. If you qualify as a Wholesale/Sophisticated Investor you can invest more than $10,000. There are no fees to invest for any investors.

  • How can I invest more than $10,000?

  • You will need to qualify as a Wholesale/Sophisticated Investor and provide Equitise with proof of this. There are instructions in the profile section where you can upload a certificate from your accountant or other proof if you are Wholesale. You can provide an existing recent certificate, if less than 18 months old, if you already have one handy.

  • Is this risky?

  • Investing comes with risks, and equity crowdfunding is no different. There is a risk that companies will cease operations and your investment will be lost. It is important for you to analyse your risk appetite and tailor your investments to that. Equitise recommends only investing what you can afford to lose. As your investment is illiquid it may be hard to sell and even if the company does well you might not necessarily get a return.

  • When will I be able to invest

  • Currently you can register your expression of interest on Equitise’s website. We will keep you updated on the progress of the raise and send you an email when the investment is open for exclusive early access. This means you won’t miss out if we hit our maximum target early.

  • Who are Equitise?

  • Equitise is a leading investment platform connecting investors with exciting startups and early stage businesses. They have a strong track record in beer, wine and spirits, including working with Batch Brewing, West Winds Gin and Stone & Wood.

[Consider the offer doc & risk warning before investing: http://equitise.com/warning-statement]