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Post by Deleted on Nov 23, 2016 16:36:45 GMT
And our second loan that starts with over 100% already loaned. Now call me "mister sceptic" but I know good marketing BS when I see it. If I propose to sell 20% of my equity for £2m and I turn up with £2m already loaned it is tantamount to saying "look look over there, everyone should buy this because everyone wants it". And they are looking for sophisticated investors....tick tick.... Anyway I asked them what the prime differences were between this deal and Nalia of a couple of months ago and the answer was straight out of "Selling 101", don't answer the question just tell them what you already told them, again. Needless to say, I shall watch this "marketing" from about a barge pole away.  |
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Steerpike
Member of DD Central
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Post by Steerpike on Nov 23, 2016 16:54:09 GMT
Yes, I decided that this looked very similar to Nalia, in which I made a small investment, and I wondered how many more companies there are apparently trying to solve the same or similar problem.
Actually, I find that this is the main problem for me, determining the quantity and quality of the competition. One can read the pitch, assess the calibre of the personnel, inspect the business plan, and make a judgement about the prospects and potential exit, but all of that may be worth nothing if someone else is slightly better and/or slightly quicker to market.
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Post by wiseclerk on Nov 23, 2016 17:29:56 GMT
Actually, I find that this is the main problem for me, determining the quantity and quality of the competition. One can read the pitch, assess the calibre of the personnel, inspect the business plan, and make a judgement about the prospects and potential exit, but all of that may be worth nothing if someone else is slightly better and/or slightly quicker to market. Yes precisely. While I am not using SR, on most other crowdfunding platforms I concentrate on an area, I think I know well - fintech. I feel that knowing the market helps me gauge the chances of the new entrant against the existing competition - hopefully I won't find out that I am wrong on that. Consequently by volume 89% of my investment in Seedrs pitches is in Finance sector. I do invest really small amounts in other pitches, but I see those as an equivalent to buying a cinema ticket - pure entertainment and curiosity how the story evolves.
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bigfoot12
Member of DD Central
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Post by bigfoot12 on Nov 23, 2016 17:44:09 GMT
Yes, I decided that this looked very similar to Nalia, in which I made a small investment, and I wondered how many more companies there are apparently trying to solve the same or similar problem. I agree it is very hard to know without knowing a lot about an industry, or putting a lot of time in. A friend of mine does a lot of research before he invests into these sorts of companies, searching out possible competitors and speaking to likely customers (not their actual customers). The problem for me too is that all many of the pitches are very convincing - they are going to cure something and be worth £1bn+ in five years. I've recently narrowed my net and I only mainly invest in things that I might know more than the average investor. Ironically, I noticed that I didn't invest in things which I did know about because I could see the problems. Since then I have a large notice on my spreadsheet reminding me. And our second loan that starts with over 100% already loaned. Now call me "mister sceptic" but I know good marketing BS when I see it. If I propose to sell 20% of my equity for £2m and I turn up with £2m already loaned it is tantamount to saying "look look over there, everyone should buy this because everyone wants it". I'm not sure that this is quite fair. Even deals with nothing to do with SR often have a minimum and a maximum and it isn't surprising that some companies might find themselves in between those. I think that there are some things wrong with some of the proposals on SR, but I don't think that this is one of them. (Of course I might be talking my book as I did invest in a 'lift' round!) Edit: Crossed with wiseclerk Edit2: BTW I don't regret my early purchases, and in fact one of the failures is the closest to my area than any of the early possible success. And it all has been experience, but perhaps at a price.
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Post by Deleted on Nov 23, 2016 17:59:12 GMT
Probably not fair, but I dislike being manipulated and somewhere in a cupboard I have a certificate as a Fellow of the Institute of Sales and Marketing or some such folderol and I recognise when the large shaft thing is coming my way |
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