1. “HELPING YOUR CLIENTS RAISE CAPITAL PAINLESSLY!”
Presented by:
Peter Towers, Managing Director, ESS BIZTOOLS

2. “Crowd Sourced Funding Equity Raising Scorecard”
Success!
$18.3M raised!
By 22 companies
These companies could have been your clients – if they are congratulations!
Helping Your Clients Raise Capital Painlessly

3. Overview of Some Capital Raising
(information from some Intermediaries’ websites)
Xinja Bank – 100% Digital Bank - $2.4M
Manrags – Premium socks and Underwear - $363,250
Choovie – Digital platform that matches moviegoers with empty seats - $294,500
The West Wind Gin – Australian Champion Gins - $932,000
Helping Your Clients Raise Capital Painlessly

4. Overview of Some Capital Raising
(information from some Intermediaries’ websites)
Memo Bottle – Flat water bottle designed to fit into your bag - $383,238
Bausele – Timekeeper luxury brands with Australian inspired crowns - $294,928
Plikan – Global currency App and pre paid Visa card that you can use anywhere - $248,930
Helping Your Clients Raise Capital Painlessly

5. Overview of Some Capital Raising
(information from some Intermediaries’ websites)
Orderup – Investment in a gaming brand - $361,394
Park – Leading soccer brand – balls, clothing - $316,035
Sash – An Australian take on modern Japanese fusion - $184,321
Greenfields Exploration Limited – Mining incubator and project initiator - $1.2M
Helping Your Clients Raise Capital Painlessly

6. Helping Your Clients Raise Capital Painlessly
B. Current Listings
Helping Your Clients Raise Capital Painlessly

7. Some of the Current Capital Raising
(Listed on some Intermediaries’ websites)
Endeavour Brewing Co – Craft beer manufacturing
DHF Surf – Surfboard design
Direct Injection Technologies – Technology to supplement livestock
Purahealth – Health supplements
Australian Boutique Spirits – Manufactures and markets Australian made spirits
Helping Your Clients Raise Capital Painlessly

8. Some of the Current Capital Raising
(Listed on some Intermediaries’ websites)
Mobiltech – Travel solutions
Edutech – Cloud enabled student tutoring
Medical Services Group – Multi venue medical services business
Industrial Tech – Patented safety device seeking capital after first sale
Helping Your Clients Raise Capital Painlessly

9. Some of the Current Capital Raising
(Listed on some Intermediaries’ websites)
Internet Gaming – Established company seeking funds to expand into new networks and markets
Black Hops Brewery – Craft Beer and Wine
HUTT – Tomorrows house today – delivering the future of zero carbon housing
Helping Your Clients Raise Capital Painlessly

10. Some of the Current Capital Raising
(Listed on some Intermediaries’ websites)
Dreamcity – An immersive theme park combining education with fun
Oscar Razor - Australian premier shave club
Your Mates – Craft beer and wine
Picaluna – Network of professional funeral planners and celebrants
Helping Your Clients Raise Capital Painlessly

11. This is Advisory Services!
Proactive service for your clients
Not a Tax Scheme!
Completely legal process that enables small and medium sized businesses to finance their businesses
Helping Your Clients Raise Capital Painlessly

12. This is Advisory Services (cont’d…)!
Biggest improvement for small and medium sized business financing for the last 35 years!
Helping Your Clients Raise Capital Painlessly

13. This is Advisory Services (cont’d…)!
If you are committed to being proactively involved in advising client/prospect on Crowd Sourced Funding:
Helping Your Clients Raise Capital Painlessly

14. This is Advisory Services (cont’d…)!
In 12 months time would you be happy with:
“Happy Accountancy/Advisory Firm?”
New “income streams” have been created for your firm
Happy Team Members?”
Accountants and team members involved in “new and interesting work”
Helping Your Clients Raise Capital Painlessly

15. This is Advisory Services (cont’d…)!
“Happy Clients?”
Supplying a service that will assist “some of your clients raise finance for their business”
Then please join us on this journey
We know that it won’t be for everyone – this is a great diversification opportunity for your firm
Helping Your Clients Raise Capital Painlessly

16. Embrace the Fourth Option
Don’t lose clients because you are not aware of the fourth option to raise business finance
Helping Your Clients Raise Capital Painlessly

17. Embrace the Fourth Option
Option 1 – Bank
Security required
Personal Guarantees
Monthly repayments
Post Royal Commission Requirements
Helping Your Clients Raise Capital Painlessly

18. Embrace the Fourth Option
Option 2 – Venture Capital
Reputation of being difficult to deal with
Strike tough deals
Normally larger amounts of capital
Your client might not be ready for this type of scrutiny
Helping Your Clients Raise Capital Painlessly

19. Embrace the Fourth Option
Option 3 – Raising Capital under s708
Limited to 20 investors per annum
$2M per annum upper limit
50 shareholder limit can be a problem
Helping Your Clients Raise Capital Painlessly

20. Embrace the Fourth Option
And now Option 4 – Crowd Sourced Funding Equity Raising
Small proprietary company/small public company
Can raise up to $5M in 12 months
Can repeat in following years
No need for an auditor until $3M raised
Helping Your Clients Raise Capital Painlessly

21. Embrace the Fourth Option
Retail investor limit $10,000 per annum
Ordinary shares
No interest payments
No security offered
But, must have a good story!
Helping Your Clients Raise Capital Painlessly

22. Great Opportunity for Accountants
Companies annual turnover must be lower than $25m
Most companies will be clients of small to medium-sized accountancy firms
Helping Your Clients Raise Capital Painlessly

23. Great Opportunity for Accountants (cont’d….)
Great opportunity for your firm to offer a proactive Crowd Sourced Funding Equity Raising Service
Opportunity to grow with your clients!
Helping Your Clients Raise Capital Painlessly

24. Accountants Have a Definite Role in the Crowd-Sourced Funding Journey
Crowd Sourced Funding Eligibility Matrix (BAS5004)
Helping Your Clients Raise Capital Painlessly

25. Accountants Have a Definite Role in the Crowd-Sourced Funding Journey
Compliance with the Legal Requirements
Group turnover under $25M
Group Gross Assets under $25M
No member listed on a stock exchange
No member on a financial market
Money raised not being used for a credit facility
Helping Your Clients Raise Capital Painlessly

26. Accountants Have a Definite Role in the Crowd-Sourced Funding Journey
B. Don’t worry about:
Age of the company
Type of Business/industry
Helping Your Clients Raise Capital Painlessly

27. Accountants Have a Definite Role in the Crowd-Sourced Funding Journey
C. 10 Key Characteristics:
A company wanting to “scale up”
Fast growing ambitious company
Wanting to expand
Wanting to acquire
CEO with a “big audacious idea”
Exciting vision
Loans to be repaid
Helping Your Clients Raise Capital Painlessly

28. Accountants Have a Definite Role in the Crowd-Sourced Funding Journey
C. 10 Key Characteristics:
“Bank of Mum and Dad Loans”
Succession problem
Does not qualify as an Early Stage Innovation Company (ESIC)
Helping Your Clients Raise Capital Painlessly

29. Accountants Have a Definite Role in the Crowd-Sourced Funding Journey
Be proactive – don’t wait for your client to contact you!
Invite these clients to a seminar/webinar to brief them on Crowd Sourced Funding Equity Raising (seminar material included in ESS BIZTOOLS’ product package)
Helping Your Clients Raise Capital Painlessly

30. Accountants Have a Definite Role in the Crowd-Sourced Funding Journey
Meet with clients who are interested and submit proposal to advise on:
Crowd Sourced Funding Equity Raising operations
Eligibility
Crowd Sourced Funding Intermediary’s role, duties, responsibilities and powers
Overview of Crowd Sourced Funding Offer Document
Listing on Intermediary’s website
Helping Your Clients Raise Capital Painlessly

31. Accountants Have a Definite Role in the Crowd-Sourced Funding Journey
Indicative fee for this segment of the service $1,000 - $10,000 plus GST (full package included in ESS BIZTOOLS’ Product Package)
Helping Your Clients Raise Capital Painlessly

32. Client Wants to Proceed
In conjunction with client directors and senior managers prepare a Business Plan or a summary of the company:
Industry
Products/services
Customers
Team
Helping Your Clients Raise Capital Painlessly

33. Client Wants to Proceed (cont’d…)
Directors
Location
Website
Intellectual Property
Unique competitive advantage
Current financial position
Helping Your Clients Raise Capital Painlessly

34. Client Wants to Proceeed (cont’d…)
Arrange meeting/telephone call for client with a number of Intermediaries
Discuss services that the Intermediary would provide
Discuss fees to be charged by the Intermediary
Helping Your Clients Raise Capital Painlessly

35. Client Wants to Proceeed (cont’d…)
The legislation does not specify fees payable
The agreed fee can be:
Cash
Shares
A combination of cash/shares
Helping Your Clients Raise Capital Painlessly

36. Client Wants to Proceeed (cont’d…)
The agreed fee must be disclosed in the Crowd Sourced Funding Offer Document and on the Intermediary’s website
Determine what upfront payments will be required
Helping Your Clients Raise Capital Painlessly

37. Costs Could Include: On-boarding fees: $5,000 - $10,000
Production of a company video: $4,000 - $5,000
Design fees: $1,000 - $2,000
Fees charged by Intermediaries seem to range from 4% to 8% of capital raised
Helping Your Clients Raise Capital Painlessly

38. Discussions with Intermediaries
Discuss information that the Intermediary believes should be included within the Crowd Sourced Funding Offer Document
Helping Your Clients Raise Capital Painlessly

39. Comments from some Intermediaries
Individual Intermediaries appear to have 20,000 to 30,000 potential investors
Helping Your Clients Raise Capital Painlessly

40. Comments from some Intermediaries (cont’d…)
Some of the Intermediaries have expressed a preference for companies to have some “pre-seed funding” before proceeding with Crowd Sourced Funding Equity Raising. Pre-seed funding assists in the confirmation of a company’s value
Helping Your Clients Raise Capital Painlessly

41. Comments from some Intermediaries (cont’d…)
Some Intermediaries appear to prefer a “private launch” – for the first 30 days of the 90 day listing period in an attempt to attract investors from:
 Employees
Shareholders
Helping Your Clients Raise Capital Painlessly

42. Comments from some Intermediaries (cont’d…)
Customers
Suppliers
Family and friends of Shareholders and Senior Management
The benefit of a “private launch” is that it gives the company some external investors before going to the public
Helping Your Clients Raise Capital Painlessly

43. Crowd Sourced Funding Offer Document
Your accounting firm would normally coordinate the preparation of the Crowd Sourced Funding Offer Document (template and other supporting documentation included in ESS BIZTOOLS’ Product Package)
Helping Your Clients Raise Capital Painlessly

44. Crowd Sourced Funding Offer Document
Ensure that all documents are appropriately filed – these have to be kept for at least 6 years
Liaise with client and the Intermediary for the finalisation of the Crowd Sourced Funding Offer Document
Helping Your Clients Raise Capital Painlessly

45. Crowd Sourced Funding Offer Document
Submit final Crowd Sourced Funding Offer Document to the Intermediary for uploading to the Intermediary’s website
Helping Your Clients Raise Capital Painlessly

46. Communications
Intermediary must operate a communications facility for the listing period
Communications could include Intermediary authorised:
Videos
Webinars
In-house presentations
Helping Your Clients Raise Capital Painlessly

47. Intermediaries BillfoldaFinancial Services – Sydney www.billfolda.com
Equitise – Sydney and Auckland
Big Start Capital – Perth
Helping Your Clients Raise Capital Painlessly

48. Intermediaries (cont’d…)
Birchal Financial Service – Melbourne
On Market – Sydney
Enable Funding – Adelaide
Helping Your Clients Raise Capital Painlessly

49. Intermediaries (cont’d…)
Capital Labs – Sydney
AgCrowd – Sydney
Plus 5 other companies
Helping Your Clients Raise Capital Painlessly

50. In Summary
Crowd Sourced Funding is a great opportunity for some of your clients to go to the next level
Crowd Sourced Funding creates “new revenue stream opportunities” for proactive accountants
Helping Your Clients Raise Capital Painlessly

51. In Summary (cont’d…)
Your accounting team members will welcome the opportunity to undertake a range of interesting and varied work
Expected fee range for accounting services - $1,000 to $40,000
Helping Your Clients Raise Capital Painlessly

52. In Summary (cont’d…)
For more information please go to sourced funding/learn more
Helping Your Clients Raise Capital Painlessly

53. In Summary (cont’d…)
For the first webinar in the Crowd Sourced Funding Series – “Crowd Sourced Funding for Private Companies Presents Opportunities to Create New Income Streams” please go to
Helping Your Clients Raise Capital Painlessly

54. ESS BIZTOOLS
The Crowd Sourced Funding Equity Raising Product Package has been prepared to assist accountants to proactively advise clients on the Crowd Sourced Funding Equity Raising Journey
Helping Your Clients Raise Capital Painlessly

55. ESS BIZTOOLS
Subscription 12 months 24×7 per office normally $999 including GST
Special New Year 40% discount adjusted price $599 including GST
Special New Year price available to close of business 15 February 2019 OR
Helping Your Clients Raise Capital Painlessly

56. ESS BIZTOOLS
You could subscribe to the ESS BIZTOOLS’ Gold Package (which includes the Crowd Sourced Funding Equity Raising Product Package) normal price $2,970 including GST. Subscription 12 months 24×7 per office
Special New Year 40% discount adjusted price $1,782 including GST
Special New Year price available to close of business 15 February 2019
Helping Your Clients Raise Capital Painlessly

57. Subscribing
To subscribe please go to to take advantage of the “New Year Promotion” please enter the following code:
Crowd Sourced Funding Equity Raising – CSFC40
ESS BIZTOOLS’ Gold Package up front discounted package – GOLDY40
ESS BIZTOOLS’ Gold Package – monthly payments – GOLDM40
Helping Your Clients Raise Capital Painlessly

58. Questions?
Helping Your Clients Raise Capital Painlessly

59. Your Action Plan Interested In:
Creating “new income stream” for your accountancy business?
Offering your team the opportunity to work on interesting and varied work?
Offering a proactive service to your clients and prospects?
Helping Your Clients Raise Capital Painlessly

60. Your Action Plan We hope that your are! Next Steps:
Subscribe to ESS BIZTOOLS Crowd Sourced Funding Equity Package
Reserve your time for your complimentary 60 minute “Mentoring Session” on the Crowd Sourced Funding Equity Package
Helping Your Clients Raise Capital Painlessly

61. Your Action Plan
Complete the Client Matrix to identify clients/prospects who might be interested in hearing about the opportunities that Crowd Sourced Funding Equity Raising presents
Read the “Seminar Material” (included in the Product Package)
Plan the seminar/webinar to be presented to clients/prospects identified from the CSF Client Matrix (included in the Product Package)
Helping Your Clients Raise Capital Painlessly

62. Your Action Plan
Place promotional material on your website (included in the Product Package)
Edit and personalize the Media Release and send to your local media (included in the Product Package)
Contact your local media to offer to answer any questions
Helping Your Clients Raise Capital Painlessly

63. Your Action Plan
Follow up clients/prospects who attended the seminar/webinar – are they interested?
Prepare Proposal to clients/prospects who have indicated that they are interested in a CSF Proposal (included in the Product Package)
Helping Your Clients Raise Capital Painlessly

64. Your Action Plan
Utilise updated material that ESS BIZTOOLS sends to you”
“refresh” your website material on Crowd Sourced Funding Equity Raising
send newsletters to clients/prospects
Send occasional media releases to your local media
Helping Your Clients Raise Capital Painlessly

65. Thank You Thank you for participating in this webinar
We will send you:
An Executive Summary
Link to the Webinar Recording
Copy of PowerPoint slides
Helping Your Clients Raise Capital Painlessly

66. ESS BIZTOOLS - Contact/Questions
Peter Towers
(07) /
Helping Your Clients Raise Capital Painlessly

67. Happy New Year for 2019 from the team at ESS BIZTOOLS
Helping Your Clients Raise Capital Painlessly