Beer Cartel crowdfund raise hits $500K in under 48 hours
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Investors chase a share in Australia’s number one online craft beer retailer.
Beer Cartel’s crowdfunding campaign, which offers the public a share in the business, is off and running, with over $500,000 already raised in the space of just 48 hours. The campaign was launched privately on Tuesday and has been opened to public investment today. Building on the success from the first two days Beer Cartel is now looking to welcome more investors as it seeks to raise up to two million dollars in its equity raise through crowdfunding platform Birchal.
The crowdfunding campaign follows a successful 2020 where the business saw strong growth, including a 75% jump in online sales over the past 12 months. “What we’ve seen following the success of last year is huge interest in the raise and we’re truly excited to now open it up to the wider public” said Richard Kelsey, co-founder of Beer Cartel. “We had the second highest number of people register their interest in investing in the business that Birchal has ever seen. It’s very exciting seeing this translate into people investing in the business”.
Investing in Beer Cartel not only gets investors a shareholding in the company but also comes with a number of perks. “We had a think about what our customers love most and are rewarding those that do invest with benefits that include discounted rates, free shipping and credit towards buying beer. We want to make this an exciting investment that isn’t just about a shareholding in a business, but one where they are rewarded and where their feedback helps guide the future of Beer Cartel.”
Key stats from the raise to date:
- $540,00 raised inside 48 hours
- Minimum target of $250,000 achieved in 24 hours
- 400 new shareholders
- 2,500 expressions of interest registered prior to private launch of campaign
The crowdfunding campaign will be used to accelerate Beer Cartel’s growth into the future. “Over the last five years we have been growing approximately 25% year on year. While we’re really happy with this, there are a number of key projects that we’d love to undertake to accelerate this growth. That’s what these funds will really drive.” Key projects include refinements to Beer Cartel’s website, further building marketing capability, growing Beer Cartel’s beer subscription (Australia’s longest running), and developing a membership model to benefit existing customers.
“An investment through Beer Cartel’s crowdfunding campaign begins from as little as $100, equivalent to the cost of a couple of cases of beer. From there we’ve got different investment tiers to suit everyone’s budget. For us, as well as the investment, we’re really focused on bringing new shareholders into the business who share the same passion as us, wanting to support the growth of craft beer in Australia.” Richard said.
Listen to our conversation with Beer Cartel founders Richard Kelsey and Geoff Huens discussing the valuation of the business.