Equity Crowdfunding FAQ’s

Equity Crowdfunding FAQ’s

We’re so excited to announce that we’re officially launching our first ever Equity Crowdfunding Campaign

What started as a small stall at the Fremantle Markets in WA has transformed into a national health and wellness company with an amazing customer base (you!). 

Now, we’re on a mission to share the medicinal properties of Australian bushfoods with the rest of the world.

That’s why we’ve decided to invite our customers to become a part-owner of our growing company! 

We know that Equity Crowdfunding can be complicated to wrap your head around, so we’ve summarised the most important parts for you:

 

What is Equity Crowdfunding?

Equity Crowdfunding allows you to invest in the brands that you love and become a part-owner.

 

What is Birchal?

Birchal is one of the biggest licensed Equity Crowdfunding platforms in Australia. It supports growing Australian businesses and connects them to potential investors (like you) all while facilitating the process.

 

How Does Equity Crowdfunding work?

An Equity Crowdfunding campaign is made up of two stages: Expression of Interest (EOI) and Share Offer.

 

Stage One: Expression of Interest | 15th of March-4th of April

Expression of Interest allows you to get early access to our offer before the public. There is no financial commitment at this stage — it just lets us know that you’re interested.

If you haven’t completed your Expression of Interest yet, you can do so here. This will give you access to need-to-know information about us, our financial statements, investor perks and more.

How do I invest?

 

Stage Two: Share Offer | 5th of April – 26th of April

Our Share Offer is when you can officially purchase shares! You’ll receive two important documents: our Offer Document and our Company Constitution. These documents contain all the information you need to know to make an educated investment decision.

After you review this information, you have the ability to purchase Roogenic shares and become a part-owner.

 

What Will The Funding Go Towards?

Our mission is to bring Australian bushfoods to the international market. Capital raised will go towards:

  • Creating and releasing new innovative products
  • Partnering with new Indigenous growers
  • Partnering with international distributors to take our products global

What Do I Get If I Invest In Roogenic?

You’ll receive shares in our company, making you a part-owner.

 

How Much Do I Need To Invest In Roogenic?

You can become a part-owner of this rapidly growing company for as little as $250! 

 

Where Can I Find The General Risk Warning?

Always consider the general CSF risk warning and offer document before investing. The full offer document will be available just prior to the offer campaign which is set to open on 5th of April 2022. Express your interest to invest in Roogenic, and you can request to see the offer document prior to the public release date.

 

Where does my money go?

During our Offer Campaign (where you can invest), Birchal holds all investor funds in a trust account until our capital raise is successful and passes the closing date.

From there, your shares will be issued, and Birchal will transfer the money to us to use in our future business plans which are outlined in the Offer Document.

 

How does Return on Investment (ROI) work with equity crowdfunding?

An Equity Crowdfunding investment is like planting a Eucalyptus tree in that it’s a medium-term to long-term commitment.

Shares in the companies who raise through Birchal cannot be easily transferred or sold as they are not traded through public exchanges (i.e. the ASX). Due to this, your shares are generally considered to be 'illiquid' so you may not be able to sell your shares quickly if you need the money or decide that this investment is not right for you.  

However, there are numerous possible circumstances that may create an opportunity for you to "exit" your investment (i.e. sell your shares) or otherwise receive returns. Such as:

  • a trade sale of the company to another company
  • the company proceeds with an Initial Public Offering (IPO) and listing on a registered stock exchange (e.g. the ASX)
  • the company organises a buyback of the shares
  • a private sale of your shares to another person
  • the company pays shareholder dividends. 

The options available to shareholders will be mentioned in our company Offer Document at the time of investment, but we can’t guarantee that any of the above options will occur. Our hope is that our company value will have increased in the event of an ‘exit’, so when that time comes hopefully your shares will have gone up in value!

 

Boring (but important):

You may lose your entire investment, and you should be in a position to bear this risk without undue hardship. Even if the company is successful, the value of your investment and any return on the investment could be reduced if the company issues more shares. Ask questions, read all information given carefully, and seek independent financial advice before committing yourself to any investment.

 

What entity can I invest under?

You can invest as an individual, trust or company (including SMSF)

 

What rules and legislation governs equity crowdfunding?Crowdsourced Equity Funding (also known as Equity Crowdfunding) is governed by legislation that is covered by ASIC (RG 261) and can only be facilitated through licensed intermediaries (ie. birchal.com).

 

Are there tax implications with an equity crowdfunding investment? What about if I want to invest from a country outside Australia?The normal rules apply to your investment in a company via CSF when it comes to tax-time, and we recommend investors consult with an accountant depending on their unique circumstances. If the company on Birchal offering the shares is an E.S.I.C (early stage innovation company), there may be tax incentives for you as an investor. Find out more here. 

Investing from outside Australia? Read this first


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