How to invest in the Impact Startup AgUnity via Equity Crowdfund in Australia
Updated: Oct 31, 2019
As we start to grow the business, we looked into various ways to raise capital to expand our operations. Undertaking an equity crowdfunding campaign with Equitise allows us to grow our business in a way that is in line with our mission, bringing on investors who care about the impact of our mission in line with the United Nations Sustainable Development Goals.
Alongside our crowdfunding campaign, we are working with institutional investors who are bringing experience and value to the long term future of the company.
Here are 7 important things you need to know if you are interested in investing in our impact startup AgUnity via our Equity crowdfunding in Australia:
1. Who can invest?
A. Australian retail investors: only Australian residents over the age of 18 years (retail investors) can invest. Retail investors can invest up to $10,000 in a company per year. .
B. Accredited Investors Worldwide
C. Investors from around the world are welcome to invest however you must be an accredited investor, which is usually based on your income or net wealth. The definition of an accredited investor is different in each country. You should consult with your own financial or legal advisers whether you are an accredited investor and therefore able to invest. Accredited investors are not limited in what they can invest. For Australia that includes owning either more than $2.5M net assets or earning over $250,000 AUD per annum for the last two years.
2. Do my shares have voting rights?
Each transaction through the Equitise platform is an investment in shares of AgUnity. As a result, investors will receive ordinary shares upon completion of the capital raise. This means you typically have the same rights including voting rights as other investors in the business.
3. What sort of return can be expected in the investment?
Receiving a return can occur in a number of ways.
You will receive a return on your investment if AgUnity pays a dividend in the future.
Shareholders will also receive a return if they sell their shares at a higher price than their purchase price. There are a number of ways shareholders may be able to sell their shares:
Firstly, as shares in an unlisted company, you can sell your shares if you find a buyer, however there is no official secondary market.
Secondly, if the company conducts an IPO, you will be able to sell your shares on a secondary market, such as the ASX.
Thirdly, if AgUnity is acquired, there may be an option to sell your shares.
Like any investment, it is impossible to say what the expected return will be. However, the company is on a strong growth trajectory with a supply-side project pipeline ready to roll out for more than 1 million farmers (demand-side). The capital raised through this equity crowdfunding will go towards:
Continue to develop our v3 Application, Axsari OS, management dashboard and third-party integrations; which will enable the fast onboarding of many more partners into our platform.
Support business development activities to secure new partners in target markets;
Support increased operational activity due to expansion of current partner base and farmers;
Pursue further IP protection for current assets;
Undertake Research & Development activities including Internet of Things (IoT) testing and tracking in pilot locations.
4. May I invest multiple times?
Yes, but only up to $10,000 for Australian retail investors. Sophisticated investors (owning either more than $2.5M net assets or earning over $250,000 AUD per annum for the last two years) either from Australia or overseas can invest up to the maximum remaining cap of the fundraising round.
5. Does it cost to invest? How do I invest?
Investing is free and takes only a few minutes.
The first step is to create an account on Equitise and click on the link in the email you will receive to verify your email address.
You will then need to electronically verify your identity through the Equitise platform. This can be done online using various sources of identification.
Lastly, you’ll need to revisit the offer page, and then click invest!
Equitise has a video on their resource centre outlining this process.
6. Is Equitise and equity crowdfunding regulated?
Yes, Equitise is licensed and regulated by ASIC.
The offer document contains important information about the Offer, the industry AgUnity operates in as well as the financial performance and position, operations, and management team. The risks associated with investing in AgUnity are detailed within the offer document which we encourage you to read carefully before making an investment decision.
7. What are the risks involved in investing?
Buying shares in any company puts you at risk of potentially losing your investment if the company fails or underperforms. However, if a company performs well its shares might increase in value and investors may be able to sell their shares for a profit, or receive dividends.
Investing in unlisted companies can generate higher returns to compensate investors for the additional risk associated with being an early investor. Therefore, please only invest what you can afford to lose.
— — — — — — — — — — — — -
AgUnity Pty. Ltd is conducting a Crowd-Sourced Funding (CSF) on the Equitise (https://www.agunity.com/invest) platform. This document is not intended to, and does not, constitute an offer or invitation of securities in any place outside Australia where it would not be lawful to make such an offer or invitation. It is the responsibility of the Investor to ensure compliance with all laws of any country outside Australia relevant to any investment in the Company. The distribution of this document outside Australia may be restricted by law and any person who comes into possession of this document outside Australia should seek advice on and observe any such restrictions. The failure to comply with such restrictions may constitute a violation of securities law in those jurisdictions.
Like any investment, Crowd-Sourced Funding (CSF) is risky. Investors may lose their money and the business may not achieve its objectives. You should consider the CSF offer document and the general CSF risk warning (https://equitise.com/warning-statement-au) contained in the offer document in deciding whether to apply under the offer.