DC Brewpub seeking investors: 20% return

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bardobrewing

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ran a huge brewpub in the 90's but had to vacate when they demolished the building. Pulling the brewery out of storage and doing it again. Need 150K to finish buildout. 5K minimum. 1 yr payback. 10% interest + 10% beer tab. For more info go to: bardodc.com or contact [email protected]. Cheers!
 
Excuse me Sir, are you asking unknown internet people for 5k? What was the name of your previous brewpub? The last time I gave an interneter 5,000 dollars, I never heard back from him.
 
How about a Kickstarter or Indiegogo or something? Maybe a good backstory about who you are? And start it around $5 instead of $5k.
 
Send me your bank account information, and I'll wire the money when my bank opens this morning.
 
So you need 150K to "finish" buildout. That means buildout is underway. Let's be extremely conservative and say that it costs $300K to construct and furnish a brewpub in DC. For 5K, which is 3% of your remaining costs, and 1.67% of our extremely conservative estimate of total costs, you're going to give 10% of the returns?

What if 30 people give you 5K to make up that $150? Do they each get 10%?
 
JonM said:
So you need 150K to "finish" buildout. That means buildout is underway. Let's be extremely conservative and say that it costs $300K to construct and furnish a brewpub in DC. For 5K, which is 3% of your remaining costs, and 1.67% of our extremely conservative estimate of total costs, you're going to give 10% of the returns?

What if 30 people give you 5K to make up that $150? Do they each get 10%?
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The way it reads you would get 10% return on your investment not 10% of the net profits. An additional 10% to be used in bar tab. Basically $500.00 in profit and $500.00 beer tab for every 5K you invest.
 
Ah. That makes more sense. I read it as a 10% interest in the place, like in an ownership interest.
 
I don't know what the current laws are on general solicitation of investors, but it has been determined to be anywhere between sketchy and illegal in the past.

I'd probably alter the OP to avoid any future legal hassles, just point to the kickstarter or whatever. I'm not saying this dude is sketchy since I don't know him, just that this post isn't very appropriate here as an introduction and it might violate current SEC rules. (I'm not a lawyer, just a schlub that can google)

There's plenty of interesting beer beginning to flow in the DC area so this is a pretty hard sell to finance someone else's dream. $5k makes a lot of homebrew and the bar tab is free.
 
BudzAndSudz said:
That was literally the worst video I've ever seen on one of those fundraising websites. Good lord I was cringing the entire time at that kids horrible speaking skills.
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Where should we put the cue cards?
I dunno. How about four feet above the camera?
 
And how about we don't let him read it before hand, so he's sounding out the hard words as we go? And then if he messes up, screw it, just keep going. No need for second takes and editing here!
 
wow. I didn't watch the video before and now I wish I hadn't. So the 150k isn't for lease holding improvements, it's not for construction, it's not for grain or fermenters or serving tanks. It's for custom programming for some gimmicky self-service beer distribution system? That's what $150k is going to buy???

How about you pay me $50 and I'll show you how you can install a bunch of taps and this new thing called a bartender...

I like supporting local folks, but this just doesn't add up in my mind.
 
I just still can't get past the video, that's SUCH an important part of the business plan. If you don't have enough pride in your product to at least put out a decent fundraising spot, then how can I trust your quality control measures and business sense in every other department of the company? If they pay as little attention to the beer as they did to that clip, they're gonna send people to the hospital.
 
GAAAAAWD, thankfully someone has arrived to take all this heavy money out of my pockets. Seriously, if I had to walk around for 1 more minute with 5K weighing me down... and I'm not thirsty now, I'll take all my beers in 1-2 years. thanks
 
Barnesie said:
I don't know what the current laws are on general solicitation of investors, but it has been determined to be anywhere between sketchy and illegal in the past.

I'd probably alter the OP to avoid any future legal hassles, just point to the kickstarter or whatever. I'm not saying this dude is sketchy since I don't know him, just that this post isn't very appropriate here as an introduction and it might violate current SEC rules. (I'm not a lawyer, just a schlub that can google)

There's plenty of interesting beer beginning to flow in the DC area so this is a pretty hard sell to finance someone else's dream. $5k makes a lot of homebrew and the bar tab is free.
Click to expand...

As someone who works for a startup that has looked for funding - I know that current laws prohibit solicitation of investments from people who are not certified by the SEC to be a startup investor. This law was recently changed to allow for crowdsourced funding from non-certified investors to be legal, but it doesn't actually take effect until 2013. I think he should check out www.wefunder.com
 
Oh Darn! I just wrote a check for my last $5,000 to the Nigerians who emailed me yesterday!
 
JoesInBoston said:
As someone who works for a startup that has looked for funding - I know that current laws prohibit solicitation of investments from people who are not certified by the SEC to be a startup investor. This law was recently changed to allow for crowdsourced funding from non-certified investors to be legal, but it doesn't actually take effect until 2013. I think he should check out www.wefunder.com
Click to expand...

As far as I could tell, the law was proposed but not in effect and it seemed to carry some limits (perhaps limited to structured crowdfunding). A general solicitation for a private business on a forum is still very sketchy and could open them up to some liability issues.

It doesn't look like the SEC spends much time enforcing it, but when there's alcohol involved you're better off not attracting a ton of potential regulatory attention.
 
Since I just won the Jamaican Lottery, as soon as they cash my check of $30,000 to cover the taxes and they send me my $10,000,000; Id be glad to invest in this venture. Its just been 4 months and haven't heard back from Jamaica, their banks must be a little slower than ours.
 

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