Seedrs' success Vini Italiani crashes out with a pre pack and debts to its traders of £650k.
Vini funded 3 times on Seedrs - a total of £670k invested. At the end of last year they gave up and called in the Admin Boys. But not before one of them had set up a newco, B Wines, to phoenix the company's assets whilst off loading its tiresome creditors.
You cant really blame the system - those are the rules. Under normal conditions and with a working moral compass, these pre packs can work out to the benefit of creditors. But when you leave trade creditors with outstanding debts of around £700k, one has to question the logic, let alone the morality. The current rules cannot cope with the 21stC.
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Thursday February 28, 2019
Hardman and Co’s Brian Moretta in conversation with ECF Buzz Founder Rob Murray Brown on start up investing, equity crowdfunding and what’s a good read.