Fresh food company Mad Group has launched an equity crowdfunding campaign to raise $1.5 million for expansion of its Habitual Fix and Mad Mex brands locally and overseas.
The campaign began last week and Mad Group chairman and managing director James Tucker said the money would be used to continue the growth trajectory, with the firm coming eighth in the Deloitte Fast 50 last year with revenue growth of 723 per cent.
"Our current footprint is 15 franchised Habitual Fix stores and six wholly owned Mad Mex stores, clustered in the main centres," Tucker said. "The new capital raised will help fund the continued rollout of both brands around New Zealand and assist in the sales and marketing of international franchise licences for Habitual Fix."
Tucker said the company expected to almost double its $5 million revenue in the next year and its long-term goal was to have more than 100 stores across three or four brands in the next five years. The Snowball Effect crowdfunding campaign is aiming for a minimum of $750,000 with a cap of $1.5 million - representing a 13.3 per cent stake in Mad Group.
The company said it was already in negotiations with parties in Japan and the US to expand its Habitual Fix brand, and would use $50,000 of the raised capital to seek further franchise opportunities in other markets.
Mad Group is valued at $9.8 million, and that would rise to $11.3 million if the maximum target is achieved. Tucker said shares would be sold at $1 each with a minimum investment of $1000.
• Aiming to raise minimum $750,000 with cap of $1.5m.
• Shares are being offered at $1 each, with a minimum investment of $1000.
• Capital will be used to boost growth in NZ and internationally.
• Three-year plan to lift the number of Mad Mex stores in New Zealand to 19 by mid-2018.
• Mad Group is valued at $9.8m and at $11.3m if the maximum target is achieved.