Project selection process
Step 1: Initial screening of projects
How are projects screened ?
Olive Crowd platform - www.olive-crowd.com - is open to established companies with a turnover of MUR 10M or more with a proven track record as well as Start-ups capable of demonstrating high growth potential. Olive Crowd proposes 2 types of funding to eligible businesses: equity crowdfunding, i.e. investors participate directly in the capital of businesses and/or Royalties crowdfunding, i.e. investors participate in a share of the revenues generated by the businesses until a pre-agreed return on investment is achieved. The criteria for eligibility are as follows:
• Businesses must be limited companies duly registered with the Corporate and Business Registration Department, • The funding range between Rs 1,000,000 to Rs 5,000,000, • Activities and management policies fit in the strategy of the Company • Companies have to present a sustainable business model with a high growth potential, • Project owners and managers much show that they have a proven track record in managing businesses, • Sector and activity analysis, • The project must be capable of contributing to the socio-economic development of Mauritius through job creation. During the screening stage, the project owner must submit the following information to Crowd Invest: • Copy of Business Registration Card • Business plan including 5 years financial forecasts • MCIB report (if applicable) • Copies of last 3 years financial statements • Copies of last 3 years income tax returns • Proof of address of beneficial owners / directors of companies • CV of all beneficial owners / directors of companies • Bank Reference Letter for all beneficial owners / directors of companies • Copy of Trade License • Copy of certificate of Incorporation
Following the Evaluation committee's initial screening, Olive Crowd will inform project owners of the eligibility or otherwise of their projects to proceed to the due diligence stage.
Step 2 : Due Diligence
The due diligence will be carried out by an independent audit firm prior to submission to the investment committee. To perform the due diligence, the Olive Crowd team will contact the project owner by phone, arrange a physical meeting with him/her and may request for additional information as may be applicable for a proper the analysis of the file. The due diligence will be carried out on the basis of the financial and strategic information of the company. Additional documents or information may be requested from the project owner as part of the due diligence. The independent audit firm will analyse the file on the basis of the following criteria: • Legal and compliance and financials of the project; • Quality of the management team and their experience; • Market development opportunity; • Quality of the products / services offered by the company; • Assessment of competition and market entry barriers; • Quality of the intellectual property; • Impact of the project on the local economy and job creation; Following due diligence, the project owner's file is submitted to the Crowd Invest Investment Committee.
Step 3: Investment Committee
Each project owner selected by Crowd Invest will get an opportunity to present his project in front of the members of the investment committee. Following the presentation, and in light of the information submitted, the investment committee will analyse the project owner's viability of the project according to the same criteria as during the due diligence phase. The committee will check the validity and consistency of the information with its screening policy, its due diligence criteria and other similar projects already listed on the Olive Crowd platform. The investment committee will deliberate and then notifies the project owner of its decision to list the project online or not on the platform www.olive-crowd.com Please note Investing in unlisted companies involves risks of total or partial loss of the invested capital, liquidity risks (the resale of securities is not guaranteed, it may be uncertain or even impossible) and the return on investment depends on the success of the funded project. The OLIVE CROWD Platform does not guarantee investors that they will recover the amount of their investments. We advise that you seek professional advice, you diversify your investment portfolio, do not invest a significant part of your savings and to invest sums that you will not need in the short term.
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