Percentage of businesses/Issuers that have raised money on the platform and then failed
Issuer defaults in payments
Issuer becomes insolvent
Issuer wounds up or cease to do business
Expected failure rates based on current market trends
Eureeca considers a business to have failed once it defaults on payment, becomes insolvent or wound-up or ceases to carry on business.
This data is based on businesses that have successfully raised money via the Eureeca platform and then failed at a later date. We gather this information from two sources:
(i) Direct information from the Issuer/business, and;
(ii) Periodic reviews by our team members on the Issuer business status through web searches and contacting the Issuer for an update on an annual basis.
Eureeca enables investors to buy equity in businesses that are operational, growth-oriented, typically revenue-generating and aimed at yielding a return on investment for their investors.
Investing in early-stage businesses is a high-risk, potentially high-reward investment strategy. It should only be considered alongside safer investments in more established businesses and as part of a well-diversified portfolio including other asset classes.
By providing steady access to early-stage investment opportunities, Eureeca is a great tool for building a diversified early-stage investment portfolio quickly, effectively and at a relatively low cost.
Through Eureeca, investors can invest in vetted investment opportunities that have undergone (third party) due diligence. Eureeca facilitates the ability for investors to build a robust portfolio by not listing businesses at the seed stage, but mostly early-stage and later-stage companies who are seeking investment. Ultimately Eureeca wants to offer investors the opportunity to invest in a variety of different businesses, from different sectors at different stages of growth and maturity.