Chi is an FMCG brand selling a variety of raw and organic coconut based products globally and is currently attempting to raise £750,000 on the crowdfunding website, Crowdcube.
Launched to market in 2012, Chi only uses pure ingredients in their coconut water, milks and oils and from this, hope to grab a slice of the global coconut market, worth £100 million.
“We’re now stocked in thousands of outlets, including Waitrose, Tesco, Sainsbury’s, Asda and ship Chi products Worldwide to countries like Australia, Finland and The Netherlands. Chi also boasts a white label offering in ITSU stores and used to stock Pret A Manger’s Coconut Water.”
From December 2015 to December 2016, they have sold 1.5 million items from their range of 12 products.
“We project sales in the next financial year of £2.95m with an EBITDA of 9 percent. We are currently having positive discussions with one of the UK’s leading soft drinks companies. If we can reach an agreement this would exponentially grow our revenue and increase our margins.”
The coconut brand for their new product roll out, working capital, improve cash flow and marketing spend.
In terms of exit strategies, Chi keeps in mind Vita Coco, which successfully sold 25 percent of their business for $225m, valuing the company in excess of $600m.
So far, the brand have raised over £120,000 of their target goal, with five days left on the site. The company saw a turnover of almost £323,000 in its second year of trading, then in its third year almost £1.1m turnover in 2014.
The brand has a pre-money evaluation of £6,500,000 and offer an equity of 10.34 percent.