We have just completed our second selling season with great results: In 2019, we sold five times as many bikes as in 2018. Our exponential growth has been fueled by over 13M€ in funding from Hardware Club, Index Ventures and Tiger Global.
Now we want to make sure that our valued customers have an opportunity to share in our journey for the first time ever.
Investments of this nature carry risk to your capital. Please invest aware.
- Why should I consider investing?
Because good businesses will move the world forward. After just two years, Cowboy has gained thousands of customers across nine countries - Austria, Belgium, France, Germany, Italy, Luxembourg, the Netherlands, Spain and the United Kingdom. Collectively, they have ridden over 3.2 million km on their Cowboy bikes. We have also raised over 13M€ in funding from Index Ventures and Tiger Global, two prominent venture capital firms.
We're on a mission to re-define urban mobility and you too can be a part of it. Across the globe, mobility has reached a breaking point. In the centre of London for example, moving with a car takes the same amount of time as it did a century ago. Air and noise pollution have reached unsustainable levels, and sustainable solutions are needed now
Powered by human intuition and a mission to give people the freedom to take the streets, Cowboy was founded by three Belgian entrepreneurs.
We've put intuition into motion to create a newfound freedom for urban riders to quickly reach any place in the city and to connect with the place we call home.
We designed the world's first connected bike with an automatic transmission and every essential design detail integrated into the frame.
We knew we were onto something when in year one we sold out our first model in the first three months to rave reviews.
The future for electric bikes shows no sign of stopping and neither do we. We are riding ahead of the curve, and together we can change cities for the better: city proof, weather proof, future proof.
Investments of this nature carry risk to your capital. Please invest aware.
- Do you have any more detailed information, like facts and figures, that might convince me to take a closer look at buying shares in Cowboy?
Yes, we have compiled a brief investor pitch deck, which goes deeper into what we're doing, why we're doing it and most importantly, why you should buy shares in Cowboy.
Once we launch the raise, you will be able to participate in a Chat Forum to ask our CEO Adrien Roose and VP Finance Alexander Cram more specific questions.
The raise will be opened to our private community on 10/12, a full 48 hours before we go live to the general public on crowdcube.com.
But you'll need a link to access that private-live event … which is why you should register your email on this landing page. It's the only way you'll be able to get this link.
- Why is Cowboy doing a crowdfunding raise?
We are doing this because our engaged community inspired us to do so.
We wanted to take advantage of their enthusiasm as stakeholders and give them an opportunity to buy equity in our company, joining each and every employee of Cowboy as a shareholder.
Engaged shareholders often contribute their energy, knowledge, wisdom and advice to the company, in addition to the capital they bring. We welcome this always.
Lastly, crowdfunding, of course, infuses money into the company, which can be used to accomplish our ambitions in 2020 and beyond.
- What will Cowboy do with the money it raises in this crowdfunding?
The money Cowboy raises with this crowdfunding will be used to grow the company in the following ways:
- Expand territories across Europe beyond the nine countries in which we sell today, particular attention on the bike-friendly Scandinavian countries and Switzerland.
- Penetrate core markets and cities even deeper with expanded test rider capacity. Currently, we have 82 test riders in 62 cities, across six of our nine countries.
- Continue proven strategy to leverage 3rd party endorsements/reviews. Check out these reviews from this year and last:
- Research and new product development, as well as continued product improvements to our initial product.
- Introduce new, exciting service plans beyond just Easy Rider theft & damage insurance plans.
- What is Cowboy's ambition in 2020?
We are focused to:
- Continue our mission to redefine urban mobility and enable people to move freely about their cities.
- Triple our turnover and units sold versus 2019. Of note, versus 2018, our sales have increased 500%. Our growth curve is huge, but the demand is even larger.
- I've read in press that Cowboy lost 3+m last year, which gives me pause. What's the story behind this?
This story is true, however, one has to keep in perspective that a loss like this is completely normal for a start-up company transitioning to a scale-up. Companies like ours start with initial investments and spend it to prove a business case, so that more investment can be raised. And so on (and on) to fuel exponential growth.
What's important to focus on are three important points:
- Demand for e-bikes, especially in Europe is exploding. In fact, for the first time ever, more e-bikes were sold in 2019 than non-electric bikes.
- Cowboy is an exciting new brand with unique characteristics that will enable it to win a huge share of the market. Specifically, the sexy design of the bike, its removable battery, autonomy of up to 70km, coupled with its connectivity via the app. This enables sophisticated features like remote diagnostics and over-the-air software updates - just like Tesla.
- We have an experienced, strong leadership team in place with a committed team of over 50 employees, all of whom are shareholders in Cowboy, too. We are ‘all-in' and determined to make our Vision a reality. We will redefine urban mobility; we already are.
- How does equity crowdfunding work in general?
You can invest from just £20 and become a shareholder in a company. The amount you invest, and the equity issued by the company, is what determines your percentage of ownership. This is a great way to support businesses that you are interested in, follow or have a personal connection to, as you can say that you own a share of that company.
The main way to make a return on your investment is by selling your shares for more than you paid. There is no active secondary market for these shares on Crowdcube, so you cannot sell them immediately. If the business grows to float on a stock market, is bought by a larger company, or the company buys back equity from investors, you are likely to be able to sell your shares. However, please note that none of these are guaranteed and that your capital is at risk.
- What do I need to do to participate in this crowdfunding activity?
You must become a member of Crowdcube to participate in this crowdfunding activity with Cowboy. There is no other way to participate. But don't worry; becoming a member of CrowdCube is easy and free and there is no obligation to invest.
- How do I become a member on Crowdcube?
Joining Crowdcube is free, quick and there is no obligation to invest. To become a member click on the 'join' button in the top right-hand corner of the homepage, where you can register with your email address or LinkedIn profile. You'll then need to select what type of investor you are, but don't worry, it takes less than 30 seconds and there are descriptions for each investor type to help you decide.
- When will I be able to invest?
Sign-up to stay updated. We will let you know as soon as the equity crowdfunding campaign starts.
- How can I invest?
To invest you will firstly need to register as a member, as outlined above. State the amount you wish to invest in the 'Enter Amount' box, then click 'Invest now' and enter your payment details.
Payment is only taken once the pitch hits its target, and after the completion of legal documentation, which we handle. If the pitch does not reach its target, no money is taken. You will be notified by Crowdcube in both circumstances.
- What happens once the target amount is reached?
Once the Cowboy pitch has funded and has closed to further investment, you will receive a cooling off email, which includes a copy of the Cowboy's Articles of Association for you to review.
During this cooling off period, which is generally no shorter than seven days, you'll have the opportunity to review your investment before it becomes final. Once this cooling off period has expired, Crowdcube will send you an email confirming when your payment, which includes your investment and Crowdcube's investment fee will be collected.
Crowdcube accepts payment via any debit or credit cards as recognised by our third party payment provider Stripe. Unfortunately, Crowdcube cannot accept payment via cheque or direct transfer. Crowdcube will also run you through their anti-money laundering check, an identity assessment, ensuring all investors are who they claim to be. Crowdcube is required to make these checks as per the UK's regulation by the Financial Conduct Authority (FCA). Don't worry, the anti-money laundering checks are secure and have no effect on any credit scores.
Crowdcube will then email asking for one document to confirm your identity and one to confirm your address and provide you with information on which documents they can accept. Unfortunately, if Crowdcube cannot verify your identity, they will not be able to process your investment, and it may be cancelled.
- Does overfunding affect the amount of equity available to the crowd?
Once Cowboy's pitch reaches its funding target it may choose to 'overfund', enabling the company to accept more investment in exchange for releasing more equity. Investments made during this time have the same rights as those made before.
- What happens after the share certificates have been issued?
Once the investment round for the Cowboy pitch has been captured and share issues complete, Cowboy will keep investors updated regularly on the company's progress. Usually, this will be a short quarterly update and a larger annual update. Crowdcube also regularly posts company news from the Funded Club via the blog and social channels.
Cowboy is responsible for delivering any rewards offered. These can only be claimed once the pitch has closed to further funding, and share certificates have been issued.
- Can I sell or transfer my shares or bonds?
Equity shares: if and how you can transfer your shares depends on the Cowboy's Articles of Association and the type of shares you hold, so it is important to understand the class of shares you will receive by checking the pitch page and reading the company's Articles upon making an investment. Most crowdfunded companies are private and early stage, so there is a chance you may not be able to sell your shares due to a lack of liquidity.
A company's Articles often require investors wanting to transfer their shares offer, to existing shareholders first. This pre-emption procedure varies between companies, so please read the Articles and contact the company directly, or email firstname.lastname@example.org if you have further questions.
If a company chooses to adopt the Crowdcube Articles, An Ordinary Share will have pre-emption rights, but B Investment Shares will not. As an A Shareholder, if you want to transfer your shares you must first offer them to holders of the same shares. B Shares are freely transferable, so you can transfer these shares without first complying with the pre-emption procedure, as long as you wish to transfer all shares to a single third party.
Crowdcube does not provide legal or investment advice, so if you are in any doubt about the pre-emption rights or any provisions of the Articles, you should seek independent legal advice.
- How do I make a return on my investment?
You can receive a return on your equity investment if Cowboy makes an 'exit' in the future, including a trade sale, IPO or share buyback. E-Car Club, which raised on Crowdcube in 2012, had the world's first successful crowdfunding exit, giving their 63 investors a multiple return on their investment, you can read more about this achievement here.
Camden Town Brewery, which raised £2,750,000 in April 2015 thanks to 2,173 Crowdcube investors, also announced that it had been acquired and successfully made an exit. The company was acquired by AB InBev, the largest brewer, and one of the largest companies in the world - with 25% market share. The sale will deliver a multiple return to its investors and pave the way for further growth and expansion.