Bloodless Diamonds Australia
crowdfunding campaign proposal
Bloodless Diamonds Australia (BDA) is at a pivotal junction in its growth trajectory and is looking to raise AUD $10,000,000 to facilitate acquisitions, territorial expansion and the design and implementation of social equity programs in line with the companies ethical charter.
BDA is looking to raise the required revenue through a strategically targeted crowdfunding campaign across multiple platforms with a preference for a smaller number of larger investments.
Three main crowdfunding platforms will be targeted in two territories, South Africa and Australia.
Used for attracting funding for products and ideas. Users donate or buy offerings and funds are held until the target amount is reached. If the campaign doesn't reach its target, then no funds are exchanged. Its all or nothing, and predominantly project based. A successful kickstarter campaign would result in revenue in exchange for product and not require the divestment of equity.
Kickstarter has become a benefit corporation, which means it has a corporate charter holding it to the consideration of social outcomes which is in line with BDA's own stated social goals, making Kickstarter a good fit for the project.
The kickstarter strategy should be centered around the creation of a line of diamond rings that could literally redefine marriage as a ritual by having all of the profits go directly to healthcare training, social justice and local environmental protection programs. Almost every man getting married will buy a diamond ring, spending on average US $4000. When you give your fiancee a BDA ring, you are literally giving her the intention to heal people and the planet. A trinket worthy of a ritual expression of love.
The project should seek a manageable small but impressively big number, such as one million dollars. The campaign will capitalize on BDA's status as a socially responsible startup company looking to develop mining projects in aid of helping people and making the world a better place for all its varied and wonderful inhabitants. The Emphasis will be on the story of diamonds traditionally being a market of environmental destruction, greed and market manipulation, and BDA's declaration of intention to operate under a new paradigm of social responsibility and community health enterprise, environmental protection and restoration, and commitment to clean renewable energy.
The material would consist of
- A two minute video using animation to communicate the message in a succinct and endearing way
- A detailed outline document available for download
- A simple website
- The work of interfacing with the Kickstarter platform.
Similar to Kickstarter, but with more emphasis on projects and ideas that products. Pozible comes from a background of crowdfunding for social enterprise which is also in line with BDA's charter.
With projects ranging from feature films to family reunions to wearable technology gadgets, BDA's Pozible campaign should center around raising the revenue needed for a specific range of social program that BDA intends to fund such as local healthcare training, and outline a detailed road map to success for this project. Emphasis should be focused on BDA's social equity charter and the plan to expand into global territories in order to transplant the concept of social enterprise into other territories, each working toward social equity projects in their own region.
The material would consist of
- A two minute video using animation to communicate the message in a succinct and inspiring way
- A detailed outline document available for download
- A simple website
- The work of interfacing with the Pozible platform.
Investment Angel companies are matchmaking services for startups and investors with capital looking to buy equity or offering seed funding for projects across a diverse range of industries and investment brackets.
Given that BDA is an Australian startup and a very attractive, potentially very lucrative investment opportunity in a tightly held, highly prized market, these companies would be a good place to target the campaign to find a discerning investor with a social conscience and high liquidity or financial leverage.
This campaign would be focused on BDA's status as a social enterprise startup, and marketed as a unique opportunity to acquire a stake in a game changing social enterprise startup.
The material would be presented as a print and online portfolio. Professional, succinct, well designed and thorough. It will be of a standard that could be provided to any serious and discerning investor with confidence. The portfolio would include:
- An outline of BDA's history
- A map of its current structure
- A revised visually stunning business plan
- Forward financial projections for 1, 5 and 10 years
- A beautifully presented company charter (Ethical operation and Social Equity policy)
The whole package would be impeccably presented in a bound folder made of recycled card. It should invoke in the reader:
Herein lies an opportunity for you to make a difference to the planet. No really.
Tasks relevant across the three campaigns
- Create a map of the existing company structure in an accessible visual format
- Design a code of ethics to govern social and environmental practices
- Conceptualize and communicate an internal growth strategy in line with this ethical code
- Facilitate the creation of online media and marketing materials
- Design a range of rings (these can simply be digital mock ups for the purposes of the campaign video)
- Liaise with key crowd sourcing and equity raising industry partners to facilitate and promote these programs.
- Manage websites and social media integration (for the duration of the campaign)
The investment offerings
The offerings would be divided into three categories, each designed to raise a portion of the required revenue.
The intentional Statement - potential to raise up to $1,000,000 sales
A BDA ring in one of several custom designs
Price points: AUD $1000, $3,000, $5,000, $10,000, $25,000
The investment Opportunity - potential to raise up to $2,000,000 sales
Investment grade diamond specimen collections, both cut and uncut, or a mixture of both.
Price points: AUD $10,000, $25000, $50,000, $125,000
The Opportunity of a lifetime - potential to raise up to $10,000,000 sales/equity
Investment grade diamond specimen collections, both cut and/or uncut, AND Equity in BDA to an equal value.
This represents the key targeted investment bracket and we only need to sell two of the highest pricepoint to complete our goal.
Price points: AUD $250,000, $500,000, $1,000,000, 5,000,000
The Social Crusader - potential to raise up to $10,000,000 equity
Equity investment offerings
Price points: AUD $1,000,000, $2,500,000 and $5,000,000.
The creative treatment will be very clear in its message and simple in its execution, it will draw on the motifs and paradigms of renewables, social enterprise, collaborative community, and state its claim as a new corporate paradigm in the industry of resources and mineral extraction for social gain. All material across online, video and print will have a cohesive visual style will be used to ensure that the materials are consistent and reusable across categories. It will be rough but stylish, glamorous and yet humble.
It will also be very very intriguing.
The project is facilitated by a budget in AUD provided by BDA as follows:
Project Management - $150,000 in the form of 3x equity shares in BDA each valued at $50,000.
An up front one third deposit (1x equity share valued at $50,000) is payable prior to commencement of the project.
The following share is transferable upon completion of the creative materials, and the final share at the time of the launch of the live campaigns (regardless of amount of equity raised during the campaign.)
1x large size/low gem value uncut diamond specimen for my mineral collection is also payable prior to commencement.
Contingent upon the successful raising of the stated target of $10,000,000 for BDA, a further fee of $500,000 will be payable to Bevan Lynch in the form of a cash bonus, or equity in BDA, or a combination of the two to be decided at a later date. Bevan will then be invited to join BDA in the newly created management level role of Strategic Operations Manager and offered an additional equity stake in the company as part of an ongoing remuneration package.
Cash Budget Allocation:
The following cash budget is to be paid in third installments via EFT as above, the first third prior to commencement, the second third upon delivery of the creative materials and the final third upon launch of the campaign.
Any unused portion of the cash budget will roll over into and be counted as part of the next payment amount and the equivalent underage amount be added to the project management fee in the form of further equity share. This will provide a strong incentive to spend as little of the cash budget as possible.
The cash budget allocation will roughly coincide with the following:
Media package production - $20,000
- 2 x 2-3 minute animated campaign videos
- 25 x high quality printed investment portfolios
- 3 x websites
Social media/crowdfunding - $20,000
Experts in social media and crowdfunding will be consulted throughout the project to ensure that all bases have been covered, or at the very least, considered.
Marketing - $20,000
Throughout the design and implementation, marketing consultants will be engaged to assist with fine tuning the campaign for best effect.
Total cash Budget - $60,000
This budget is an estimate and will evolve once a comprehensive quoting process has been undertaken. If more cash is needed to ensure the successful completion of the project, I suggest that it be made available only upon careful management consideration of the cost/benefit of further expenditure and whether it is considered critical to the successful completion of the stated goal of raising $10,000,000.
The project will have a 3-6 month schedule for pre-production and production of all materials and the campaigns will go live at key strategic moments over the next year based on statistical analysis of trends. Some assumptions around that might be the end of the financial year (investment angels and Pozible) and valentines day (kickstarter).
The key opportunity for this project is to drive Bloodless Diamonds Australia into a phase of capital growth to facilitate the targeted acquisition of equipment and project rights required for the next phase of growth and mineral exploration, and the continued exploitation of current mineral assets. This phase of physical growth is critical to enable the social equity programs that are so fundamental to the businesses ongoing success.
All the best in your journey.