Funding by THE PEOPLE (2023 + 2024 Projects)
Funding by THE PEOPLE – 2023 + 2024 Projects
Approaching investment into producing fine yarns exclusively in NZ with no need to knit or stash!
>> REGISTER YOUR INTEREST BELOW<<
Background
The Woven is a small NZ business founded and managed by founder; Michelle Joy. The heart of the business has always been keeping production in NZ and keeping the joy, values and energy of a creative business alive. This has taken a path less travelled, less financially supported and more passion led. A business with heart and with soul, and more importantly, a business with passionate customers backing every step. The Woven makes yarn for the people with the support of the people. As the business faces the age-old question of ‘how to scale when all your funds are tied up’… it becomes necessary to think outside of the knitting box …
Historically investment in The Woven had come almost exclusively from Michelle’s own books, buffered by the pre-sales of products to support the production of key yarns. This has proved super effective but allows very little room for growth and no scope to deal with the significant capital required for development of key things like a new website (after the harrowing events of 2022).
External capital is required through means of investment and that is where you come in…
Premise
This is an exciting new initiative; Funding by THE PEOPLE. It’s like crowd funding, and is handled directly through The Woven Co with the support of local chartered accountants. This is a chance to support this private enterprise aka a NZ business, support the little lady with the big ideas and the ambition of keeping production of quality yarns in NZ, the dream to drive growth and opportunity (not just for The Woven but for other NZ Wool producers) AND you don’t even need to knit!
The first product to be funded this way was a the re-development of The Woven Co’s classic yarn; SMOOTH or should I now say SMOOTH AND SILKY. A stunning blend of fine merino and luxurious silk – this was very successfully funded by the people and launched to market in July 2023.
From there, a few side projects have been funded too! Including a top up of Sumptuous colours to bring back Star (the ultimate grey) and Taupe (the oaty neutral that makes so many happy) and also a step into creating base products for our greater yarn industry – launched through The Collective Yarn.
3 projects funded and we are just getting started!
Are you interested to join the team too?
The Numbers
Funding support starts from $100, so you can decide how much you’d like to back – with the return on investment increasing with greater contributions – all the way up to 9%
Funding return works like this:
$100 to $999 will offer 5% return
$1000 to $2999 will offer 7% return
$3000 to $5999 will offer 8% return
$6000 + will offer 9% return
The wool must be first sold to return investment, with each ball of wool sold generating a total return for backers. In some projects, there may also be pre-sales which are not included in the funded group – these are sold to fund raise for the project ahead of production – pre sales are capped.
Backers can choose to have investment funds are returned monthly based on sales in the month (or in one lump sum at the end).
The maximum window to complete this entire process is 18 months from launch of the product online. It is anticipated that the sales of products will be sooner than the maximum window, but should any stock be unsold, they will be underwritten by The Woven Co at the end of 18months.
Investment is a contribution against raw production costs (shared with The Woven Co), not the finishing costs or any costs to get the product to market, these will be entirely covered by The Woven Co
Investment and return will be done without GST unless you/your organization is GST registered
Funding and returns will be supported by Greenhawk Limited, Chartered Accountants
And lastly, you do not need to be a knitter to support this initiative, but all support to sale through these products as fast as possible will be beneficial for all!
Projects Ahoy!
With numbers to be finalised, here are the menu of projects to consider
- Sumptuous Baseline Products, timeline VERY SOON
- LUSH the Cashmere Project for Chunky and Worsted Weight yarns, timeline November 2023 for delivery early 2024
- An everyday affordable knitting yarn and base, timeline SOON
- Smooth + Silky top up – possibly an extension to include 4ply options too, timeline early 2024
If you’d like to hear more about these projects and are interested in joining the backers, please register your interest here;
