[Empyah]

I really wonder how many of the people crap posting here have bothered to read the Offering Details (Form C) provided? I am NOT trying to convince anyone to invest in DCA, but there is a whole lot of uninformed unfair hot takes here.This is a risky speculative investment. It is all spelled out here:

https://d19j0qt0x55bap.cloudfront.n...s/offering_details/Dan_Clark_Form_C_Final.pdf



They have already raised their minimum, one day in. Many small private companies raise money directly these days on Republic, StartEngine, etc. Shark Tank is primarily about entertainment and the people who go on end up giving up a significant amount of equity. I've only watched a couple of times, but the people I saw did not have established companies. For most small businesses, getting on a reality TV show to raise capitol it is not a realistic option. Not to mention, there are thousands of small businesses that raise money each year, but only a few dozen Shark Tank contestants.



The liquidity of purchased shares is no different from any other small non-public company. Small companies do not usually pay dividends. Instead, they are expected to reinvest for growth. If you think you will need to sell your shares within the next couple of years, this is not the right type of investment for you.



The valuation, like all valuations, is a subjective estimate. All the financials are provided, so you can do your own calculation and chose not to invest. (I also think the valuation is too high, but it is not totally unrealistic given their high margins on B2C sales.)



All of that information is provided as part of the Offering Details. I included the link above. If you do not know how to read a financial statement (and most people do not, so no shame it that), you should not invest in DCA or any other privately held company. With public companies, you can read what analysts think, but with companies like this, the burden is on you.



What benefit are you expecting? What you get, is ownership of the company. If you think DCA has a good shot at growing, you invest to eventually make money. If you don't think DCA has a bright future, don't invest, of course. Either way, you need to have a long view of the investment. This is not the place to invest for quick returns.

DCA was born from the headphone community and produces great products. I would think that people would at least want to be kind to them, even if they don't want to invest.

They make some of the best headphones out there. Pushing the envelope on weight and bildquality.
I have my difficultys beliveing those who are craping on Dans parade here are true fans of this hobby.

 

[VandyMan]

That said, my recollection from corporations class in law school is that an offering of equity shares needs to specify when this tranche of shares gets paid relative to existing tranches. The fact that I can’t find this information in the offering memorandum suggests to me that getting paid is not something I could reasonably expect. [TRIM] It may be the case that DCA totally intends to pay its investors, but can’t say for some legal reason exactly how that would take place.

The Offering Details document clearly states that these are minority shares and spells out the rights you would have. As far as tranches, I think you are referring to the class of shares. (I'm familiar with tranches from the bond world, but have not with equities, so I could be misunderstanding.) It would be great for Dan to clarify here, but based on the document, there are no Class A shares that payoff first. The document also covers how you can be "paid." Start with the Transferability of Securities section.

 

[killaHz]

The Offering Details document clearly states that these are minority shares and spells out the rights you would have. As far as tranches, I think you are referring to the class of shares. (I'm familiar with tranches from the bond world, but have not with equities, so I could be misunderstanding.) It would be great for Dan to clarify here, but based on the document, there are no Class A shares that payoff first. The document also covers how you can be "paid." Start with the Transferability of Securities section.

Thanks!

 

[jnak00]

I have my difficultys beliveing those who are craping on Dans parade here are true fans of this hobby.

Where I choose to invest my money has absolutely nothing to do with whether I am a "true fan" of this hobby or not. We are no longer talking about audio gear here, we are talking about a business. And everyone must do their own research to make their own decision on whether to invest or not. Unfortunately most people are not financially literate enough to make these decision on their own.

 

[Raketen]

They make some of the best headphones out there. Pushing the envelope on weight and bildquality.
I have my difficultys beliveing those who are craping on Dans parade here are true fans of this hobby.

My probably inappropriate joke aside, I think most people are just expressing normal skepticism (perhaps exaggerated by uncertain expectations of what equity crowdfunding does for investors- that Start Engine's "How it Works" and "Investor FAQ" links go to an internal error page is not teribly reassuring), not crapping on any parades.

Nobody seems to be expressing particular ill will toward mr speakers/DCA- if anything the general tenor is the opposite IMO.

 

[glassmonkey]

I'm a fan of DCA and they're distributor in the UK, ElectroMod. I want DCA to succeed. I do wish I had never too invest. It's not Kickstarter, I'm not expecting a short term perk.

 

[Haris Javed]

I dont understand why people are being so toxic, if you dont want to invest thats a perfect choice, no one is forcing us to sign our lives away - just respectfully say you aren't interested and move on.

 

[chesebert]

I dont understand why people are being so toxic, if you dont want to invest thats a perfect choice, no one is forcing us to sign our lives away - just respectfully say you aren't interested and move on.

I don’t think it’s fair to say people are toxic. Also, do you honestly think headfi community comprises the kind of folks (save those who are MA lawyers, IBD bankers and investment professionals, and reasonably successful business owners) who can fend for themselves if their investments fail?
I think this is a horrible precedent for headfi and opens the flood gate for others to do the same... - peddle investment opportunities on headfi

I would have no problem if the DCA offering is on an accredited investor only platform or pitching to angel clubs or funds.

 

[Hifiearspeakers]

I don’t think it’s fair to say people are toxic. Also, do you honestly think headfi community comprises the kind of folks (save those who are MA lawyers, IBD bankers and investment professionals, and reasonably successful business owners) who can fend for themselves if their investments fail?
I think this is a horrible precedent for headfi and opens the flood gate for others to do the same...

Then they simply shouldn’t invest. Don’t spend what you don’t have or can’t spare. Problem solved.

 

[ksorota]

Per DCA email, raising funds for new iem with new technology. Definitely interested in that!

So why are we raising funds now, of all times?
Raising capital will allow us to accelerate new product plans with some exciting things with the potential to really expand our business:
Our first in-ear-monitor (IEM), adding a whole new category to our product line and using technology from our first IEM patent filing
An additional product in an all-new category

 

[corgifall]

Goodness! The salt be strong today!! I was definitely excited when I saw iems in the email. Hoping the DC team gets money to get us a ether 2C as well as some iems out.

 

[Racheski]

I don’t think it’s fair to say people are toxic. Also, do you honestly think headfi community comprises the kind of folks (save those who are MA lawyers, IBD bankers and investment professionals, and reasonably successful business owners) who can fend for themselves if their investments fail?
I think this is a horrible precedent for headfi and opens the flood gate for others to do the same... - peddle investment opportunities on headfi

I would have no problem if the DCA offering is on an accredited investor only platform or pitching to angel clubs or funds.

Absurd. You can invest as little as $238 in this offering. That's less than a single share of Apple. The risks are clearly articulated on the website with the first sentence as "A crowdfunding investment involves risk. You should not invest any funds in this offering unless you can afford to lose your entire investment."

 

[F208Frank]

The amount of bashing is a little uncalled for. If you do not want to invest then do not. If you feel it is a bad investment you can just state your opinion but no need to shove another man down when he is already likely struggling.

I do not even own any of his products nor do I know the guy but sheesh, bashing a guy over the net seems a little harsh when they are trying.

The world has enough crazy stuff going on.

 

[Mediahound]

Let's stop calling things 'absurd' or 'rubbish' in either direction. That really doesn't help anything or anyone, whether you agree with this program or not.

Those interested in this potential investment certainly have a right to question what their upside potential may be, as that can help determine how much or how little they may be willing to put in, based on the risk. Short that information, this cannot not really be considered an investment, but rather just helping out the company with a donation.

 

[GRUMPYOLDGUY]

That's less than a single share of Apple.

To compare this investment to one in Apple today is misleading at best and criminal at worst. That is an insane comparison.