Mighty Craft is launching a pilot scheme allowing consumers to earn fractional shares in the business.
The craft accelerator made the announcement in a Q2 statement to the stock markets yesterday as it reported strong wholesale growth in the year to November.
The company said venues are recovering to pre-COVID levels which had seen it generate more than $1 million in sales last month.
At the same time, Mighty Craft announced a pilot programme with a startup company Upstreet, where consumers can earn fractional shares in Mighty Craft based on purchases at its venues at Moonee Ponds and the Hunter Valley.
According to Upstreet’s website, the model allows a part ownership of shares traded on the Australian Securities Exchange. Mighty Craft listed as Founders First in 2019.
The share ownership disruptor says that some shares are expensive and individual purchases can be small.
“Fractional shares enable us to reward your everyday purchases, no matter how small, with real ownership,” the company’s website states.
The minimum order size for a first trade on an ASX-listed company is $500 worth of shares, known as the minimum marketable parcel, which can be prohibitive.
In recent years breweries have turned to equity crowdfunding to raise funds and encourage consumer engagement.
However, the Upstreet process appears to provide fractional shares as a customer loyalty reward, rather than as an investment model.
Mighty Craft managing director Mark Haysman said it had been an “incredibly exciting year”.
“We are extremely happy with the growth we are experiencing,” he said in the market update.
“Venues play a critical role for Mighty Craft as both a cash flow generating arm of the business and a brand marketing investment where consumers can experience and interact with our portfolio of brands.
“We go into the break really pleased with our growth in the past year but more importantly incredibly excited about ou growth prospects in 2021.”