Fashion-tech gateway delivering Brands access to the world's leading marketplaces
Live Azura Consulting Pty Ltd
OnMarket | Azura Consulting | Equity Crowdfunding
Min reached. Now targeting $1 million
$327,160
Raised2%-9%
Equity107
InvestorsCloses in
Please consider the offer document and general risk warning before investing.
Investors are entitled to a 5 day cooling-off period.
Investments over $10,000 are restricted to Sophisticated investors - Apply here
Meet Azura
Azura is an Australian-based, global, fashion-tech, sales gateway that gives luxury and fashion brands immediate, affordable and reliable access to the world’s leading fashion retail platforms.
The Problem
With e-commerce marketplaces like Farfetch Ltd [NYSE: FTCH] and Mytheresa Ltd [NYSE:MYTE] thriving, big brands are moving away from bricks and mortar stores and into digital marketplaces. But posting and managing inventory on over 100 marketplaces is a problem.
The Solution
Azura solves this problem by using automated product tagging, visual search AI tools and machine learning, to curate 150,000 individual items into data-rich, market-ready fashion, on sale on global fashion marketplaces within 24 hours.
The Advantage
Azura’s omnichannel approach to sales, with direct data integrations into premier fashion marketplaces including the US, UK, EU, SE Asia, Australia and NZ, minimises the reliance on any one channel, reduces marketing expenditure and ensures a strong, reliable & proven revenue stream.
Traction
Azura is a high growth, high margin business, leveraging technology, data, and importantly established partnerships to deliver 1,200 luxury and fashion brands to consumers. With a steady growth rate of 34% month-on-month for the past 6 months, Azura anticipates A$3 million in annual turnover by the 2021 financial year end.
The Future
Azura is leveraging the rapidly growing US$760 billion luxury and fashion eCommerce sector. The aspiration is to scale to become the Australian-based Farfetch Ltd [NYSE: FTCH]; still delivering luxury and fashion to consumers, yet also showcasing Australian designers to the world. Azura is raising capital to escalate its growth, with a view to an IPO in the future.
The Opportunity - E-commerce Transformation
#1 Brands shifting from physical to digital sales
The number of physical stored operated directly by brands is expected to stagnate, with a possible decline in store footprints in 2021. More and more brands will need to evolve to fit the new map of luxury buying, looking to partner with ecommerce platforms to maximise customer experience and accessibility.
#2 E-commerce marketplaces are thriving
The lasting impacts of COVID-19 travel restrictions, combined with the growing prominence of younger generation luxury consumers, have driven the success of global ecommerce platforms. Farfetch’s market capitalisation grew by 475% in 2020. Other ecommerce platforms have also gained - Mydeal.com.au saw first half gross sales in 2020 increase by 217%, and Kogan saw a 71.2% increase.
#3 Brands want plug and play access to multiple e-commerce marketplaces
In 2020, online sales of luxury goods skyrocketed at a pace equivalent to 5 years of growth, doubling its market share from 12% in 2019 to 23% in 2020. By 2025, [Bain & Co. forecasts] ecommerce/digital channels will comprise of 1/3 of total market value. Ecommerce is especially crucial to maximising sales from younger generations, who are set to drive 180% of the growth in the market from 2019 to 2025.
Azura delivers brands plug ‘n’ play omnichannel transformation, capturing a unique share of the thriving luxury and fashion e-commerce sector.
The Azura Point of Difference
Fragmented Data Converted by Artificial Intelligence
Azura uses AI and machine learning to curate 150,000 products from over 1,200 brands and suppliers within 24 hours. It then feeds these items, using direct integrations, into fashion marketplaces around the world.
Connections & Customers
Azura’s strategic partnerships connect to authentic branded product, and can ship anywhere within seven business days. Azura is selling on premier fashion marketplaces around the world, including the US, UK, EU, SE Asia, Australia and NZ.
Omnichannel & Diversification
Azura’s omnichannel approach reduces marketing expenditure and ensures a strong, reliable and proven revenue stream. Applying the model to both luxury and fast fashion has enabled Azura to continue to grow during COVID-19 when others experienced an estimated revenue drop of 25-30%.
On Trend
Knowing the trends to pursue takes experience. In 2020, Azura capitalised on the forecast 100% growth in the pre-loved luxury fashion market, creating the largest catalogue of pre-loved fashion items in Australia. Sustainability is a key driver with the younger fashion buyers.
The Azura Advantage
eCommerce has become the new norm, and luxury fashion is a hot growth segment. Azura’s unique model takes advantage of this market acceleration. With a gross monthly sales growth of 339% since January 2020, the Azura model has proven its market attraction.
Investor Rewards
Each investor that becomes a shareholder in Azura will be rewarded via the following investor program, which will remain available to you for as long as you remain a shareholder. As an owner of Azura, we hope that you will promote our business to your family, friends, work colleagues, and network of contacts.
For more details, please read the Investor Rewards section in the Offer Document.
Investment Highlights
Fashion-Tech Leader
- Azura is a fashion-tech sales gateway delivering luxury and fashion brands immediate, affordable and reliable access to the world’s leading eCommerce marketplaces.
Unique Problem Solution Fit
- With eCommerce marketplaces, like Farfetch and Mytheresa thriving, a new problem has emerged - How can Brands manage physical inventory in real-time on over 100 unique marketplaces?
- Azura solves this problem by using automated product tagging, visual search AI tools and machine learning, to curate 150,000 individual items into data-rich, market-ready listings ready for sale on global fashion marketplaces within 24 hours of providing the feed.
Leveraging High Growth Global Sector
- The global eCommerce fashion market is projected to grow to US$760 billion with 19.4 million users in 2021, and is forecast to grow to US$1 trillion by 2025.
- In 2020, online sales of luxury goods skyrocketed at a pace equivalent to 5 years of growth, doubling its market share from 12% in 2019 to 23% in 2020.
- Azura's Total Addressable Market is estimated at US$10 billion.
Sound Financial Metrics
- Azura has grown quickly. In the last 12 months, Azura generated $2 million in revenue, and for the past 6 months has achieved a 34% month on month revenue growth rate.
- Gross margin on sales ranging from 25% to more than 50%.
- Zero-inventory model drives scalability, not capital expenditure expense or inventory.
Omnichannel On Trend
- Azura’s omnichannel approach to sales, with direct data integrations into premier fashion marketplaces minimises the reliance on any one channel, reduces marketing expenditure and ensures a strong, reliable and proven revenue stream.
Experienced & Knowledgeable Team
- Led by an experienced and knowledgeable executive team and advisory board, with over 35 years combined experience in the retail and marketing industries.
Management and Board
Samuel Wood
Co-Founder & CEO
Tim Bloore
Co-Founder & COO
Paul Langston
CFO & CCO
Colin Hindle - Advisory Board
National Head of Network Implementation - Australia Post
Kristie Atkins - Advisory Board
Managing Partner - WINK
Terms of the Offer
Issued Capital
*Chief Financial & Commercial Officer, Paul Langston, has entered into a share vesting agreement for 10% of the company's Existing Issued Capital (1,000,000 shares), that will vest over a three year period. Vesting is set at 33.3% every one year anniversary, the first vesting date being 31/01/2022.
Use of Funds
Company Risks
Azura Consulting Pty Ltd is an early-stage business solving a major pain-point for Brands seeking online sales growth - how to efficiently and effectively post and manage their inventory on multiple eCommerce marketplaces. As with any early-stage business, an investment in the Company should be seen as high-risk and speculative. A description of the main risks that may impact our business are listed in the offer document. Investors should read this section carefully before deciding to apply for shares under the Offer. There are also other, more general, risks associated with the Company (for example, risks relating to general economic conditions or the inability to sell their shares).
See the Risk section in the Offer Document for further information.
The Offer is subject to a Maximum Subscription amount of $1,000,000. If the Maximum Subscription is reached, the Offer will close early. Applications will be treated on a time priority basis and may be subject to scale back, so please fund your application as soon as possible
Risks
RISK WARNING: Crowd-sourced funding is risky. Issuers using this facility include new or rapidly growing ventures. Investment in these types of ventures is speculative and carries high risks. You may lose your entire investment, and you should be in a position to bear this risk without undue hardship. Even if the company is successful, the value of your investment and any return on the investment could be reduced if the company issues more shares. Your investment is unlikely to be liquid. This means you are unlikely to be able to sell your shares quickly or at all if you need the money or decide that this investment is not right for you.
Even though you have remedies for misleading statements in the replacement offer document or misconduct by the company, you may have difficulty recovering your money. There are rules for handling your money. However, if your money is handled inappropriately or the person operating this platform becomes insolvent, you may have difficulty recovering your money. Ask questions, read all information given carefully, and seek independent financial advice before committing yourself to any investment.
5 DAY COOLING OFF PERIOD: There is a 5 business day cooling off period for retail investors. During this period, you may withdraw your application and receive a full refund into your nominated refund account. Please note: After the 5 day cooling off period has expired, you will be unable to withdraw your application. More information here.
ONMARKET FEES: Upon successful completion of the Offer, a maximum fee of 7.5% of the funds raised will be paid to OnMarket by the Company.
ONMARKET INTERESTS: OnMarket and its associates may be participating in this offer.
ONMARKET INTERESTS AND AMOUNTS SUBJECT TO COOLING OFF: The funding bar displayed under each crowd funding offer may include applications where payments are yet to be made and amounts that are subject to the cooling off period.
Section 734(6) disclosure: The issuer of the securities is Azura Consulting Pty Ltd ABN 30 617 598 651. The securities to be issued are fully-paid ordinary shares. The disclosure document for the offer can be obtained by clicking on the link above. The offers of the securities are made in, or accompanied by, a copy of the disclosure document. Investors should consider the disclosure document in deciding whether to acquire the securities. Anyone who wants to acquire the securities will need to complete the application form that will be in or will accompany the disclosure document (which can be done via the electronic application form which will become available by clicking the bid button above).
Discover investment opportunities here.
Azura Consulting Pty Ltd
Fashion-tech gateway delivering Brands access to the world’s leading marketplaces
Azura is a fashion-tech retailer, delivering curated luxury and fast-fashion Brands for e-commerce marketplaces, using a zero-inventory model. Using AI and machine learning, Azura is able to process 150,000 products into data-rich, market ready items listed for sale on 100+ marketplaces within a few hours.
With the move away from bricks and mortar, Azura’s plug ‘n’ play access to 100+ e-commerce marketplaces has already attracted 1200+ Brands and delivered 34% month on month growth over the past 6 months.
Before investing please consider the offer document and the general risk warning.
Min reached. Now targeting $1 million
$327,160
Raised2%-9%
Equity107
InvestorsDealt Ltd ASX: DET
Commercial Real Estate finance marketplace assisting borrowers secure non-bank finance.
Targeting 6% annual distributions
Dealt Ltd (ASX: DET) has been established in response to the emergence of private, non-bank lenders in the $302 billion Australian and New Zealand Commercial Real Estate (CRE) lending market to provide alternative lending sources for borrowers. The Group’s objective is to achieve a 6% return via diversified business that will specialise in Commercial Real Estate (CRE) Debt Brokerage and Advisory, Lending and Funds Management.
Dealt has developed one of Australia’s first real time CRE finance marketplaces to assist borrowers secure non-bank finance. The Group will also look to drive secure income returns through the development of a diversified portfolio of secured commercial real estate loans across Australia and New Zealand.
SPP Harvester
Harvesting the discount from Share Purchase Plans
The COVID-19 pandemic has caused a wave of discounted capital raisings with ~$53 billion of discounted new shares issued in the last 12 months.
Share Purchase Plans (SPPs) allow individual shareholders to apply for up to $30,000 in shares at the same discounted price paid by institutions. In the 12 months to 31 December, in-the-money SPPs were issued at an average 10% discount to the ASX closing price on the SPP closing date. But, you must be a shareholder before the SPP is announced.
SPP HarvesterTM gives you access to SPPs by buying you 1-share in 300 of the largest, liquid, operating companies listed on ASX. It will identify and apply for in-the-money SPPs and automatically sell the new securities, efficiently recycling your capital into the next SPP. This automatically harvests the discount for SPPs, with minimum capital outlay, low establishment costs and minimal administration.
Fitgenes Australia Ltd
Personalised DNA-based, wellness plans - tailored, reliable, affordable, and accessible
More Info
People spend big on wellness (it accounts for 5.3% of global economic output). But, 80% of consumers find the market is full of conflicting data, making this spend haphazard. Solving this problem is the emerging wellness genomics sector - a high-growth market (13.2% CAGR), predicted to hit US$9 billion by 2026.
Meet Fitgenes. With a range of wellness focus areas, Fitgenes’ genomic products cut through the clutter - delivering wellness plans tailored to the specific requirements of an individual. But it is the distribution network and strategy that sets this growing heath-tech business apart.
Before investing please consider the offer document and the general risk warning.
1Question Pty Ltd
Groundbreaking app requiring kids to answer a study question before they can access other apps
More Info
Want to learn a TikTok move? ….sure, but first ...what’s 7 x 8? Want to post to Instagram? Go for it .. but first ….. What’s the square root of 6,384 (just kidding but you get the idea).
1Question is an app that leverages existing screen habits to create micro learning moments. Lots of them. Every. Single. Day. Advanced AI understands the student’s strengths and weaknesses and customizes questions to accelerate learning.
1Question is backed by the Google accelerator program for User Acquisition. They are a company that is born global with a first mover advantage and a gigantic total addressable market.
ATO approved ESIC status delivering substantial investor tax benefits.
Before investing please consider the offer document and the general risk warning.
GigSuper Holdings Ltd
Finally, a super fund for the
self-employed
GigSuper is addressing the $150b gap in the market for super for the self-employed. Self-employed Australians don’t have the luxury of an employer making super contributions for them, and often struggle with retirement. GigSuper’s answer to this is an easy to use platform that automates voluntary super contributions for its members.
Unlike Big Super, GigSuper attracts younger members, with a lifetime of saving ahead of them – more money coming in than going out.
Before investing please consider the offer document and the general risk warning.
Question time
We'd love to answer your questions, we'll have one of the OnMarket team or the company representative of the offer get back to you asap. So ask away ...
When do you plan to list? I
John C (OnMarket member) on 19/03/2021Hi John,
Sam W (Azura Consulting Pty Ltd representative) replied to John C on 23/03/2021We plan to list within 3-5 years.
Having been in the fashion industry and built up global brands sold in over 20 countries, who do you see your competitors in this market place both locally and internationally?
Michael S (OnMarket member) on 30/03/2021Hi Michael,
Sam W (Azura Consulting Pty Ltd representative) replied to Michael S on 31/03/2021As we have two sides of the business I will answer for both. In regards to our omnichannel method (Listing on multiple marketplaces and then managing it), no one I know of does exactly what we do. One company that does some of what we do is Channeladvisor who would list those products, however, they wouldn't ship, manage, or run the operations of the sales.
With Azura Runway our fashion marketplace, globally our competitors would be Farfetch, Netaporter, and locally I would say, Myer.
Can you please provide a breakdown of remuneration costs for Kristie, Colin, Paul, Tim and Samuel. Or at least a total Salary + Other potential benefits figure on an annualised basis.
Todd S (OnMarket member) on 30/03/2021The board is advisory and unpaid at this stage (Colin and Kristie) and remuneration is detailed in the offer doc for Samuel, Paul and Tim
Sam W (Azura Consulting Pty Ltd representative) replied to Todd S on 31/03/2021Remuneration of $200,000 per annum for Samuel, Paul and Tim seems far too high at this early stage in the company.
Graeme C (OnMarket member) replied to Sam W on 14/04/2021$600,000 per year for the 3 executives, when you have a short cash runway, currently operating at a loss of $248,778 (July 20 to Jan 21) and a loss of $299,822 for FY19-20.
In my opinion the three senior executives don't warrant $200,000 each per year at this stage, especially when there is an existing related entity loan of $150,000 collecting 10% interest pa. To wipe this loan is only $50,000 each between the three of you, and keep in mind the single highest expense listed is staff costs.
If the three senior executives truly have confidence in the company succeeding, where they currently hold such significant share holdings I would prefer the cash remuneration to be significantly lower.
With Only 8 days left in the ECF, and the funds currently raised sitting at less than a third of the $1 million maximum target, the $600,000 pa outgoing for just the top three executives may be discouraging to a lot of investors.
So investors will not be allocated any shares in the business?
Navin R (OnMarket member) on 30/03/2021Yes, investors will be given shares in the business. Up to 2%-9% is what we are currently raising
Sam W (Azura Consulting Pty Ltd representative) replied to Navin R on 31/03/2021Are you able to provide a percentage for repeat customers?
Lee C (OnMarket member) on 30/03/2021As we sell through marketplaces it is difficult to work out which are repeat customers as they are the marketplace customers. Through our Azura Runway website, we are currently sitting at 6%
Sam W (Azura Consulting Pty Ltd representative) replied to Lee C on 31/03/2021What is your time frame to profitability or break even?
Lee C (OnMarket member) on 30/03/2021Our medium turn focus is scaling the business by growing suppliers and marketplaces. If Azura were to cease investment in growth, the business would be profitable. The next major milestone for the business is doubling marketplaces to 100+ within 12 months.
Sam W (Azura Consulting Pty Ltd representative) replied to Lee C on 01/04/2021You plan to list within 3-5 years and have said this capital will only fund the company short term. Is it likely shares from this round will be diluted significantly? Or I suppose, what do you consider substantial dilution
Sam H (OnMarket member) on 01/04/2021Hello, and thanks for your question - we are confident any future capital raise would be done at an increased valuation. Our preference, if required, is to finance growth through debt.
Sam W (Azura Consulting Pty Ltd representative) replied to Sam H on 06/04/2021Do you believe a lot of the growth you have experienced recently is a result of covid? Additionally, do you believe your growth will begin to slow as things start to return to normal?
Sam H (OnMarket member) on 07/04/2021We launched our affordable fashion site during covid and it did spike for 3 months before returning to normal. Our growth has been due to the fact that we have continued to add more marketplaces and more suppliers, we currently sell to 42 marketplaces, whereas there are over 1000 global marketplaces we can potentially sell on and in regards to suppliers there is no shortage there either. So no I don't think it growth will slow. I think it will increase, the only thing holding us back is cashflow.
Sam W (Azura Consulting Pty Ltd representative) replied to Sam H on 09/04/2021Re 2.2 Investment Highlights, page 6: you have categorised Azura as a Fashion-Tech Leader With regards this the Azura Runway app in the AppStore has Vajro Inc listed as the developer and copyright holder. This leads to a few questions:
Graeme C (OnMarket member) on 14/04/2021Q 1. what metrics have you used to reach the inferred claim of being Fashion Tech Leader?
Q 2. Background: A tertiary investigation indicates Vajro Inc (a foreign entitity) simply provides shopify themes and white label app deployments.
Q2.1 With this in mind what stake if any does Vajro Inc have in Azura consulting?
Q 3.1 If Azura Consulting is a Fashion-Tech leader, why have you outsourced the Azura Runway app and not developed your own?
Q3.2 What exactly is the tech (backend, APIs, any other software) that has been developed in-house by Azure Consulting?
Q 4. Background: A quick Trademark search for Azura indicates Skye Group Pty Limited (Janine Zylstra) holds Trademark class 25-logo for Azura, specifically associated with footwear and clothing since 2011 and class 25-word for apparel (clothing, footwear, headgear) also since 2011.
Q4.1 What copyrights and trademarks does Azura Consulting hold?
Q4.2 What is Azure consulting or its related entities relationship to Skye Group Pty Limited or Janine Zylstra?
Re 2.61 (page 10 of offer document).
Describes Azura being a gateway to suppliers, and as an Omnichannel Network.
Dropshipping can be defined as a retail fulfillment method where a store doesnt keep the products it sells in stock.
Q5. How is Azura substantially different from a drop-shipping site with multiple sources?
Re 2.64 (page 13 of the offer document) of offer document: Key Differentiators
States Azura uses AI and machine learning. Notably the description says uses not developed. With regard to this:
Q 5. What programs/ applications does Azura use for its AI and machine learning?
Q 6. What is the tech stack being used?
Q 7. Does Azura Consulting hold patents, copyright or trademarks associated with the AI or machine learning?
Re 2.92 (page 17 of the offer document) of offer document: Proprietary Websites
Azura Consulting claims it has developed two proprietary marketplaces - Azura Runway and Azura Exchange. I refer back to the AppStore listing for Azure Runway where Vajro Inc (Indian developer?) is listed as the developer and copyright holder. It is fair to assert that there is a substantial difference between simply putting your branding on a prebuilt theme or white label app deployment, compared to developing your own proprietary marketplace/ website. Thus, please clarify:
Q 7.1 What specifically has Azura Consulting organically developed in terms of software/ applications related to the AppStore, Playstore, Azura Runway, Azura Exchange, Acura Chic, and Azura Fit?
Q 7.2 If Azura Consulting hasnt themselves developed the software/ applications/ websites being used, then who is the development team?
Q 7.3 Where is the development team based?
Re Related entity in Privacy Policy. One of the pages found for your privacy policy lists the contact information as unsubscribe@bolerobeauty.com.au
Q 8. What is bolerobeauty listed as the privacy as a contact?
Q 8.1 What is the relationship between Azure Consulting and bolerobeauty?
Re 2.15 Capital Structure - debt funding, page 30 of offer document:
Related Party loan of $150,000 is listed where 10% per annum interest till April 2022, then principal and interest to April 2024.
Q9 Who exactly is the related party associated with is loan?
Re 2.16 Financials, page 31 of offer document: Q 10.1 What is the approximate amount of marketing expenditure going to related entities?
Q 10.2 Staff costs are about to significantly increase, whereby the top 3 executives will each be receiving $200,000 per year remuneration ($600,00pa for the 3); with this in mind, without further capital raises or bent financing what is your cash-runway for minimum subscription, and maximum subscription?
Q 10.3 Keeping in mind Azure Consulting is operating at an annualised loss approaching half a million dollars (($248,778) for July 20-Jan 21), will Azure Consulting consider adjusting the offer document, specifically to reduce the annual remuneration of the executive team, to present what may be perceived as more tenable financials?
Please sign in to post a question