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Zereau Drinks

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We provide the sustainable alternative for single-use bottled drinks. Join the zereau waste movement!

233%
 - 
Funded 21 Dec 2022
€175,000 target
€507,863 from 205 investors
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Business overview

Location Amsterdam, Netherlands
Social media
Website ZereauDrinks.com
Sectors SaaS/PaaS Mixed Digital/Non-Digital B2B
Company number 71620915
Incorporation date 11 May 2018
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Investment summary

Type Equity
Valuation (pre-money) €4.2M
Equity offered 8.86%
Share price €12.5
Tax relief N/A
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Business highlights

  • Proven Business Model with contracted revenues > €1mln
  • Multinational clients: Shell, Facebook, SalesForce, TomTom, PwC
  • Addressing 7 of the 17 UN Sustainable Development Goals
  • Winner UEFA/KNVB, Manchester City, Football Innovation Challenge
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Key features

  • Secondary Market
  • Nominee investment min. €12.50 +
  • Idea
  • Investor Perks
  • Key Information
  • Team
  • Updates
  • Investors 205
  • Discussion
  • Documents

Idea

Introduction

Single-use bottles pose a gigantic global pollution problem. Today 1.000.000+ plastic bottles are wasted every minute! All these bottles are unnecessarily produced and then transported around the globe.

We are on a mission to prevent waste of 30 million single-use bottles before 2030.

We provide local drinking solutions. Our Dutch Design hand-made dispensers ultra-filter, chill and carbonize the water from the grid. Therefore we can replace all single-use bottled still and sparkling water.

In combination with our natural syrups we can provide a sustainable alternative to soft drinks as well. Just as tasty, but without unnecessary waste.

Substantial accomplishments to date

The roots of Zereau Drinks date back to 2010 when two friends started a social movement against the unnecessary waste of single-use bottled drinks.

In 2017 the business model of renting (and selling) water dispensers started. In 2018 KRNWTR BV/Zereau Drinks was formally established and grew from 1 FTE to 15 FTE currently.

Zereau Drinks' results have been propelled by the trend away from single-use towards local drinking solutions. Especially the revenues of natural syrups have shown a stellar performance with 6 times more sales than last year (see monetisation strategy).

The results are driven by an increasing number of satisfied clients who not only contribute in terms of sustainability but also benefit from less hassle with single-use supplies and a lower cost price. Zereau Drinks has assisted over 10 multinational companies and are active in 5 different countries to drink more sustainably.

Picture: gas filling station of Shell powered by KRNWTR+.

Clients include but are not limited to ABN- AMRO, KLM, Pathe Cinemas, Landal Greenparks, TomTom, Almere City FC, Mercure hotels, Salesforce, Erasmus University, PwC etc.

Our sustainable drinking solutions have won various prices such as the UEFA, KNVB, Manchester City FC Football Innovation Challenge, see below.

Zereau Drinks is on its way to disrupt the unsustainable bottled beverage industry. This is evidenced by the appearances on national TV, in national newspapers, on radio stations and on the national news.

Monetisation strategy

The business model of Zereau Drinks is predominantly a Product as a Service (PaaS) rental model of the local drinking stations enabling our B2B clients to drink sustainably.

Next to the recurring revenues of our local sourcing solutions our bottomline is further strengtened by the one off sales of syrups, re-usable bottles and Zereau Drinks glassware.

Syrup sales are fuelled by the strong growth in the rental of our syrup bars. Syrup sales in the first 8th months of 2022 was over 6 times the revenues of the same period in 2021 and is destined to be a large revenue driver going forward.

Our business model is relatively easy to scale to other countries as sales are practically all online and the added value is even higher in countries with lower quality tap water thanks to the filters we use.

Use of proceeds

The envisaged use of proceeds distribution depicted below is based on the targeted Seedrs amount. Surplus funds will be allocated more towards faster international expansion, selected business investments and R&D.

In details the use of proceeds:
● Marketing & Sales (Acquisition new clients, servicing existing clients)
● HR (Continue to build & invest in the engine of the organisation)
● Global Expansion (International growth)
● R&D (Product innovation)
● Working Capital (Additional inventory and asset growth)

To us, a great customer experience is part of our journey to make impact. Therefore we will continuously develop and improve our products and services.

Investor Perks

Please note that any discounts, rewards and/or offers listed by a company in its campaign are subject to the terms and conditions applied by that company and listed above. It is the company’s responsibility to honour such discounts, rewards and/or offers and Seedrs does not take any responsibility for them.

Key Information

Outstanding Debt

The business has the following loans:

A senior loan from the Water Innovation Fund of €200,000 at 3% interest, which has a current outstanding balance of €173,000. Repayments started in 2022 and are due to be completed in 2024.

A second senior loan of €100,000 with a 3% interest rate is from the Corona Bridging Facility, with a current outstanding of approximately €92K. Repayments started in 2022 and are due to be completed in 2024.

The business also has Shareholder loans totalling €450,000 at 6% interest and an envisaged repayment starting January 2024 in 12 monthly installments. The repayment schedule for the Shareholder loans can be adjusted depending on the available liquidity.

The government has provided further Corona related support to Dutch businesses. KRNWTR BV postponed VAT and Salary Taxes to the amount of around €180,000. This has been converted into a 4 year loan with an interest rate starting at 0% and gradually increasing to 4%.

The funds from this round will not be used to repay these debts.

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If you successfully purchase a share lot of this business, you will be granted access.

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Only shareholders can access this page

If you successfully purchase a share lot of this business, you will be granted access.

Buy shares

Only shareholders can access this page

If you successfully purchase a share lot of this business, you will be granted access.

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Investing involves risks, including loss of capital, illiquidity, lack of dividends and dilution, and should be done only as part of a diversified portfolio. Please read the Risk Warnings before investing. Investments should only be made by investors who understand these risks. Tax treatment depends on individual circumstances and is subject to change in future.

This campaign for Zereau Drinks has been approved by Seedrs Limited (trading as Republic Europe) ("Republic Europe", "us" or "we"), as of 16 September 2022 as a financial promotion. Republic Europe is authorised and regulated by the Financial Conduct Authority with firm reference number 550317. In approving this campaign, Republic Europe has concluded that the information, taken as a whole, is "fair, clear and not misleading." This means that for factual statements we have reviewed evidence of their accuracy, and that for aspirational statements we believe they are phrased appropriately in light of their speculative nature. You should note that in the case of factual statements, the evidence we review is provided by the business, and we do not audit it, which means that we may not be able to identify forged or altered evidence. You should further note that in the case of aspirational statements, the nature of the type of businesses presented on the Republic Europe platform is such that they are likely to have high ambitions, and we may approve statements that convey those ambitions even where we do not believe, or we do not have a view on whether it is likely, that they will be fully realised. The pre-money valuation and investment sought in the campaign are those set by the business: they are not reviewed or established by us, and the valuation is not an independent view of what the business is worth. Given the nature and type of businesses presented on the Republic Europe platform, it is possible that the business has very little cash remaining prior to receiving this investment, and the investment sought may be necessary for the business's on-going existence.

Republic Europe does not make investment recommendations to you. No communications from Republic Europe, through this website or any other medium, should be construed as an investment recommendation. Further, nothing on this website shall be considered an offer to sell, or a solicitation of an offer to buy, any security to any person in any jurisdiction to whom or in which such offer, solicitation or sale is unlawful. Republic Europe does not provide legal, financial or tax advice of any kind. If you have any questions with respect to legal, financial or tax matters relevant to your interactions with Republic Europe, you should consult a professional adviser.

Tax Relief (SEIS)

This business is eligible for SEIS relief - providing qualifying investors with income tax relief of 50% of their investment and certain other tax reliefs. Tax treatment depends on individual circumstances and is subject to change in future. Click to learn more.

Tax Relief (EIS)

This business is eligible for EIS relief - providing qualifying investors with income tax relief of 30% of their investment and certain other tax reliefs. Tax treatment depends on individual circumstances and is subject to change in future. Click to learn more.

Valuation (pre-money)

Valuation rounded from €4,201,863

This is the fully-diluted pre-money valuation of the business (i.e. before the new investment comes in and including issued options and other equity interests). In contrast, the post-money valuation is based on inclusion of the new investment in the value.

It is calculated as the pre-money valuation plus the amount of new investment. e.g. If Company A is ascribed a pre-money valuation of £1,200,000 by prospective investors investing £300,000, its post-money valuation is £1,500,000.

The investee business is responsible for setting its own valuation, it has not been prescribed by Seedrs.

Pitch type

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Equity Offered

The equity offered is the percentage of the company’s shares being issued in return for the amount of investment raised.

When the amount raised is less than 100%, the equity offered is based on the target raise. Once the company has raised over 100% it is based on the total raised.

In some scenarios, entrepreneurs may accept additional direct investment after closing their Seedrs campaign. Provided this is within 6 months of the closing and on the same terms, we do not typically offer pre-emption rights on that extra investment (where you have the opportunity to invest again to maintain your percentage shareholding).

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Nominee investment

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Custodian

If you invest in this Campaign, Seedrs will act as Custodian rather than provide our standard nominee service. This is due to the fact that the business is not directly involved in the share sale and Seedrs will not benefit from any rights under a shareholder agreement. As a result, Seedrs will handle administrative tasks as we do normally, but you will not have information or voting rights, updates from the business, preemption on future fundraising, or ongoing support about business trading activity.

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Secondary market

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Direct investment

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Payment options

We are not able to accept card payments for investments into this sector. You can pay for your investment by creating a bank transfer, using funds in your investment account or create a Pay by Bank payment. Your investment will only be completed once the funds have reached our account.

Business Involvement

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Learn more here

Payment options

We are not able to accept Pay by Bank payments for investments into this sector. You can pay for your investment with a card payment, by creating a bank transfer or by using funds in your investment account. Your investment will only be completed once the funds have reached our account.

Drawdowns

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Security Token

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