KulaBrands In The Process Of Launching $40,000 IPO

Kulabrands ReviewHave you been noticing more and more hype for Kulabrands lately?

This business is picking up a lot of steam, with people pitching it all over social media.

I want to tell you that I am NOT in any way affiliated with Kulabrands.

I want to give you an unbiased opinion on Kulabrands – is it a scam?

Is it legit?

Let me give you all the details in my Kulabrands Review.

Will Kulabrands deliver on all it’s promises?

Find out in my Review of Kulabrands.

Let’s get going with the review!

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What Is The Kulabrands Opportunity?

KulaBrands has been growing considerably in size throughout the MLM landscape over the past few months, and likely as a result of this, the company is now in talks to launch its first ever IPO.

Before we get too far into this, I’d like to be totally transparent by saying that I’m not a fan of the whole business model KulaBrands is touting. Despite the company’s recent popularity, it’s still nothing more than manipulation on the crowdfunding space, and being able to earn advertised ROIs is emphasized much more strongly than the sponsored projects that affiliates should really be caring about.

With traditional crowdfunding setups, people that back projects usually do so because they have a genuine interest in that product or service — not because they want to earn a return on their investment.

Regular crowdfunding projects are able to generate real, genuine demand, but in the case of KulaBrands, the possibility of this happening is heavily overshadowed by the incentive to earn through the investment that you make.

KulaBrands saw a fair amount of growth throughout last year (2016), but that growth stopped earlier this year in August. Furthermore, Alexa rankings for the KulaBrands website show that traffic as a whole has gone into a rather steady decline.

This suggests that KulaBrands’ business model isn’t working the way it’s supposed to, and as a result of this, KulaBrands made the decision to file for a Form C Offering Statement on June 9, 2017.

Kulabrands Scam

With this filing, KulaBrands is seeking to launch an initial public offering (IPO) that will help it raise $40,000 by issuing out a total off 4551 shares of the company. The max offer for KulaBrands has been set at 121,729 shares (or $1.07 million), and this goal is currently set to be reached on or before December 31, 2017.

Although current affiliates will likely invest into KulaBrands, I’d be very surprised if interest in doing so extended beyond that demographic. There’s literally no reason why non-affiliates would be interested in sinking their money into a company they’ve never heard of, and while KulaBrands might have reported a new sales value of $263,000 during this last fiscal year, net income was set at $33,981 in losses.

Looking more into KulaBrands affiliate base, the company claims that it signed on 1960 affiliates in 2016 alone. All of these individuals had to pay a fee in order to join KulaBrands, and for those that joined before March 14, they only had to pay $150. For those that joined after that date, they were required to pay $199.

When multiplying 1960 by $150, we end up with a profit of $294,000. As mentioned above, that’s considerably more than what KulaBrands reported for its sales revenue during 2016.

Plus, once you factor in any amount of affiliates that signed up at the $199 price, that number goes up even higher. And, of course, all of this money is coming directly from affiliates’ pockets. In other words, 100% of KulaBrands’ revenue appears to come directly from fees paid by affiliates.

KulaBrands promotes its crowdfunding projects through its KulaShop, but after looking further into it, it appears to be entirely separate from the MLM opportunity that KulaBrands is promoting.

KulaBrands is saying that its IPO will be offered at $8.79/share, and according to the company, this price is “based on perceived value.”

The company continues with:

“The price of the shares available in this offering were set by KulaBrands using a qualitative measure of value and growth opportunity. The price does not reflect a relationship to its assets, net worth, or objective criteria.”

The CEO for KulaBrands — Peter Gantner — is currently holding a whopping 443,510 shares. As such, he owns 66% of the entire KulaBrands operation.

Of that $40,000 goal that KulaBrands is trying to fund, $3600 of it is going to be paid through regulatory fees. On top of that, another $18,200 will be dedicated for paying off software development and another $18,200 for operating expenses.

KulaBrands’ IPO honestly just seems like a last money-grabbing attempt to keep the company afloat before it comes to a complete collapse, and while it may seem like an enticing offer to those currently involved with the company, there’s nothing here worth messing with if you still haven’t jumped on board yet.

 

Is Kulabrands A Scam?

So, like with all business opportunities, you will hear things around the internet about there being a Kulabrands scam or something like that.

And from what you have read, you may also wonder if this is legit or a complete scam.

So, what’s the truth?

Is there a Kulabrands scam going on or is this legit?

Well, to be honest, Kulabrands is not really a proper scam or anything like that.

But there are some things to be aware of (see conclusion section).

That is how you will be successful.

See below for help with making money.

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My Kulabrands Review Conclusion

 

Hopefully, you have found my Kulabrands Review useful.

I wanted to give a lot of details because there have been other review of Kulabrands which were a bit thin on the detail side.

No matter what happens, if you really want to succeed with any business, you have to learn how to market properly.

And, my training below will help you do that and make money!

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