Need some help? Close Help

The Natural Drinks Company

Food & Drink
UK - North West
Date Rated:
Valuation (Pre Money):
Industry: Food & Drink
Location: UK - North West
Platform: Crowdcube
£750,000 Expansion
Valuation: £10,744,986
Date Rated: 14/11/17



Tax Status: EIS

Business Summary

The Natural Drinks Company aims to create delicious, all-natural, sugar-free drinks, an alternative for people who wants to be healthier. The Natural Drinks Company has sold 4.4m bottles in the last 18 months and is close to launching the next product. This round of investment will be used to fund the marketing campaign and the launch of a new range of products.

Financial Overview

Date (y/e) Apr-17 Apr-18 Apr-19 Apr-20 Apr-21
Sales Apr-17£454,549 Apr-18£776,860 Apr-19£6,886,915 Apr-20£13,329,354 Apr-21£20,366,985
Gross Profit Apr-17£36,459 Apr-18£191,287 Apr-19£3,275,627 Apr-20£6,558,730 Apr-21£10,189,595
GP as % sales Apr-178% Apr-1825% Apr-1948% Apr-2049% Apr-2150%
Overheads Apr-17£454,605 Apr-18£1,128,847 Apr-19£2,726,641 Apr-20£3,859,961 Apr-21£5,962,006
Operating Profit Apr-17-£418,146 Apr-18-£937,560 Apr-19£548,986 Apr-20£2,698,769 Apr-21£4,227,589
OP as % sales Apr-17-92% Apr-18-121% Apr-198% Apr-2020% Apr-2121%
Closing Cash Apr-17£46,736 Apr-18£250,201 Apr-19-£808,869 Apr-20£1,386,967 £4,504,180

Note: This financial information has been sourced from the company on 14/11/2017. Financial data is NOT verified by Wheatfromchaff Ltd.
Although the management team is complete with every key role covered, further marketing and sales expertise will be needed to help the company scale at the pace intended.
The team combine management and start-up experience and they are supported by a successful Chairman and an experienced advisory board.
The Founders have invested £300k into the business to develop the flavors and most of the team appear to be full time.
The UK soft drinks market is worth over £15bn, of which low and zero-calorie soft drinks sales represent £1.8bn with rising demand for drinks made with all-natural ingredients.
TNDC has achieved initial commercial traction but it is still dependent on one product and one retail client and the new product lines are experiencing delays on their launch.
The beverage industry is experiencing major changes shifting to healthier ingredients and the company is focusing its offering on Stevia, the preferred sugar-substitute in the market currently.
The increase in gross margin seems unlikely with supermarket deals in the pipeline and the forecast seems ambitious but it is supported by substantial marketing expenditure.
Given the expected high leverage of trade debtors, this round of investment may not prove to be enough unless overheads are reduced, which may jeopardise the forecast growth.
The valuation seems very high given current sales and only if the product does gain the planned traction, investors could expect reasonable returns on exit within four years.


The Natural Drinks Company is currently very dependent on one retail client, Iceland, however, the team will be meeting shortly with two major supermarkets to secure further listings.

The low and sugar-free drinks market is becoming increasingly crowded and many well-backed players are and could offer similar products, however, given the acquisition appetite from major brands if the company gains sufficient commercial traction, it could become an attractive target.

Related Links

Crowdcube Pitch


Right To Reply

Are you the entrepreneur? If you would like to publish a comment on our rating, please contact the ratings team.

Latest Forum Comments

Read All Comments


The views and opinions expressed on this bulletin board are the sole property and responsibility of the author. Neither Crowdrating nor Wheatfromchaff Ltd, nor any of the directors or officers of Wheatfromchaff Ltd accept any responsibility or liability for them. Readers should be aware that comments do not constitute investment advice and may be inaccurate. Please seek to verify and take advice on all comments before relying on them in the context of any investment decisions you may make. if you wish to use the bulletin board please be aware you are accepting full responsibility and liability for what you write. Please look here for more specific rules we impose on people using our bulletin boards. We moderate all bulletin boards and we reserve the right not to publish your comments.


Your capital is at risk when you invest in shares and debt securities. You can lose some or all of your money and may not be able to realise your investment. Therefore you should should never invest more than you can afford to lose. If in doubt about the suitability or tax implications of any investment, please seek independent financial advice. 

Information published on this website and any other reports or ratings published on or by Wheatfromchaff Limited (trading as Wheatfromchaff) have been prepared by us in the United Kingdom for information purposes only. Wheatfromchaff Ltd is Authorised and Regulated by the Financial Conduct Authority FRN: 751017. 

No content on this website or on any reports or ratings published on this website nor any copy of it, nor any other reports or copies of them published on may be reproduced, redistributed or copied in whole or in part for any purpose. Any and all reports have been approved by, and are being distributed in the UK and the European Union (EU) only and are not to be distributed in any other jurisdictions where their distribution may be restricted by law and persons into whose possession this or any other reports come should inform themselves about and observe such restrictions.

This report and any other reports published on do not constitute an offer or a solicitation to buy or sell any securities referred to herein. It should not be so construed, nor should it or any part of it form the basis of, or be relied on in connection with, any contract or commitment whatsoever. The information on this website or in reports or ratings published by Wheatfromchaff, or on which this or any other reports are based, has been obtained from sources that Wheatfromchaff believes to be reliable and accurate, and in accordance with COBS 2.4 of the FSA Handbook we have verified it to the best of our ability. However, it has not been independently verified and no representation or warranty, express or implied, is made as to the accuracy or completeness of any information obtained from third parties. The information or opinions are provided as at the date of this report or any other report publication dates and are subject to change without notice. The information and opinions provided in this and any other reports take no account of the investors/ individual circumstances and should not be taken as specific advice on the merits of any investment decision. Investors should consider any or all of the reports or ratings we publish as only a single factor in making any investment decisions.  

Wheatfromchaff does not accept any liability whatsoever for any direct or consequential loss however so arising, directly or indirectly, from any use of this report nor its contents. Investors may receive back less that they invested as investments may fall as well as rise in value. Investors should obtain independent advice based on their own circumstances before making investment decisions. By accepting this report you agree to be bound by the foregoing limitations.

The Ratings we publish have been approved and issued at Financial Promotions in the United Kingdom by Wheatfromchaff in the United Kingdom who is Authorised and Regulated by the Financial Conduct Authority FRN: 751017. Wheatfromchaff Limited registered office is Kilver Court, Kilver Street, Shepton Mallet, Somerset, BA4 5NF and telephone number +44 (0) 1749 347 577. Telephone calls may be recorded. VAT No: 214 0196 49

© Wheatfromchaff Ltd All Rights Reserved February 2017