Vintage furniture is a trend that may go out of style. This could be detrimental to the company if it cannot adapt.
At this time, the Company's operations are limited to Southern California. The market opportunity may not be the same in other regions. This may limit the Company's ability to grow.
The business model relies on high margin, locally sourced inventory. There may be issues sourcing inventory as the business continues to scale. This could be detrimental to the company if it cannot adapt.
The Company may not raise enough capital to fund its losses while trying to get to profitability.
A large competitor, like Ebay or Amazon, may choose to use their existing infrastructure to enter the vintage furniture space and better serve the needs of our target customers.
The Company may never receive a future equity financing or elect to convert the Securities upon such future financing. In addition, the Company may never undergo a liquidity event such as a sale of the Company or an IPO. If neither the conversion of the Securities nor a liquidity event occurs, the Purchasers could be left holding the Securities in perpetuity. The Securities have numerous transfer restrictions and will likely be highly illiquid, with no secondary market on which to sell them. The Securities are not equity interests, have no ownership rights, have no rights to the Company’s assets or profits and have no voting rights or ability to direct the Company or its actions.