Investment risks

As with any investment, there are risks when investing in Rockvinyl.Works Limited (“Rockvinyl”). The website will cover the risks of investing in the project, but it is also important you understand the following general risks. You should note that the risks described below are not intended to be exhaustive. You should carefully familiarise yourself with the risks associated with investing and assess whether investing is appropriate in your own circumstances. Investment in Rockvinyl is intended solely for investors who understand these risks and for whom such investments are suitable.

To invest in Rockvinyl you need to understand the following important risks:

Your personal decision to invest

A decision to invest is a personal decision by you and no responsibility for the consequences of that decision is accepted by Rockvinyl or by any of its directors, agents, employees or other members. Rockvinyl does not provide financial, investment, or tax advice to investors. It is your responsibility to decide whether to make a specific investment or not, including carrying out relevant background research. You should review all of the information provided on the website, including the offer document (also referred to as an information memorandum) that is available to registered members of Rockvinyl, and consider taking financial, tax and other professional, qualified advice before making any investment decision.

Returns not guaranteed

Rockvinyl may provide information such as financial forecasts in the offer document. Please be warned that this is not a guarantee that Rockvinyl can achieve what it is hoping to do.

Payment of dividends on shares is dependent on the success of Rockvinyl. Therefore the returns are not guaranteed and you may not get back the full amount invested. You may not receive your dividend payments if Rockvinyl underperforms, and if it fails then Rockvinyl will not pay back your investment.

Losing all of your investment

Investment in Rockvinyl carries high risks as well as the possibility of reward. Accordingly, each investor should consider very carefully whether such investments are suitable in the light of their own personal circumstances and commitments and the financial resources available to each investor. Rockvinyl does not promise any return on investment nor that the value of any investment will be maintained. Don't invest unless you're prepared to lose all the money you invest.

No access to the Financial Services Compensation Scheme

There is no cover from the Financial Services Compensation Scheme (“FSCS”) for investments Rockvinyl.

Before it is invested or once the proceeds of investments are returned, your money will be held by ShareIn on behalf of Rockvinyl in a client account and subject to separate protections applicable to credit institutions and banks.

Protection from the Financial Ombudsman Service (FOS) does not cover poor investment performance. If you have a complaint against an FCA regulated firm, FOS may be able to consider it. Learn more about FOS protection here for information on FOS protection.

Lack of liquidity

As an investor, you should be aware that even if Rockvinyl is successful, you will only receive your initial capital back at the end of the investment term. Shares in Rockvinyl are not listed on a recognised investment exchange. There is currently no secondary market for you to sell your shares to other people.

The need for diversification

Diversification by spreading your money across multiple investments should help to reduce risk. Putting all your money into a single business or type of investment for example, is risky. Spreading your money across different investments makes you less dependent on any one to do well. A good rule of thumb is not to invest more than 10% of your money in high-risk investments.

Past performance

Past performance is not a reliable indicator of future performance. You should not rely on any past performance as a guarantee of future investment performance.