Wadiz

Executive Summary

Wadiz is the biggest player in the South Korean market for raising money online from the public. It acts as an all-in-one website that connects five million registered users to new business projects. The company brings in $60 million in yearly revenue. Wadiz uses two ways to fund projects. People can give money to get early products as a reward, or they can buy actual ownership stakes in a business. Even with this scale, the company is still losing money. It reported a net loss of $10 million recently because it is spending heavily to grow its network of services. They have teamed up with big traditional companies like Lotte. This partnership helps them move digital product launches into physical stores where people can see them. Wadiz has a huge advantage because it owns a massive mountain of data about what buyers want. It also has a very famous brand name among people who love new gadgets. This is because the government is making rules that limit how much people can invest and big existing online shopping companies are starting to compete. The number of successful projects is starting to slow down as the market gets more crowded. This force might make Wadiz lower its service fees, which could hurt how much profit it keeps in the future. This move to list on the KOSDAQ stock market is a major test. It will show if regular investors want to buy into non-traditional finance companies while interest rates are high. This stock sale will show if the model of being a middleman for startup funding can really grow across the rest of Asia.