Next month, Ocho will be starting its second round of crowdfunding to raise $500,000 so it can launch in Auckland stores and invest in its factory with new equipment and packaging systems.
The Dunedin company’s first crowdfunding campaign took place in 2017 after the news the city’s Cadbury factory would close — it raised $2million in 32 hours.
Ocho had struggled financially, largely due to the economic impacts Covid-19, chairman Jim O’Malley said.
Last year its revenue was down 15% to post an operating loss of $223,000, well below its forecast growth of 30%.
The company was optimistic that once the borders reopened it would start to see growth.
It had always been expected there would be a need for another crowdfunding campaign, Mr O’Malley said.
That was put off for about a year so the company could get through its third financial year to work out where it sat financially.
The company had good coverage across the South Island, and Auckland had been targeted for a while, he said.
Last year, Ocho had two sales and marketing trips planned in Auckland but both times they were cancelled due to pandemic restrictions.
Ocho wanted a permanent part-time salesperson in Auckland, Mr O’Malley said.
"Being in Dunedin and trying to develop Auckland was too hard, it is not practical in these times so we really need someone on the ground up there," he said.
Once that happened, it was hoped least six to 10 stores and supermarkets in Auckland could be signed up to sell the chocolate.
The crowdfunding opens on November 1.
