How does cancelling shares on the Birchal platform work?
All CSF Offers on the Birchal platform have a subscription agreement that is entered into between the company making the CSF Offer and the investor applying for shares under the CSF Offer.
By participating in a CSF Offer, the investor and the company agree to be, and are, bound by the subscription agreement, which Birchal is not a party to.
Every retail investor (ie any investor with a combined investment <$10k AUD in the offer) has a 5 day cooling off period during which they are able to cancel their investment, no questions asked, under ASIC's RG 261. From this point onwards, however, they are bound by the terms of the subscription agreement.
What happens then?
If investors have passed their cooling off period, Birchal no longer has the authority to cancel the shares, as we are not party to the contractual bindings of the subscription agreement. In this instance, we have a provided a facility where investors can "request a cancellation" from the company offering the shares, and it is up to them to pursue payment for the shares if they would like to, or give Birchal approval to cancel the shares.
How do I access cancellation requests?
We will alert to you, the company, to cancellation requests in two ways:
The Birchal platform will send an email to the email address associated with the company profile
The cancellation request will appear in your company dashboard > Investment Offer > Cancellation Requests.
See image below
To approve cancellation requests:
Find the investor
Select 'Show Details"
Click 'Cancel Investment'