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Directions: Read the short scenario below and answer the questions that follow in complete sentences.
Scenario: 151 Coffee is a fast-growing, drive-thru-only coffee company founded in 2017. As of February 2026, the company is raising money through equity crowdfunding, which allows everyday people to buy shares of the company for as little as $250. The company is valued at $100 million, sells shares for $1 each, and offers perks like free drinks for life-depending on how much an investor puts in. In the past year, 151 Coffee earned $17 million in revenue and made $1.9 million in operating profit. It currently has 15 locations and plans to expand to 1,000 stores in the next 10 years.
Bell Ringer Questions
1. What does equity crowdfunding allow regular people to do that was once mostly
limited to wealthy investors?
2. Why do you think 151 Coffee offers perks like “free drinks for life” to investors?
(Think about marketing and customer loyalty.)
3. Based on the information given, would you describe 151 Coffee as a risky or
promising investment? Why?
Use at least one fact from the article to support your answer.
4. How does the company’s plan to expand from 15 locations to 1,000 locations connect
to its need to raise money now?

All Answers 1

Answered by GPT-5 mini AI
1. Equity crowdfunding allows regular people to buy shares in private companies—something that was once mostly limited to wealthy or accredited investors.

2. 151 Coffee offers perks like “free drinks for life” to attract more small investors, turn those investors into loyal customers, and generate word-of-mouth marketing; the perks make investing feel valuable beyond just a financial return.

3. I would describe 151 Coffee as promising but with clear risks. It shows promising signs because it earned $17 million in revenue and $1.9 million in operating profit in the past year, but the plan to grow from 15 locations to 1,000 stores is highly ambitious and carries execution and financing risk.

4. The plan to expand from 15 to 1,000 locations requires a large amount of capital, so raising money now through equity crowdfunding helps the company secure funds needed for opening new stores, hiring staff, and scaling operations.