Bar Works: Difference between revisions
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== Bar Works Investment == |
== Bar Works Investment == |
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Bar Works offers the public opportunities to buy workspaces, starting at $25,000 each, which are then leased back to Bar Works for a period of 10 years. The [[leaseback]] investment offers guaranteed returns of 14% per annum. In response to skepticism of such high guaranteed returns over such a long period of time, Bar Works hired auditors to review the company, who described the business model as "bomb-proof".<ref>{{cite web|title=Bar Work Promotional Video|url=https://www.youtube.com/watch?v=b1HtyBPIcZM/}}</ref> |
Bar Works offers the public opportunities to buy workspaces, starting at $25,000 each, which are then leased back to Bar Works for a period of 10 years. The [[leaseback]] investment offers guaranteed returns of 14% per annum. In response to skepticism of such high guaranteed returns over such a long period of time, Bar Works hired unnamed auditors to review the company, who described the business model as "bomb-proof".<ref>{{cite web|title=Bar Work Promotional Video|url=https://www.youtube.com/watch?v=b1HtyBPIcZM/}}</ref> |
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==Payment problems== |
==Payment problems== |
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Revision as of 17:21, 19 June 2017
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| Founded | 2015 |
|---|---|
| Headquarters | 47W 39TH St, New York , USA |
| Services | Coworking space, Shared office, Virtual office |
| Website | barworks |
Bar Works is a New York City company that provides shared office space in former bar and restaurant premises, and offers investors the opportunity to buy and leaseback individual desks within the premises for a 10 year period at a minimum cost of $25,000. It has been noted that elements of the investment program are akin to a Ponzi scheme.[1] [2]
Locations
The first Bar Works venue, at 47 West 39th Street, was opened at the end of October 2015 and has 200 work units, plus meeting and networking areas.
The second location in Manhattan’s Times Square opened for business in February 2016. The Times Square space occupied 4,500 square foot with a capacity for 300 people.[3] It shut down in early 2017 following difficulties attracting steady business.
In June 2016, Bar Works announced plans to open a 6,000 sq ft co-working space at Jack's Restaurant in San Francisco after acquiring the freehold to the second oldest restaurant in the city. Following difficulties attracting business in this location, in May 2017 it was announced that the building would be converted from a co-working space into a restaurant unaffiliated with Bar Works.[4]
Bar Works Investment
Bar Works offers the public opportunities to buy workspaces, starting at $25,000 each, which are then leased back to Bar Works for a period of 10 years. The leaseback investment offers guaranteed returns of 14% per annum. In response to skepticism of such high guaranteed returns over such a long period of time, Bar Works hired unnamed auditors to review the company, who described the business model as "bomb-proof".[5]
Payment problems
In April 2017 Bar Works issued a statement to investors describing "difficulties with its banking facilities", alluding to disruptions in investment returns in the foreseeable future.[6] [7]
In May 2017 Bar Works issued a statement to investors informing them that their monthly lease payments would again be delayed due to "productive restructuring".[8] CEO Franklin Kinard reached out to investors later in the month stating that he believes payments would resume after June 1. In order to reassure investors that Bar Works workspaces are operating and not empty, Kinard also described the company's efforts to provide "video feeds of the activity in our buildings", an uncommon practice in the shared workspace industry. [9] Kinard resigned from his position and left Bar Works before the end of May 2017.[10]
References
- ^ "Is Rapidly Rising Bar Works Leading a Ponzi Scheme Operation?".
- ^ "Alleged Ponzi scheme mastermind looks to be driving force behind NYC co-working startup Bar Works".
- ^ "Progressive workspace solution offers opportunities for New York property investment".
- ^ "New Restaurant 'Crown & Acre' Headed To Jack's Building On Sacramento".
- ^ "Bar Work Promotional Video".
- ^ "Bar Works has been facing difficulties with banking facilities, Managing Director Frank Kinard tells investors".
- ^ "Alleged Ponzi scheme mastermind looks to be driving force behind NYC co-working startup Bar Works".
- ^ "Bar Works: The Return of Renwick Haddow".
- ^ "An update from Bar Works' Franklin Kinard: "I want this fixed as desperately as all of you"".
- ^ "Franklin Kinard leaves Bar Works: "I have completed my reorganization, and I am leaving the company"".