Investors in London can now take advantage of Chilango’s Burrito Bond offering.
Chilango is a Mexican restaurant that currently has seven locations throughout London. The Burrito Bond allows investors to take out a four-year corporate bond. The minimum to pay into the bond is around $700 and the maximum is almost $17,000. Those who invest the maximum amount of money get free lunch once a week until the debt is paid, reports The Wall Street Journal.
Potential investors in Chilango have two months to get the funds to the company. The restaurant’s goal is to raise roughly $1.3 million. However, if the Burrito Bond picks up traction, the company is ready to give out enough bonds to match three times that. In two days, Chilango has already reached 32% of its goal, WSJ notes.
Chilango’s Burrito Bond isn’t the first time that a company has used this method to take out a loan. Naked Wines sold three-year bonds with an interest of 7% in cash or 10% in wine vouchers to investors last year, reports Quartz.