Cousins Charlie and Scott Friedmann know how to sell consumer packaged goods. Their grandfather founded Maxi Poultry, a Montreal-based frozen chicken business, which their fathers—along with two of their brothers—ran. “We’ve been in the CPG world since birth,” says Charlie. The pair grew up going to grocery stores, checking merchandising and talking up products at the end of the freezer aisle. 

The early exposure to branding, placement and taste-making stuck: today the cousins run Proxies—Charlie as president and Scott as executive chairman—arguably the buzziest non-alcoholic wine brand in North America. While the product has changed, their approach is the same, grounded in the hands-on spirit they honed hawking nuggets as teenagers. The product launched in Toronto in late 2020, initially as a sub-brand of condiment company Acid League. Back then, non-alcoholic wine was still something of a punchline, plagued by decades of poor imitations and a dealcoholization process that strips wine of its texture, aromatics and structure. Wine drinkers themselves, Charlie and Scott had tried the existing options and found them lacking. “We wanted to redefine what non-alcoholic wine could be,” says Charlie.

Instead of removing alcohol from wine, the seven person team behind Proxies (cousins included) built a new kind of beverage from the ground up, blending verjus—the tart juice from unripe grapes—teas, fruits, spices and botanicals to echo the same complexity as wine, without trying to mimic it exactly. In the five years since, Proxies has released more than 90 flavours and is available in North America’s top restaurants, thanks in part to unpaid endorsements from chefs and sommeliers like Dominique Crenn and André Mack. 

Earlier this year, Proxies was looking to experiment with new flavours and expand their retail offerings, but the team needed more capital. Around the same time, Charlie got an email from a business development manager at FrontFundr. The Vancouver-based equity crowdfunding platform wanted to bring on more consumer packaged goods companies and Proxies—with its deep connection to its customer base—seemed like a natural fit. 

Touted as a democratizing force in finance, equity crowdfunding allows private companies to raise capital from the general public, not just accredited investors. It gives everyday backers a chance to support brands they believe in, and offers founders an alternative to growth-focused venture capital. To protect participants, strict limits are placed on how much individuals can invest. On FrontFundr, most Canadians can invest up to $2,500 in a crowdfunding campaign, or up to $10,000 if the platform deems it suitable.

While the model has existed in the country for nearly a decade, until recently, Canada’s equity crowdfunding rules were fragmented across provinces, each with slightly different exemptions and limits, making national campaigns a logistical headache. That changed in 2021, when the Canadian Securities Administrators introduced a harmonized national rule that standardized the regulations—allowing companies to raise money from investors in multiple provinces under a single set of guidelines, rather than complying with a patchwork of local rules. The new rules also upped individual investment limits and streamlined digital disclosure, making it easier for FrontFundr, and other platforms like Vested or Equivesto, to operate coast to coast.

Charlie recognized the opportunity to turn Proxies’ existing fandom into a two-way relationship. In early 2025, early-stage venture capital activity was subdued, with investors concentrating on fewer, higher-value deals to mitigate risk in an unreliable financial climate. Proxies was one of many small businesses feeling the squeeze. “Institutional investors are really interested in the non-alc space,” says Charlie, “but they’re looking for companies with large revenue figures, and no one in non-alc is doing $10 million-plus in revenue.” (That could change in the near future: with more drinkers moderating their alcohol intake, the non-alcoholic wine market is expected to triple its 2022 valuation by 2028, hitting $4.5 billion.)

Proxies launched their crowdfunding campaign in February, with a $500 minimum buy-in and a target of $1.75 million. Instead of offering shares outright, they sold convertible notes, a common form of startup financing that begins as a loan and converts to equity (at a discount) during the next major funding round. 

Like traditional Kickstarter-style crowdfunding, equity crowdfunding invites broad public participation, but in this case, backers need to put their money where their terroir-loving mouths are, with the potential for a financial return. Proxies worked with two consultants—one internal to FrontFundr and one external advisor—who provided guidance on topics like how often to update followers and how to educate prospective investors.

The existence of platforms like FrontFundr might make equity crowdfunding seem like it’s plug-and-play, but as the Friedmanns learned, the process is hands-on. To meet their goal, Proxies ran a dedicated advertising campaign, cross-promoted with other Canadian companies like agriculture startup Fieldless, and held webinars to educate potential investors on both their company and the process they were buying into. 

But the most important tactic—one Charlie wishes in hindsight he’d employed earlier on—was personal outreach via phone calls and emails. “That direct connection—potential investors heard from us, they talked to us, they understood that we were real humans trying to build something cool in Canada,” says Charlie. “I think that was probably the most impactful approach in the end.”

An initial hesitation was that Proxies’ large American customer base wouldn’t be able to participate in the fundraising. Then came talk of tariffs and a trade war with the United States: the limitation became part of the pitch. “We’re based in Canada. We make everything in Canada. And we use a lot of great Canadian ingredients, like Niagara verjus,” says Charlie. In a political and economic climate increasingly focused on domestic production, the campaign became an opportunity to reinforce Proxies’ identity as a homegrown brand.

Related: Why Molson Is Embracing Non-alcoholic Drinks

All told, Proxies hit their target, with contributions from just over 100 investors each putting in an average of $1,800. Some investors were long-time fans. Others had never heard of Proxies, or tried non-alcoholic wine, until the campaign launched. With the injection of capital, Proxies is hoping to push deeper into retail. The timing is right: Grocers and other retailers are finally figuring out how to merchandise non-alcoholic drinks, carving out dedicated store space for the products rather than relegating them to bottom shelves. Proxies recently launched at Whole Foods in California and will be entering Fresh Thyme in the US Midwest this summer. In Canada, they’re eyeing grocery and liquor partnerships, especially as domestic retailers express more interest in homegrown brands.

Equity crowdfunding isn’t right for every company. Charlie is quick to caution that it only makes sense for brands with strong communities and a willingness to pick up the phone and have a lot of conversations. “Being close to our consumers is core to our business, so having them be investors just makes sense for us,” says Charlie.