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Hello, I am TRAORÉ ADAMA. I tried to submit my project for crowdfunding participation funding. But I'm told I must fill out Form C. I don't know what it is. And I would like someone to guide me and help me complete this form. I really care about the project. Thank you!
Hello! The Form C is the disclosure information that needs to be filed with the Securities and Exchange Commission before you can launch a campaign under Regulation Crowdfunding. Lawyers generally charge $5-10,000 to prepare it.
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While the regulations clearly state that an issuer can't conduct a Reg CF offering on multiple funding portals simultaneously, is there anything that would prevent a potential issuer from running a Testing the Waters campaign on multiple funding portals at the same time?
Nothing in the rules prevents it although platforms could impose their own contractual requirements (eg, if you use our platform for TTW you have to use us for the actual offering).
BTW, the SEC were not actually expecting that TTW would happen on platforms! They thought TTW would be on social media... more
Nothing in the rules prevents it although platforms could impose their own contractual requirements (eg, if you use our platform for TTW you have to use us for the actual offering).
BTW, the SEC were not actually expecting that TTW would happen on platforms! They thought TTW would be on social media or on issuers' own sites.
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For Funding Portals, who offers the best insurance? Meaning liability insurance for funding portals. Thank you!
I've worked with Monica Minkel of Holmes Murphy for years. She does the best she can for us given the very difficult insurance market for crowdfunding platforms which are considered high risk (and hence the insurance is expensive). Monica is very familiar with the crowdfunding insurance market. ... more
I've worked with Monica Minkel of Holmes Murphy for years. She does the best she can for us given the very difficult insurance market for crowdfunding platforms which are considered high risk (and hence the insurance is expensive). Monica is very familiar with the crowdfunding insurance market. Please let her know that I sent you, if you reach out. minkel@holmesmurphy.com
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I would like to know if there is any other distinctive crowdfunding model other than the four basic crowdfunding models that include donation-based, reward-based, equity-based, and debt-based models? Excluding the hybrid, of course.
Hello Kiko,
There is also revenue-sharing and royalty crowdfunding. Those two are similar but each has its own nuance depending on how you structure your unique deal.
Just keep two things in mind:
1. Investors will want good investment terms
2. Crowdfunding doesn't actually r... more
Hello Kiko,
There is also revenue-sharing and royalty crowdfunding. Those two are similar but each has its own nuance depending on how you structure your unique deal.
Just keep two things in mind:
1. Investors will want good investment terms
2. Crowdfunding doesn't actually raise you money, marketing does. Gotta market your deal.
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What are the accounting requirements for a crowdfunding campaign? What are the accounting requirements for a crowdfunding campaign?
The SEC requires GAAP based financial statements. Depending on the amount you want to raise, the requirements could be anything from self-prepared, GAAP based financials, all the way up to an audited set of financials. Reviewed financials are required if you want to raise up to $1,070,000. Anything ... more
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I am on a budget setting up my license crowd Funding portal with the FINRA/ SEC. I have completed everything and just need to send me finger print. is there a checklist for the thing i need to do so i can do everything properly and know my roadmap. is it hard to change the na
I'm sorry, but I'm not a platform expert and can't help you with those questions. But congratulations on your hard work and I hope you find success shortly. One of the benefits of joining the CfPA is access to our thought leaders, and also referral to qualified professionals who could answer your qu... more
I'm sorry, but I'm not a platform expert and can't help you with those questions. But congratulations on your hard work and I hope you find success shortly. One of the benefits of joining the CfPA is access to our thought leaders, and also referral to qualified professionals who could answer your question. My best advice is squirrel some funds away to hire a good securities attorney to answer those questions. Continued Success!
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Have there been any corporate lawsuits, class action or otherwise, against issuing companies from Reg CF investors? What is the likelihood of this occurring (if ever)? What about from Reg A+, Reg D investors - would that be more or less likely?
I am aware of several lawsuits (including class actions) relating to the early Reg A offerings that listed on Nasdaq.
As for Reg CF, there is a case of fraud being handled in bankruptcy court.
Reg D: these cases are unfortunately quite common, both from investors and regulators.
It's early days yet ... more
I am aware of several lawsuits (including class actions) relating to the early Reg A offerings that listed on Nasdaq.
As for Reg CF, there is a case of fraud being handled in bankruptcy court.
Reg D: these cases are unfortunately quite common, both from investors and regulators.
It's early days yet for CF. Class actions aren't worth it for really small offerings.
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I clicked a link on LinkedIn and found you guys. I have a company that manufactures agricultural equipment specifically for hemp and Cannabis. I am interested in crowdfunding. We want to do a 5 Mill raise. we did 17 Mill in rev last year and have zero equity outstanding. where...
Fabulous question, Cullen. However, without spelling out an entire path to landing investors course, I would direct you to any local VDO (venture devp org) like incubators or accelerators in your situation already matured.
As it concerns finding the "right" investor, well, your customers/suppl... more
Fabulous question, Cullen. However, without spelling out an entire path to landing investors course, I would direct you to any local VDO (venture devp org) like incubators or accelerators in your situation already matured.
As it concerns finding the "right" investor, well, your customers/suppliers/beneficiaries would be the natural approach if you plan to CF your next offering. There are many resources for all this, both on our Twitter feed, and as a course of knowledge in our leadership at the CfPA.
So my best advice is to continue to post questions/surveys in forums on Linkedin, look up any cannabis related investment groups in general (especially farming groups locally), and keep go deep quick.
On a personal note, as you know I'm deeply involved in Industrial Hemp, advise a Family Office investor network, and also have patented farm/processing equipment. To that effect, we're launching a national co-op to handle precisely what you're asking. So I'd love to learn more so feel free to reach out directly to Scott@RootOrigins.com or Prosperity@HMP-us.org
All the best,
Scott
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I'm on a budget setting up my license crowd Funding portal with the FINRA/ SEC. I have completed everything and just need to send me finger print. is there a checklist for the thing i need to do so i can do everything properly and know my roadmap. also is it hard to change the
Hello! FINRA should be able to provide you with all the info you need to get properly set up. Good luck!
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How does InfraShares differ from other crowdfunding portals?
InfraShares is the only Reg CF Funding Portal focused on raising capital for infrastructure projects. We focus on working with developers of water, wastewater, renewable energy, transportation, and telecom projects to bring investment opportunities to unaccredited investors.
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