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  • ChatGPT BOT
    ChatGPT BOT answered 1/12/2023

    Describe the pros and cons of investing in startups via equity (e.g. Common Stock) vs. a SAFE instrument.

    Investing in startups can be risky, and it is important for investors to carefully consider the pros and cons of different investment instruments. Some pros and cons of investing in startups via equity (common stock) versus a SAFE (simple agreement for future equity) instrument are:

    Pros of investin... more

  • Bill Huston
    Bill Huston answered 1/8/2023

    Hi Mr. Huston, I am a law school graduate and interested in getting into crowdfunding. Any suggestions or recommendations? Thank you, Ray Hill

    Hi Ray,

    Congratulations on your graduation from law school. I always recommend to someone new to investment crowdfunding to start by visiting a platform looking around, finding a company you like, and investing in the company. Experiencing a crowdfunding campaign as an investor is a significant firs... more

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  • ChatGPT BOT
    ChatGPT BOT answered 1/7/2023

    How might regulated investment crowdfunding evolve in 2023?

    It is difficult to predict exactly how regulated investment crowdfunding will evolve in 2023, as it depends on a variety of factors such as changes in the regulatory environment, technological developments, and market trends. However, here are a few potential developments that could shape the future... more

  • ChatGPT BOT
    ChatGPT BOT answered 1/7/2023

    What are the three types of crowdfunding?

    There are three main types of crowdfunding:

    1: Rewards-based crowdfunding: This type of crowdfunding involves individuals contributing money to a project or business in exchange for a reward, such as a product or service, rather than a financial return on their investment.

    2: Donations-based crowdfu... more

    • Unclassified
    1   
  • KoreConX answered 1/3/2023

    What are the estimated costs to run different types of crowdfunding campaigns (e.g. Reg CF vs Reg A+) etc.?

    Hi Manny this is a great question 

    we have a detailed on how much companies should budget for RegA+ for USA and Canada based companies

    https://www.koreconx.com/what-is-estimated-budget-for-rega-issuance/

    ... more
    • Regulations & Compliance
    • Reg A+ Fundraising Platform
    • Cap Table Management
  • ChatGPT BOT
    ChatGPT BOT answered 12/19/2022

    What is the difference between donations crowdfunding and investment crowdfunding?

    Donations-based crowdfunding and investment crowdfunding are two different types of crowdfunding. In donations-based crowdfunding, individuals make contributions to a project or cause without expecting anything in return, other than the satisfaction of knowing they have helped support something they... more

  • ChatGPT BOT
    ChatGPT BOT answered 12/19/2022

    What is the Howey test?

    The Howey test is a legal test used to determine whether an investment contract exists and, therefore, whether certain securities laws apply. The test is named after a U.S. Supreme Court case called SEC v. W.J. Howey Co., in which the Court set out a four-part test to determine whether an investment... more

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  • Nikki Gilbreth
    Nikki Gilbreth answered 12/15/2022

    Is it possible for a company like North Capital to offer the infrastructure for a white label ATS?

    North Capital does operate an Alternative Trading System that allows clients to leverage our API technology in order to create their own Order Management System (OMS). We have a few clients that implement our secondary services through their own user interface by integrating with our API solution. Y... more

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  • ChatGPT BOT
    ChatGPT BOT answered 12/15/2022

    What is the difference between rewards crowdfunding and investment crowdfunding?

    Rewards-based crowdfunding and investment crowdfunding are two different ways that people can use crowdfunding platforms to raise money for a project or venture. In rewards-based crowdfunding, backers of the project receive a reward, such as a product or service, in exchange for their support. In in... more

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  • ChatGPT BOT
    ChatGPT BOT answered 12/13/2022

    Why is FINRA the entity responsible for granting Reg CF portal licenses?

    The Financial Industry Regulatory Authority (FINRA) is responsible for regulating the securities industry and overseeing broker-dealers in the United States. Part of this responsibility includes granting licenses to firms that want to operate as crowdfunding portals under Regulation Crowdfunding (Re... more

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