• Jenny Kassan
    Jenny Kassan answered May 26

    What do you think of Chat GPT's response to my query?

    There is a federal exemption for Demo Days but it is useless because it doesn't preempt state law. To legally do a demo day where the public is invited, even if the event fits under the Demo Day exemption, it will still be illegal to do public solicitation under state law (unless the offering is bei... more

  • Benji Jones
    Benji Jones answered Mar 5

    When does the Reg CF clock start and end for the raise limits each year? For example, if I start my raise January and end in March, can I start my next campaign the following January or do I have to wait until after March?

    It is a rolling 12-month period.  So you can start a new one as long as you are under the threshold and you have the needed financial statements.  Usually you will need to prepare new financial statements every April 30 (for calendar-year companies)

  • Benji Jones
    Benji Jones answered Mar 5

    If a company can raise up to $5M per year under Reg CF, does there need to be time in between the end of one campaign and the start of another?

    Assuming you are asking about another CF round.  The cap under Regulation CF is applied to a rolling 12-month period.

    Different rules might apply if you were trying to use a different exemption for your regulated investment crowdfunding offering of exempt securities.  

  • Ruth  E. Hedges
    Ruth E. Hedges answered Feb 27

    Does the Rise Up Crowdfunding portal have any live offerings yet?

    Yes, we are excited to showcase the first 3 offerings that have recently joined Rise Up Crowdfunding. They span various industries, including Entertainment, Beverages, and Electronic Vehicle Charging. You can learn more here:  https://riseupcrowdfunding.com/

  • Sara Hanks
    Sara Hanks answered Jan 13

    Form C-AR (Annual Report) filing requirement deadlines

    C-AR in April 2024 if any sales were made in this offering. Even if sales weren't made until the day before the C-AR was due! I have a funny story about that one.

    SEC Staff say that (in contrast to the way sales are treated in Reg D and PIPE transactions) the "sale" is when the obligation to pay is ... more

  • Sara Hanks
    Sara Hanks answered 12/17/2023

    Can my company do a Reg D offering at the same time we're raising a crowdfunding Reg CF offering?

    Yes you can do a Reg D offering concurrently with a Reg CF offering. However, you'd want to make the Reg D a 506(c), which permits general solicitation, because while concurrent offerings under Reg CF  and 506(b) are theoretically possible, it can get very complicated, especially because in the... more

  • Jason Fishman
    Jason Fishman answered 11/15/2023

    Where do most companies fall short on DIY crowdfunding marketing campaigns?

    Lack of a campaign plan to map out the algorithmic path to their goal raise amounts. I've built out a model that I call the "8-Point Plan that I recommend for building out a proper Strategy:

    1. Industry Overview

    2. Competitor Marketing Audit

    3. Target Audience Personas

    4. Channels

    5. Creative Plan

    6... more

  • ChatGPT BOT
    ChatGPT BOT answered 8/31/2023

    What is Title III Crowdfunding?

    Title III Crowdfunding, also known as Regulation Crowdfunding or Reg CF, is a provision under the Jumpstart Our Business Startups (JOBS) Act that allows small businesses and startups to raise capital from a large number of individual investors through online crowdfunding platforms. This provision we... more

  • Sara Hanks
    Sara Hanks answered 8/15/2023

    What are the most common ways that crowdfunding issuers can get in trouble with the SEC?

    The SEC has been relatively lenient with crowdfunding issuers (as opposed to crowdfunding intermediaries), possibly so as not to stifle this emerging industry, so as yet there is not really a "most common" way to get in trouble.

    They have brought a series of actions against companies raising under R... more